A Greek tragedy?
by
Herkül Millas*

What is happening in Greece is actually not a complete tragedy, but a half tragedy. Although it was foretold by a small number of economists, politicians and intellectuals that the country’s economic management was not rational and disaster was imminent, no precautions were taken for many years. Parents in ancient times would sacrifice even their child. In contrast, contemporary Greek politicians wouldn’t abandon their populist policies -- with the votes they would secure in mind -- while voters didn’t want to lose their governors -- who would offer them presents at the expense of debts. I personally remember that during the 1980s, we were discussing that the social insurance system and Olympic Airlines was suffering from economic difficulties. One does not have to be an oracle to say that an increasingly aging population will not be able to retire at an increasingly younger age. But, no measure was taken in this regard.

The welfare brought about by easy and cheap money is very pleasant, but does not support entrepreneurship, competitiveness and balance spending and will never warrant saving by society. The fact that this is understood too late, if at all, is the difference of our time’s tragedy from that of ancient tragedy. Our ancestors would punish themselves at the end of the tragedy and the ancient audience would feel catharsis, the sense of cleansing -- one that we today cannot understand. The people of our time only get angry. And it is not easy to understand what they are angry at: the politicians whom they have successively elected, or the politicians whom they have not elected because they tell the truth, or themselves, who have made wrong decisions and never wanted to poke into the secret of the goose that laid golden eggs, or the market where rules of work are defined in advance, or the businessmen who seek profit in a capitalist system or fate. Really, what makes them so angry?

They just go out to find a scapegoat when things go wrong and they end up bankrupt. Yet the whole lot is to be blamed. This is the end of the progress society has been making. The debate over the economic problem is actually over. The International Monetary Fund (IMF) has drawn up a roadmap. And there is no other to come up with an alternative. If the cries of “we don’t want it” have any practical meaning, it is about how the price will be shared among social groups. The noisy objectors are saying, “I do not want to pay it, others should pay it.” This is an understandable request, and perhaps, it is possible to make some adjustments in this regard. To overcome such a severe crisis, however, everyone must make contributions. Also, businesses should be protected so that development that may take a long time is not obstructed and investors are encouraged. The fanciful proposals voiced by “socialists” who should know well what capitalism and market economies do, don’t sound constructive at this time.

In fact, Greece’s main problem at this stage is not economic, but political and social. The economic roadmap -- drawn by the EU and the IMF -- is likely to be successful, but its implementation is problematic. Having learned in recent years that they can obtain their economic demands through resistance, political parties and unions, workers, street activists and many other people seems to be determined to maintain their protests, which are also backed by the Greek Communist Party, the Leftist Union and the opposition. They do not want to sacrifice their gains. The groups that are in opposition always make maximalist demands.

No one is innocent in this regard and no group is better than the other. As he announced early elections last fall -- thereby evading the responsibility of being the ruling party – then-New Democracy Party leader Kostas Karamanlis portrayed the disastrous economic situation in the country. The new leader of the New Democracy Party did not support the new government (May 6) and did not back the deal made with the IMF in Parliament. If PASOK had been in opposition, it would have done the same thing. Leftist parties oppose the government as they demand another new policy. Meanwhile, they do not have any idea as to how pensions will be paid this month. However, everyone knows that Greece does not have any chance of printing money, as it has joined the Eurozone. Fewer and fewer creditors are inclined to lend money to it.

It is for this reason that I argue that the basic problem is economic, not social. The country is overwhelmed by mentalities and practices that prevent the country from dealing with serious economic problems. Therefore, as was the case years ago, it is currently impossible to foresee the future. Social trends cannot be measured in figures, as is the case with the economy. The future may bring unexpected surprises. It is not easy to be optimistic. I would like to finish my article with the most refreshing news in recent months. As the deal with the IMF was being voted on in the Greek parliament, a single deputy from the main opposition party, Dora Bakoyanis -- who ran for the party’s leadership but lost it to Samaras -- voted in favor of the deal. Samaras expelled this former minister from the party after the vote. Bakoyanis said: “The populist mentality and small political calculations have ruined our government, brought us to these days and are now urging us to make such decisions. I am sorry, but I no longer want to watch this downhill progress.”