Curious on views here.
As Syriza has been voted in, there is an increased chance of Greek exit. I still think this chance is pretty low.
Nonetheless, assume Greece exit and return to Drachma. Upon conversion of Euro's to Drachma's, then doesn't this reduce the Money Supply of the Euro, and by eliminating the weaker economies, make the Euro stronger in the longer term?
I guess there is the counter argument that it raises the risk of Spain, Portugal and co to also potentially leave the EU.
As Syriza has been voted in, there is an increased chance of Greek exit. I still think this chance is pretty low.
Nonetheless, assume Greece exit and return to Drachma. Upon conversion of Euro's to Drachma's, then doesn't this reduce the Money Supply of the Euro, and by eliminating the weaker economies, make the Euro stronger in the longer term?
I guess there is the counter argument that it raises the risk of Spain, Portugal and co to also potentially leave the EU.