Hi Joschka,



"For more than five years, the “troika” (the European Commission, the European Central Bank, and the International Monetary Fund) has made it the object of a failed experiment with austerity that has exacerbated the country’s economic crisis." -- Joschka Fischer



Yes, but Greece's economy was failing anyway. Had the Troika not jumped into the fray, the outcome would've become ever worse, and thinking back, Greece's default might have been enough to unhinge the Western economy. (The 'straw that broke the camel's back.')



"But even if there were no troika and no monetary union, Greece would urgently need far-reaching reforms to get back on its feet." -- Joschka Fisher



True. And that is a very profound point that apparently, even some in the Greek government have missed.



"What it also needs is time and money, which the EU should provide if, and when, the Greek authorities face up to reality." -- Joschka Fisher



Also, true. A simple and believable plan to run balanced budgets, or even better, slightly surplus budgets where the surplus is sent off to a contingency fund, along with continuing to meet Greece's debt payments -- should be all it takes to get a boatload of money. When I say money, I mean, of course, the Troika buying up (for example) $100 billion of Greek debt and financing it back to Greece at 0% or 1% interest.



For each 5 years that Greece runs surplus budgets and continues to meet its debt payments, another $100 billion should be bought and refinanced by the Troika at 0% or 1%.



What the EZ nations should be thinking about, is how would they like to be treated if they ever find themselves in the Greek position. Because right now, they are setting EZ precedent. And once they have considered that for a while, treat Greece accordingly. (I know it would likely never happen, but still)



I strongly agree with your last two paragraphs. That's everything.



One bright note has happened recently and that is the Greek Deputy Finance Minister will be the one most involved in day-t0-day discussions with the EZ and the Troika.



This puts Mr. Yanis Varoufakis in an oversight position and allows a sort of Good cop/Bad cop relationship to form between the Greek Ministry of Finance on the one hand, and the EZ/Troika on the other hand.



Which could be the most efficient way of moving this whole situation along.



As always, best regards, JBS