Collecting Greek taxes

Even where tax evaders have been caught and prosecuted, punishments for the well-connected have been minimal. Well-known singer Tolis Voskopoulos, who is married to a former MP, was convicted of owing €500,000. He got a suspended sentence and was told to repay the outstanding amount at €5 a day.


Gonna be tough to raise that revenue collection rate, eh?

4 thoughts on “Collecting Greek taxes”

  1. The Euro-Poltiticos are, once again, being offered a choice: bailout without meeting the targets or no bailout and Grexit. Even though the Germans will squeal like stuck pigs, my money is on the pride & prejudice that the experiment must not fail. Euro-fudge will to the fore again and we will stagger on. If this does happen, I think that this will give the Americans the chance they have been waiting for and they will begin putting overt pressure on Germany to give up the unequal struggle and break up the mess. Spain has descended to bond yields well on the wrong side of unsustainable and is lining up to relieve Germany of yet more cash. Markets will not be denied.

  2. For something that is supposedly always right the market spent rather a long time being rather wrong, didn’t it.

    Tim adds: The argument is not that markets are always right. Nor even that they don’t take their time coming right. Only that they take less time getting right than other methods.

    Vide the current euro mess…..

  3. I don’t think the market got ‘it’ wrong. The market is efficient at getting it right and making money where money is to be made. The huge tide of political wishful thinking brought the Euro into existence, even though it was plain to many that it was structurally unsound. The mistakes were made right at the beginning, it was clear that Greece and Portugal, Ireland and Italy were not as efficient as Germany. they were internationally uncompetitive but were able to adjust their currency to allow for this. Just as UK is still able to do. Whilst the euphoria and global growth pushed the Euro along, there were always realists waiting for the right moment to make more money from a bet on the structural weakness showing through. Sure enough, the banking crisis of 2008 uncovered the cracks, the market put the wedges in and began to hammer. There is only one thing, political or financial, that politicians can do to deny the market its due and that is full federalisation of Europe, with one treasury, one bank and one tax gatherer. The market is simply betting this will not happen.

  4. JamesV, Ben Graham used to say that in the short term the market was a voting machine, but in the long run it became a weighing machine.

    Anyway, isn’t the point that the Euro-zone has expended hundreds of billions trying to push the market in the direction they prefer, yet it’s still leaning the wrong way?

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