The Greek situation reveals what equivocal decisions in the field of economics, finance or government, can cause socially.

Iceland was one of the first European countries severely suffer the brunt of the current crisis, economic and financial crisis. In just one week went from being a wealthy nation, a country on the brink of bankruptcy. But the imbroglio political, institutional, economic and social at the same time raised from the beginning of this situation, it seems that not only continue causing bankruptcies and instability in private financial institutions around the world, but also in other governments plight of countries to stable recently. And Greece illustrates well that.

The country’s social revolt Greek

The company is currently involved in helena shocking protests against the measures with which his government hopes to reverse the situation complicated. Which reveal the wrath of the social sectors that are, as always and everywhere, being most affected mostly by assuming the costs and consequences of difficult economic situations, usually originating in areas totally different from theirs: the upper echelons finance and government.

financial-economy

The Greek problem

The case of Greece is due to their state of liquidity evidenced unable to assume debt of about 100,000 million euros, which corresponds to almost all European banks. What other hand explains that the solution to their disadvantage in store, at once, tranquility to its creditors are fundamentally Community German and French. But also, the resulting state of insolvency deficit evidenced in the state of your accounts or budgets, something that, as you know, is attributable to its administration. However, currently in force would have little or no responsibility in this regard, to take little time in power.

The aid from the IMF and European Union to Greece

Aid with the International Monetary Fund (IMF) and European Union (EU) have come to the rescue of Greece and to avoid the suspension of payments, amounted to 110,000 million euros and its specific origin is as follows:

* IMF, € 30,000 million.
* Germany, € 22,400 million.
* France, € 16,800 million.
* Spain, € 9.792 million.
* Finland, € 1,600 million.
* Slovakia, € 800 million.
* Other, € 28,608,000.

The Greek austerity plan

The Greek austerity plan, most apparently imposed by the IMF and the EU adopted nationally, with all expected to reduce its deficit from 13.6% of GDP to 3% of GDP in 2013, includes some of the following measures:

* Down 30% the salary of public officials or employees.
* The removal of the existing two annual bonuses.
* Higher taxes on alcohol, snuff and fuel.
* Increase in Value Added Tax (VAT)-equivalent to the General Tax streaks in countries like Peru – up to 23%.
* Lowering pensions

The rest of the PIIGS, are the next to fall?

Meanwhile similar situations seem to peek into other countries like Greece, are included in the acronym PIIGS: Portugal, Ireland, Italy and Spain. While it seems that Ireland began to take timely measures, and Italy shows still hold true, the situation in Portugal and Spain are more delicate sight. Given what government and private sector opposition trying to reach agreements to deal with the attacks that from the side of the speculators, some press and even rating agencies, can shake the Portuguese and Spanish economy that, despite all seems to be out of the situation finally airy now overwhelming.