The Greek Crisis in a Single Chart

There are some – especially on the American left – who give the impression of thinking that if only the European Central Bank behaved differently or if only Angela Merkel could be persuaded to do the right thing then somehow there might be a way out of the eurozone crisis. But even allowing for the fact that politics and economics are generally concerned with making the best of less than optimal situations sometimes there really is no way out. Here’s a handy chart that basically explains it all:

No-one is “solving” this crisis because there isn’t a solution to it. Since every choice leads to bad places it is sensible, really, to sit tight and avoid making a choice at all. This might not be noble but it’s realistic. Hope is not much but it’s about all there is. Hope and time and Mr Micawber coming to the rescue. As strategies go this has its flaws but it ain’t as though there are prettier options out there.