Again.
The Returns are in and Greece has voted ‘No’ in their Referendum held earlier today on whether or not to accept the terms of Europe’s proposed Bailout Package; the Package itself having been turned down by Greek Prime Minister Alexis Tsipras a few days ago.
So the question of the day is why did Greece even hold a Referendum if the bailout package had been withdrawn and more to the point,why did they hold it when they already held a referendum on this same subject less than 6 months ago – as in their their national election held on January 25, 2015. It was on that date that Mr. ‘No’ – the newly elected PM Tsipras had received a mandate to tell Europe to shove it …so to speak.
Frankly I am personally surprised by the results of today’s vote since I thought that with bank closings and the like – common sense would have prevailed with the populace voting ‘yes’.
So what is the fallout here?
Not much for those other than the Greeks – maybe some tiny market disruptions for a day or two, but really nothing of substance for countries other than Greece and that includes the EU too.
For the Greeks though they have once again laid down a marker that they want to continue with their spendthrift way of life – much like the Government here at Queen’s Park, in Toronto.
The Bankers though – the EU and particularly Germany are not apt to give into this petty blackmail and I can see Greece exiting the EU sooner rather than later.
And for Greece in the longer run it will be a good thing since they will only be able to look to themselves to solve their made in Athens problems. Much like the natives on reserves here in Canada and the inner city Blacks in the United States.
But it is going to be a very painful journey for the average Greek.
It will be quite interesting to see how the tough talking juvenile delinquent – Alexis Tsipras fares.
The fellow is an avowed Communist who was unable to accept the ‘NO’ mandate he received in January’s election, then he petulantly went about negotiations with the EU Powers that be – and now he is faced with no one to blame but himself and the Greek electorate that voted twice in his favour.
And with two ‘No’s’ to his credit – his options are twice as limited.
If the consequences were not so dire – it would make for great entertainment.
As I see it…
‘K.D. Galagher’
