Pointless threats

COMMENT

Hundreds of thousands of Greek citizens and businesses are being led to despair by the government and its decision to impose a slew of unreasonable taxes and hikes in social security contributions.

They are realizing that they cannot survive and either seeking ways to avoid paying or transferring their activities abroad.

Meanwhile, the constant threats from various officials that even more tough measures will be imposed simply exacerbate the feeling of insecurity and harm what little morale is left. However strict the rules and mechanisms of enforcement may become, a point will come when the government will be unable to squeeze any more out of citizens and businesses. It may raise taxes on everything, even large foreign investments made in previous years, but some day soon it will hit a wall.

The underground economy is bound to flourish, despite any threats of repercussions, businesses will close and foreign investors will no longer put their money in a country where the rules keep changing for the worse.

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