THESIS AND ANTITHESIS No 24
by Demos Sympetheros
LATELY, HERE IN GREECE THERE IS A MAJOR THESIS OF SOME
ECONOMISTS AS WELL AS POLITICIANS.
THEY THINK THAT GREECE SHOULD EXIT EUROZONE
AND RETURN TO A LOCAL CURRENCY.
IN THAT RESPECT (THEY BELIEVE) GREECE WILL GAIN BACK
ITS COMPETITIVINESS AND RESTORE GROWTH THROUGH THE
CURRENCY DEVALUATION MECHANISM.
MY ANTITHESIS TO THE ABOVE ARGUMENT IS THAT:
1) IF GREECE EXITS EUROZONE THEN THE CITIZENS WILL LOSE
AT AN INSTANT POINT IN TIME A VERY VALUABLE ASSET WHICH
HAS BEEN ACQUIRED VIA SEVERE SACRIFICIES.(THAT IS EURO)
2) IN ADDITION WE DO NOT NEED TO HAVE OUR OWN
DEVALUATED CURRENCY IN ORDER TO BE COMPETITIVE.
WE CAN VERY SIMPLY DO THAT INSIDE EUROZONE.
HOW?
BY ....INCREASING PRODUCTION!!
WHEN PRODUCTION IS UP PRICES FALL!!!!!
(THE SIMPLEST SUPPLY CURVE !!!)
IN THAT RESPECT WE CAN BECOME COMPETITIVE!!!
HOW?
THAT DEPENDS ON OUR ABILITIES AND IMAGINATION AND
OF COURSE ON OUR COMPARATIVE ADVANTAGES.
MY SUGGESTIONS:
I THINK AN AREA WHERE GREECE COULD BOOST PRODUCTION
AND BECOME THE LARGEST EXPORTER IS AGRICULTURE AND TOURISM.
FIRSTLY IN AGRICULTURE I PROPOSE TO SPECIALIZE IN CULTIVATION
OF OLIVE AND ORANGE TREES.
THESE TWO PRODUCTS ARE VERY IMPORTANT FOR EVERY
HUMAN'S DAILY DIET.
WE NEED A SPECIFIC PLAN TOWARDS THAT GOAL.
THIS PLAN CAN BE ACHIEVED BY GIVING INCENTIVES TO UNEMPLOYED
OR TO GROUPS OF UNEMPLOYED.
THE NEW CULTIVATION SHOULD BE OF A SUCH A MAGNITUDE
AS TO GUARANTEE COMPETITIVE PRICES FOR BOTH
PRODUCTS.
AT THE SAME TIME WE ELIMINATE THE PROBLEM OF UNEMPLOYMENT
VERY FAST.
SECONDLY, WE SHOULD RAVEL A GROWTH PLAN ON TOURISM.
I PROPOSE TO BE GIVEN INCENTIVES TO
GROUPS OF UNEMPLOYED IN ORDER TO BOOST
CONSTRUCTION OF NEW HOTEL UNITS TROUGHOUT GREECE.
AGAIN HERE, THIS TOURISTIC PLANT GROWTH, SHOULD BE OF
A SUCH A MAGNITUDE AS TO GUARANTEE LOW PRICES.
ALL OF THE ABOVE SUGGESTIONS CAN BOOST PRODUCTION,
AND ELIMINATE UNEMPLOYMENT INSTANTLY!!!!!.
....IT IS SO SIMPLE BUT IT IS A MATTER OF.... "WILLING"
AND OF COURSE IS A MATTER OF ......
.............."FREEING ECONOMIC ACTIVITIES"
by Demos Sympetheros
LATELY, HERE IN GREECE THERE IS A MAJOR THESIS OF SOME
ECONOMISTS AS WELL AS POLITICIANS.
THEY THINK THAT GREECE SHOULD EXIT EUROZONE
AND RETURN TO A LOCAL CURRENCY.
IN THAT RESPECT (THEY BELIEVE) GREECE WILL GAIN BACK
ITS COMPETITIVINESS AND RESTORE GROWTH THROUGH THE
CURRENCY DEVALUATION MECHANISM.
MY ANTITHESIS TO THE ABOVE ARGUMENT IS THAT:
1) IF GREECE EXITS EUROZONE THEN THE CITIZENS WILL LOSE
AT AN INSTANT POINT IN TIME A VERY VALUABLE ASSET WHICH
HAS BEEN ACQUIRED VIA SEVERE SACRIFICIES.(THAT IS EURO)
2) IN ADDITION WE DO NOT NEED TO HAVE OUR OWN
DEVALUATED CURRENCY IN ORDER TO BE COMPETITIVE.
WE CAN VERY SIMPLY DO THAT INSIDE EUROZONE.
HOW?
BY ....INCREASING PRODUCTION!!
WHEN PRODUCTION IS UP PRICES FALL!!!!!
(THE SIMPLEST SUPPLY CURVE !!!)
IN THAT RESPECT WE CAN BECOME COMPETITIVE!!!
HOW?
THAT DEPENDS ON OUR ABILITIES AND IMAGINATION AND
OF COURSE ON OUR COMPARATIVE ADVANTAGES.
MY SUGGESTIONS:
I THINK AN AREA WHERE GREECE COULD BOOST PRODUCTION
AND BECOME THE LARGEST EXPORTER IS AGRICULTURE AND TOURISM.
FIRSTLY IN AGRICULTURE I PROPOSE TO SPECIALIZE IN CULTIVATION
OF OLIVE AND ORANGE TREES.
THESE TWO PRODUCTS ARE VERY IMPORTANT FOR EVERY
HUMAN'S DAILY DIET.
WE NEED A SPECIFIC PLAN TOWARDS THAT GOAL.
THIS PLAN CAN BE ACHIEVED BY GIVING INCENTIVES TO UNEMPLOYED
OR TO GROUPS OF UNEMPLOYED.
THE NEW CULTIVATION SHOULD BE OF A SUCH A MAGNITUDE
AS TO GUARANTEE COMPETITIVE PRICES FOR BOTH
PRODUCTS.
AT THE SAME TIME WE ELIMINATE THE PROBLEM OF UNEMPLOYMENT
VERY FAST.
SECONDLY, WE SHOULD RAVEL A GROWTH PLAN ON TOURISM.
I PROPOSE TO BE GIVEN INCENTIVES TO
GROUPS OF UNEMPLOYED IN ORDER TO BOOST
CONSTRUCTION OF NEW HOTEL UNITS TROUGHOUT GREECE.
AGAIN HERE, THIS TOURISTIC PLANT GROWTH, SHOULD BE OF
A SUCH A MAGNITUDE AS TO GUARANTEE LOW PRICES.
ALL OF THE ABOVE SUGGESTIONS CAN BOOST PRODUCTION,
AND ELIMINATE UNEMPLOYMENT INSTANTLY!!!!!.
....IT IS SO SIMPLE BUT IT IS A MATTER OF.... "WILLING"
AND OF COURSE IS A MATTER OF ......
.............."FREEING ECONOMIC ACTIVITIES"
posted by Demos Sympetheros @ 12:17 PM
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