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German election’s message to Greece: looks like Grexit is coming

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Gosh, the Neos would have us believe that “meddling” in foreign governments governance is wrong. I guess the real message is that meddling in our elections is wrong but it’s ok is we do it.

One little debated consequence of Sunday’s German election is that it significantly increases the prospect of Grexit, i.e. of Greece leaving the eurozone.

The last bailout of Greece in 2015 was not uncontroversial. The IMF bureaucracy has never made any secret of its doubts about it. Some of the other creditor states of the EU – for example Slovakia and Finland – are known to have been unhappy, whilst economists in the US and Britain were outspoken in their opposition.

However the bailout agreement was in the end railroaded through because it had the backing of Germany, by far the strongest state in the EU. Read more here.