>A GREEK TRAGEDY AMID DOUBLE-DIP RECESSION FEARS

The ILIAD is one of the greatest classics of Greek civilization. The epic poem is attributed to Homer and is passed on to generations through songs and poems. It is a magnum opus which is unrivalled in the world of literature and is an epitome of Western Civilization. It transports you into a world where you inhale all the smells of war, heroism, lust, compassion and humanity. The story of Iliad revolves around the tragic events of Trojan War, leading to the killing of Hektor by Achilleus, that determines the fate of Troy.

The Iliad is a Greek tragedy and is adored by countless generations of people around the world. Why do we like tragedies? What is in it for us to feel immense pleasure from tragedies? Well, this is a difficult question to answer. These Greek tragedies centre around a hero, who is typically a nobleman of royal blood and is a victim of circumstances and who dies at the end of the tragedy. May be, we find pleasure in the fact that we are in less worse position as compared to our tragic icon in the novel. May be, it is simply a case of us finding solace in others’ suffering.

Now, we are dealing with a different kind of tragedy, an economic one in Greece which has plunged the country into a deeper and deeper mess. It is an insolvency trap for Greece; while the Government has been struggling to pull the country out of the fiscal quagmire that is
caused by its own actions and inactions.


What are the causes of the crisis in Greece?

The country is facing a huge sovereign debt problem, which is forecast at 125 per cent of its GDP for the year 2010. Over a period of several years, Greek economy has become less competitive in relation to other Eurozone countries and this has compounded the problems for the country. Its unemployment rate is hovering around 10 per cent. Greece joined the Euro in 2001 and has benefited immensely from it. However, it went on a spending spree and as a result the government debt has mounted. Simply put, it is a case of living beyond one’s means. What has angered the most is the fact that Greece has hidden its debt woes with doctored figures.

Greece's budget deficit is at 12.7%, which is more than four times higher than Euro area rules allow. Eurozone rules stipulate that member countries shall restrict their budget deficit to three per cent of their GDP.

To read the full report: GREEK TRAGEDY