Fraser Institute

Something rotten in the state of Greece

By Reid Standish   Neither a borrower nor a lender be; For loan oft loses both itself and friend, And borrowing dulls the edge of husbandry. - Hamlet Act I, Sc. III   It all began innocently enough. Back in 2002, as Greece first adopted the Euro as its currency, the country’s economic forecast was overwhelmingly optimistic. With its new currency and fresh access to the privileges of EU membership, Greece began a bacchanalia of large-scale borrowing. This manifested in a wild period of high-profile projects that went well over budget, such as the 2004 Summer Olympics in Athens. Although…

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