Why is Greek economy so bad?

Why is Greek economy so bad?

Greece’s GDP growth has also, as an average, since the early 1990s been higher than the EU average. However, the Greek economy continues to face significant problems, including high unemployment levels, an inefficient public sector bureaucracy, tax evasion, corruption and low global competitiveness.

Is Greece’s economy getting better?

According to the European Commission (EC), Greece’s economy should grow by 2.4% in 2020 — a figure considerably higher than the 1.4% predicted for the European Union (EU) as a whole. This trajectory has continued since and the EC estimates its economy grew by 2.2% in 2019.

Is Greece’s economy bad?

Despite austerity measures, many aspects of Greece’s economy are still problematic. Government spending makes up 48% of the GDP while EU bailouts contribute around 3%. 22 As of 2017, Greece relies on tourism for 20% of GDP.

What was the growth rate of the Greek economy?

During that period, Greece saw growth rates second only to those of Japan, while ranking first in Europe in terms of GDP growth. It is indicative that between 1960 and 1973 the Greek economy grew by an average of 7.7%, in contrast to 4.7% for the EU15 and 4.9% for the OECD. Also during that period, exports grew by an average annual rate of 12.6%.

What are the current economic problems in Greece?

Greece’s GDP growth has also, as an average, since the early 1990s been higher than the EU average. However, the Greek economy continues to face significant problems, including high unemployment levels, an inefficient public sector bureaucracy, tax evasion, corruption and low global competitiveness.

Why was the Greek economy so bad before the Euro?

Greece’s productivity was much less productive than other EU nations making Greek goods and services less competitive and plunging the nation into insurmountable debt during the 2007 global financial crisis. Before acceptance into the Eurozone in 2001, Greece’s economy was plagued by several problems.

What was the budget deficit in Greece in 2009?

By the end of 2009, the Greek economy faced the highest budget deficit and government debt-to-GDP ratio in the EU. After several upward revisions, the 2009 budget deficit is now estimated at 15.7% of GDP.