Employing a stochastic Brownian pattern for labor income under liquidity constraints, the paper derives closed-form solutions for households" consumption and shows how both the multiplier and the variability of consumption increased after the global crisis and were further enhanced by the...

The article describes how the unprecedented public and current account deficits that occurred in Greece over the last few years led to the current debt crisis in the aftermath of the global financial crisis of 2008. Some policy directions for achieving fiscal stability and restoring growth and...

In 2011 the Euro faced its toughest challenge since its introduction as several of the participating Member States faced unprecedented financial problems. Greece was the most severe case requiring intervention from the EU and IMF to stabilize its economy and repay debt obligations. This article...

Employing a stochastic Brownian pattern for labor income under liquidity constraints, the paper derives closed-form solutions for households’ consumption and shows how both the multiplier and the variability of consumption increased after the global crisis and were further enhanced by the...

This paper explains how the collapse of growth after 2008, in combination with soaring public and external deficits, led to the escalation of Greek debt, while the government's delay in responding to the crisis increased the cost of borrowing and necessitated the bail-out agreement with the IMF...

Three years after the implementation of the Adjustment Programme for Greece, public debt remains at unsustainable levels. Despite recent improvements in meeting deficit targets and the fact that the risk of exit from the Euro Area has subsided, growth is still missing and unemployment has...