'The third bailout will fail' says former Greek finance minister Yanis Varoufakis

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Former Greek finance minister Yanis Varoufakis believes the economic reforms Greece has accepted "have already failed".

he outspoken finance minister said the bailout programme hammered out by Greece and the European Union this week "would go down in history as the greatest disaster of macroeconomic management ever”.

In an interview with the BBC, Mr Varoufakis said the reforms that Greece had been asked to carry out would fail regardless of who implemented them.

Asked how long it would take, he replied: "It has failed already."

http://www.independent.ie/world-news/europe/the-third-bailout-will-fail-says-former-greek-finance-minister-yanis-varoufakis-31386311.html

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1. Bernanke: Greek debt crisis mainly caused by failure of European economic policy

YEREVAN, July 18. /ARKA/. The euro zone is not fulfilling its promises, Ben Bernanke, former chairman of the United States Federal Reserve, is quoted by Vestifinance.ru as saying in his comments written for the Brooking Institution.

He said that the “failure of European economic policy” played a significant role in the Greek debt crisis.

"The promise of the euro was both to increase prosperity and to foster closer European integration," he wrote.

"But current economic conditions are hardly building public confidence in European economic policymakers or providing an environment conducive to fiscal stabilization and economic reform; and European solidarity will not flower under a system which produces such disparate outcomes among countries."

http://arka.am/en/news/economy/bernanke_greek_debt_crisis_mainly_caused_by_failure_of_european_economic_policy/

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2. EU one big unhappy family due to Greece crisis

The latest paroxysm of Greece's debt crisis has exposed growing rifts in the euro zone which, unless addressed soon, could lead to the break-up of European monetary union, the EU's most ambitious project.

The most worrying sign for European leaders is that public opinion and domestic politics are pulling them increasingly in opposing directions - not just between Greece and Germany, the biggest debtor and the biggest creditor, but almost everywhere.

Germans, Finns, Dutch, Balts and Slovaks no longer want taxpayers' money to go to bail out Greeks, while the French, Italians and Greeks feel the euro zone is all about austerity and punishment and lacks solidarity and economic stimulus.

With central and east European states growing more assertive and the Dutch and Finns facing mounting domestic constraints, a compromise between euro zone leaders Germany and France, increasingly hard to find over Greece, is no longer sufficient to settle the problems.

http://nation.com.pk/international/19-Jul-2015/eu-one-big-unhappy-family-due-to-greece-crisis