Analysis of “Greece as a Victim” by Paul Krugman (Essay Sample)

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Analysis of “Greece as a Victim” by Paul Krugman
Greece as a Victim talks about the mishaps occurring in Greece since the country economy took a negative turn. Explanations given to the failing Greece economy hugely relate to political interference and societal doubts. The problem is that the parties failing are not the root cause of the crisis exhibited in Greece. Economic challenges experienced in Greece originate from the flawed monetary systems earlier exhibited in Frankfurt, Berlin, and Brussels. Solving the issue starts with dealing with the origin of the problems. The problem exhibited in Greece largely arises with corruption and tax evasion. Corruption in the financial institution mainly arises with the support of political giants that influence the performance of given products and services. Tax evasion by many citizens continues to put pressure on the economy of Greece prompting the need to capture unpaid tax. All these problems follow with the Greek government having a habit of spending more that in produces.
The productivity level of Greece is low in comparison to the set European standards. Considering the productivity margin remains low for other areas such as the Mississippi in America, it provides Greece with lower chances of recovering from the economical downfall. The public image of Greece continues to face stereotypes such as Greeks being lazy. Contrary to this, the Greek work for longer hours in comparison to others in the European region. A particular comparison places Greeks better at working in comparison to the Germans diminishing the stereotype terming them as lazy. Economists have always termed Greece as a state that does not consider its welfare expenditure, but in comparison to Germany or Sweden, Greece has coped with the European crisis in a better way.
The origin of Greece’s misfortunes relate to the euro considering the economy of Greece a decade ago. Greece was not in a crisis, but still it was not experiencing economic breakthroughs. The economy was experiencing high economic levels, but it was not disastrous. The economy of the nation managed to maintain trading on the world markets, which increased their exports, shipping, and tourism. On joining the euro, Greece became comfortable, believing that it was safe to invest. Greece experience an increase in foreign money, but not all the money catered for government deficits. The increase in foreign money led to an economic boom increasing the level of inflation decreasing the level of competition in Greece. Every c...