The New York Times published,“Greece Flashes Warning Signal About Its Debt”:
“As Greece now gropes for a resolution to its current financial problems . . . Athens might still be holding out hope for a restructuring [defaulting on most] of its debt burden of 303 billion euros, or $327 billion.
“. . . the eurozone braced for the prospect of a default. . . . Repercussions of such a default are so difficult to predict that European officials have spent the last five years trying to avoid one.”
I agree that the “repercussions” of a Greek default are “hard to predict”. But that difficulty doesn’t necessarily mean that all of the possible outcomes of a Greek default would be catastrophic.
Most people assume that a Greek default could precipitate a Greek depression, EU depression or even a world depression. All of the possible repercussions seem grim, but could it be that this Greek tragedy is really a black comedy?