The collapse of the Euro and bankruptcy is going to stare Greek voters in the face.
They can reject the bailout deal - that’s their prerogative but if they default on Greece’s debt its going to be very tough for Greece to recover - even if it reinstates the drachma.
If investors have to write off their losses, who in their right mind wants to invest in Athens again?
Greek voters have a big decision to make.
Investors? We aren't talking about people investing in building Greek olive oil plants. We are talking about people who kept buying Greek government bonds long after it should have been obvious that the Greek government couldn't afford them, because they believed that government bonds would never be allowed to default. Those investors were enablers.
All these desperate deals are attempts to avoid government default at all costs. But if default happens it should teach everyone a valuable lesson. Don't ignore ability to pay when loaning money to governments. This would put a real damper on out of control government spending, not just in Greece.
After taking a 30-50% haircut, who in their right mind would invest in Athens again?