Example of 4th Iron Law of the Eurocrisis

Germany: Euro zone won’t bow to Greek aid time pressure – paper | Reuters.

Just when I finish writing about the 4th Iron Law of the Eurocrisis « DARECONOMICS, Schaeuble opens his mouth and gives us an excellent example of it in action.

Germany will take its time assessing the situation all the way to the last possible moment when Greece looks sure to run out of money and default. Then, they will respond by just doing enough to keep Greece alive a little longer.

While Greece will surely avert disaster, don’t be surprised if they do not receive the entire €31.5bn tranche.


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