Merijn Knibbe — Greece, cognitive dissonance edition

There are real problems and pseudo-problems created by a false understanding. All economic problems resulting from either lack of money or fiscal discipline in areas were the monetary authority is sovereign in the currency, as the ECB with respect to the euro is in the EZ, are pseudo-problems that would simply disappear if a correct understanding were implemented.

This is not to say that Greece may not have real economic problems but they are distinct from the pseudo-problem that is standing in the way of Greece confronting the real issues.

Real-World Economics Review Blog
Greece, cognitive dissonance edition
Merijn Knibbe