Greek man walks past drachma coin replica in Athens 370 (R).
(photo credit: REUTERS/Yorgos Karahalis)
It would be incorrect to conclude that last week’s formation of a new government
in Athens categorically preempted the looming Greek tragedy which threatened the
entire euro zone. Europe is by no means safe, although the Greek electorate’s
narrow pro-euro preference is clearly better than the alternative that would
have triggered potentially catastrophic chain reactions.It’s a relief
but at best a very temporary one. The pro-bailout coalition doesn’t represent a
decisive turning point. It’s merely a brief intermission in the unfolding drama.
Europe was spared an immediate crash but the deep divide remains between its
wealth-generating northern economies and the welfare-reliant south.