A flicker of hope
in The European debt crisis
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The chapter discusses the tasks facing the new coalition government in Greece, under Loucas Papademos, in the aftermath of Papandreou’s resignation. It is argued that government was confronted with a huge workload, including the negotiation of the terms of Greece’s second bailout, the implementation of the PSI programme and the recapitalisation of Greek banks. This agenda had to be pursued against a background of growing suspicion on behalf of Greece’s international partners and increasing public hostility within Greece.

The European debt crisis

The Greek case

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