Now, as…[Prime Minister George Papandreou] comes back to Greece’s foreign creditors asking for the next $16.8 billion installment of aid ”” predicated on persuading Greeks to accept more tax hikes, wage cuts and the privatization of more than $71 billion in state assets before 2015 ”” doubts have emerged about the government’s ability to implement and enforce the measures it has already passed.
“The main problem is that he’s only been able to deliver on the parts of the austerity package that are easily enforceable and transparent and irrevocable,” such as cuts to public sector salaries and pensions, said Spyros Economides, a political scientist who co-directs the Hellenic Observatory at the London School of Economics. “Unfortunately, the rest of it is a complete mess.”
“It’s very easy to legislate,” Mr. Economides added. “The problem is to enforce legislation. There’s no enforcement mechanism. It’s all done for the eyes of the public.”
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Europeans Doubt Greece’s Ability to Stick to Its Budget
Now, as…[Prime Minister George Papandreou] comes back to Greece’s foreign creditors asking for the next $16.8 billion installment of aid ”” predicated on persuading Greeks to accept more tax hikes, wage cuts and the privatization of more than $71 billion in state assets before 2015 ”” doubts have emerged about the government’s ability to implement and enforce the measures it has already passed.
“The main problem is that he’s only been able to deliver on the parts of the austerity package that are easily enforceable and transparent and irrevocable,” such as cuts to public sector salaries and pensions, said Spyros Economides, a political scientist who co-directs the Hellenic Observatory at the London School of Economics. “Unfortunately, the rest of it is a complete mess.”
“It’s very easy to legislate,” Mr. Economides added. “The problem is to enforce legislation. There’s no enforcement mechanism. It’s all done for the eyes of the public.”
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