Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/169156
Authors: 
Sanidas, Elias
Year of Publication: 
2014
Citation: 
[Journal:] SPOUDAI - Journal of Economics and Business [ISSN:] 2241-424X [Volume:] 64 [Year:] 2014 [Issue:] 3 [Pages:] 30-48
Abstract: 
A series of wrong policies since the 1980s transformed the Greek economy into a problematic one and almost ready to collapse; for example, artificial increases in employment in nonproductive public services entailing low productivity; increasing wages above those guaranteed by productivity increases; an increasing budget deficit which was used primarily for consumption; and joining the Euro zone too early. Some of the consequences were the relative de-industrialization of the country; a huge public debt and the consequential international indebtedness; and the impossibility to recover quickly after the recent global financial crisis. Some stylized modeling facts about all these issues facilitate our understanding of both the Greek and Korean economies. Furthermore, the parallel examination of the Korean economy during the same period, whenever necessary and possible, contrasts this country's correct choice of economic policies with those of Greece: thus, what Korea did, Greece did not and vice versa.
Subjects: 
productivity
wages
Euro area
stagflation
exports
politics and economics
Greece
South Korea
JEL: 
O11
O23
O24
O
43
O52
H50
H62
Document Type: 
Article

Files in This Item:
File
Size
859.77 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.