I understand that nobody wants austerity.  Besides, why me?  The last two generations of Greeks have enjoyed a living standard  that the economy could not afford.  So, why not this generation?  Or, the next one?

Normally, a profligate government finds its currency falling in value, raising the cost of both their imports and their borrowing  This discipline of the market is not available when a country is in a currency union, like the EU.  As an example, Greece was partially able to continue borrowing money at low interest rates to lavish that money on voters without increasing either their imports costs or their borrowing costs, because they were borrowing in euros, not drachmas.  Their profligate ways were enabled by membership in the euro.

Of course, I see their point that the vengeful imposition of Austrian economics by Germany and the rest of Europe five years ago has done nothing, except to drive the Greek economy into full-blown depression, with 26% unemployment.  But, the important word is “imposition.”  Austerity was forced on the Greek people, but the attitude of entitlement remains unchanged.  Look at the bureaucracy and difficulty in doing business in Greece — it is essentially unchanged, as is Greece’s attitude.

Greek existentialists saw the election as a choice between committing suicide or being murdered.  The voters chose suicide, albeit a slow-motion one.  The open question is whether the European Union will show mercy and keep the recalcitrant patient alive.  It may be more of a choice between financial aid . . . or humanitarian aid.