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I was sort of hoping that their plan would involve something like this but they don't seem to be moving on any of the legislation to implement the promised reforms that would enable rollout of an electronic parallel currency.

A society committed to the notion that government is always bad will have bad government. And it doesn't have to be that way. — Paul Krugman
by Migeru (migeru at eurotrib dot com) on Fri Mar 13th, 2015 at 07:27:30 AM EST
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Honestly I don't think this plan is doable in the time frame. Even going the simple tax credit route may not be easy since they don't control the banks (At least I remember threatening noises from the ECB on them changing out management). What does that leave us with? Paper?
Whatever they try they need to keep tax collection as a permanent threat so 100 instalment payment plans and tax spies.
Also I think they underestimated ECB unreasonableness.
by generic on Fri Mar 13th, 2015 at 09:23:46 AM EST
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I don't think they underestimated it. They have studies from London lawyers and even Citigroup on the ECBs responsibilities vis-a-vis the Bank of Greece. This is part of any contentious Grexit scenario. One might even say they are counting on the ECB's unreasonableness.
by Upstate NY on Fri Mar 13th, 2015 at 09:31:14 AM EST
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I doubt the Greek state has the administrative capability to that.

Even if under more optimal circumstances they could do it, circumstances are not optimal. After any change of government a new government needs a few months to get a grip on the administrative apparatus. Syriza faces special problems in this regards.

by IM on Fri Mar 13th, 2015 at 10:40:45 AM EST
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So the slow motion trainwreck continues, and a Greek default within the next 4 months is quite likely.

A society committed to the notion that government is always bad will have bad government. And it doesn't have to be that way. — Paul Krugman
by Migeru (migeru at eurotrib dot com) on Fri Mar 13th, 2015 at 10:47:45 AM EST
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Perhaps. Possible, but I don't think likely. Too damaging to EZ and EU, as Juncker e. g. seems to understand.

But, as you said:

"They have beenin government for about 6 weeks and spent the first month in negotiations. They would have to put in place some structures using the levers of government in order to ready any plan other than "pull the pug come hell or high water"."

So Syriza simply needs time for any grand schemes. If they have grand schemes.

by IM on Fri Mar 13th, 2015 at 11:07:11 AM EST
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But Juncker is a bit player in this. It only needs a minority in the Eurogroup or a majority in the ECB  to drive this train off the tracks and down a ditch.
by generic on Fri Mar 13th, 2015 at 11:59:36 AM EST
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Juncker said as much today when Tsipras came to Brussels: the decisions are taken by the Eurogroup.

And that, the primacy of the Intergovernmental over the Community method, is one of the toxic legacies of Merkel's handling of the crisis.

A society committed to the notion that government is always bad will have bad government. And it doesn't have to be that way. — Paul Krugman

by Migeru (migeru at eurotrib dot com) on Fri Mar 13th, 2015 at 12:01:16 PM EST
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True, technically that is none of Junckers business. He intervened anyway; somewhat successfully.
by IM on Fri Mar 13th, 2015 at 12:28:33 PM EST
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A Commission President he is one of the European Union's appointed general purpose mediators. But he cannot force anything on anyone. And he oversees 1/3 of the Troika.

A society committed to the notion that government is always bad will have bad government. And it doesn't have to be that way. — Paul Krugman
by Migeru (migeru at eurotrib dot com) on Sun Mar 15th, 2015 at 05:58:45 PM EST
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Hmm, apparently the Commission is now out of the Troika, replaced by the ESM. More intergovernmentalism and another insane German in charge (Klaus Regling).

A society committed to the notion that government is always bad will have bad government. And it doesn't have to be that way. — Paul Krugman
by Migeru (migeru at eurotrib dot com) on Mon Mar 16th, 2015 at 05:37:14 AM EST
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