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Qualifying and Quantifying the Greek Structural Reform Efforts

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A New Growth Model for the Greek Economy
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Abstract

From a growth standpoint, both the first and the second Greek macroeconomic adjustment programme have not delivered anywhere close to a satisfactory outcome. There are differences of opinion, however, over the causes of this failure. This chapter presents a novel quantitative analysis of the structural reform envelope of the Greek programmes. The data corroborates past survey-based evidence suggesting that implementation was broadly on track in the early stages of the first Greek programme. However, the latter was not focussed enough on short- and medium-term growth-enhancing reforms. This initial design failure was corrected in the second Greek programme at which time, however, implementation slipped amid a biting recession and political instability. Concluding that the Greek programmes failed only or mostly because reforms were not implemented would be unfair to the Greek authorities.

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Notes

  1. 1.

    Statement before the United Nations Economic and Social Council in Geneva, July 11, 1990, cited in Przeworski and Vreeland (2000).

  2. 2.

    The first Greek programme was replaced by a second under the IMF Extended Fund Facility in March 2012. See http://www.imf.org/external/np/sec/pr/2012/pr1285.htm.

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Terzi, A. (2016). Qualifying and Quantifying the Greek Structural Reform Efforts. In: Petrakis, P. (eds) A New Growth Model for the Greek Economy. Palgrave Macmillan, New York. https://doi.org/10.1057/978-1-137-58944-6_10

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  • DOI: https://doi.org/10.1057/978-1-137-58944-6_10

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