Predictably, Europe’s great-and-good have been thrilled by the Greek vote over the weekend. It may indeed be possible for the pro-bailout parties in Greece to put together a parliamentary majority, but what then? The Greek economy is still in a downward spiral with no sign of recovery. Europe is still piling on new debt and the euro faces great dangers (Spain, Italy, etc.) ahead.
What Greece needs is a credible commitment to deep structural reform (a Thatcher moment) regardless of whether the country remains inside the eurozone or leaves the common currency. Therefore, it is worth noting that the liberal parties committed to such reform did not gain a single seat in Sunday’s election. And so, the great Greek drama - minimum reform, continued bailouts and economic destitution – looks set to continue for a little while longer.