Could the restructuring of the former GDR show the way?
There are two analogies concerning the economic recovery of Greece. One is found in Argentina, which experienced an economic rebound. The other is the comparison with the former East Germany. Argentina’s recovery was led by exports of commodities. However, this does not apply to Greek because Greece does not have commodities. The GDR way—patience and rigor eventually pay off. German Chancellor Anglela Merkel’s dogged insistence will recover Greek economy if Greece is willing to accept top-to-bottom institutional reform in such points as a new tax code, propriety rights, and legal, social, and financial structures. Slashing labor costs is also needed to boost competitiveness. 104 words
