Policy Briefs

C. Bastasin: The risk of a sudden bank run is underestimated in Athens as well as in Brussels

The graph below shows the development of the Greek real GDP since the launch of the euro, relative to the real GDP of the euro-area. The first years, particularly after 2002 when Athens joins the common currency and up to 2008, show the sensational improvement of Greek incomes relative to the European average. As it is well known, that progress went lost entirely in the following years.

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