Friday, July 10, 2015

What is the problem with Greece?

Mismanagement. The following are some of the things that contribute to their current crises – My opinin. 

Outrageous pension system. Too many government employees. People can retire at the age of 50 with 95% of their last pay drawn as monthly pension. 

No proper system to collect income tax. More than 80% of the people do not bother to pay income tax. Government does nothing about it. 

Most of the retail sales are in cash. Therefore, very few sales tax amount is collected. 

Concession for needy and poor are exploited. For example, there are special discounts for blind people. Many citizens, including taxi drivers, have a certificate that they are blind. 

People ignore toll taxes. The employees who are employed to collect them do not bother to collect. 

The government borrows money they cannot pay back. 

Borrow more money in order to pay that loan back. 

They are in the European Union and use Euro as their currency. Therefore, they cannot print money to meet their expenses. (Printing too much money will lead to inflation and the money will become useless and no value.) 

Laid back Mediterranean culture. 

Socialist Government.

35 comments:

  1. What's wrong with it? Damn near everything!
    The acting.
    The singing.
    The dancing.
    All terrible!

    Wait a minute...did you say Greece?
    Ohhhhh, I thought you said Grease (the movie).
    That's also a travesty.

    Regards,
    Olivia Newton-John

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    1. Thanks for your comments Olivia. You're the one that I want.

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  2. If I wave my hand, Greece goes down.
    If I snap my fingers, I can make the world’s economy come to its knees and beg for mercy.

    Are you paying attention Greece?
    Of course not…because you’re so poor you can't even “pay” attention.
    (Spain and Portugal – you’re next).

    Regards,
    Angela Merkel
    (the only person in the world who can save Greece)

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    1. Thanks for your comments Angela. You are worse than a loan shark. You loan money to Greece. They in turn pay that money back to German banks as repayment of earlier loan. The cycle repeats for ever. And, Greece's loan gets bigger and bigger.

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  3. Insightful post. It seems Greece forgot all the knowledge it keeps imparting to the world and now has become a ruined philosopher itself :P

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    1. Thanks for your comments Ankita. You are absolutely correct.

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  4. I and husband were pretty much discussing the same. The country needs to get its act together ASAP.

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    1. Thanks for your comments Harini. They should get their act together. But they are dictating terms to the lenders.

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  5. It is all messed-up there. I would classify it as a classic case of non-functional government.

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    1. Thanks for your comments Alok. Yes, it is very much a non functional government.

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  6. I don't know much about this financial crisis to comment about it. I sure learned something from your post.

    Destination Infinity

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    1. Thanks for your comments Rajesh. This Greek situation - sometimes I think of Tamil Nadu where almost everything is freebee.

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  7. Oh My God!! What a mess this country is in! No wonder, they are in this such a state. An insightful post.

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    1. Thanks for your comments Shilpa. I am glad you found this post informative.

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  8. I wasn't aware of any of these. Mismanagement seems to be a universal problem. P.S- I wonder what happens to term 'Greek God', or will that get replaced by another, more economically viable cousin?

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    1. Thanks for your comments Sweety. Here, mismanagement is beyond repair. Hope Goddess Athena gives them wisdom and courage.

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  9. I happened to read about this just recently and your post puts everything in a very clear perspective. We have corruption and they have mismanagement, but how come we're not in that dangerous state? Perhaps our income tax officers are pretty serious about these stuff?

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    1. Thanks for your comments Ashwini. There is a few differences between India and Greece. In India, government pension is not that outrageous. Also, India exports lot of stuff and get revenue. Lot of Indians are lazy but not that lazy like the Greeks. Finally, India has the ability to print the money (Indian rupees) if there is a need. (However, that will lead to inflation and the money will lose its value.)

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    2. Oh yea the pensioners, forgot about them :-)

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  10. Informative post.
    do not have any opinion on it.

    P.S why you did not answer the mail?

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    1. Thanks for your comments Ph_. I am glad you found this post informative.

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  11. Not aware of these and you have given a apt word for the problems they face "mismanagement".

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    1. Thanks for your comments Uma. I am glad you found this post informative.

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  12. I never knew this about Greece... thanks for sharing

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    1. Thanks for your comments Noopur. And, welcome to my blog. I am glad you found this post informative.

      Noopur, please visit here as often as possible. Thanks..

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  13. I did read about this, but these facts were toltally unknown to me.

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  14. I didn't know much until I read your post. This post was enlightening to me.

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  15. This was quite an informative post :-)

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  16. The problem in Greece is not too different from what would happen if a person lives beyond his or her means. Be it a person or company or country, there should be a decent flow of income and a prudent expenditure pattern. If it'sn't there, then will be definitely major problem.

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  17. 100% I second your findings. One should spend as per the contents of the purse.Nice one.

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  18. I think, this is the best article about happenings in Greece. I had read a newspaper article that just went over my head. Thanks, SG. TC, keep smiling :)

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  19. I came here to read new posts on your blog. But it seems you are on a blog vacation. :)

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  20. Added to this I guess they decided to take the leverage of the prowess of Euro while taking a small break (mindfully extended though)..thought could take a nap from the rat race,

    Not viable to blame a socialist govt all the time Man!

    Nice post though.

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  21. Never knew Greece is facing such a crisis..till now held a picture of prestigious and flourishing country as read in books..they do not bother to pay taxes and we are made to bother to pay taxes in every step..

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