Greek Tragedy (Cliche)

Where to begin when trying to assess the worst week in Greek history since when? The fall of Constantinople in 1453?  

Probably better to compare the week's chaos and tragedy - yes, two Greek words - to the junta that took over Greece in 1967 and ruled the birthplace of democracy as a dictatorship for seven years. 

The junta is an appropriate jumping off point since one can argue that those seven years were the last vestige of 'old' or more appropriately 'schizophrenic' Greece,  a nation and identify that vacillated between the middle east and Europe, between a western, classical identity and an eastern, byzantine/ottoman one, between the efficiency, transparency, accountability and meritocracy of the west and the nepotism, bribery,  irresponsibility and shaddy deals of the east.

But the junta and it's failed attempt to stamp out modernity and western culture - everything from the welfare state to the Beatles - convinced Greeks to finally join the west and cast their lot with Europe. A referendum outlawed the monarchy, divorce was legalized, Constantine Karamanlis was re-elected prime minister, and Greece re-applied to join the European Economic Community (as the European Union was called back then) soon after democracy was restored in 1974.  

It was a triumphant moment for Karamanlis, who was prime minister in the late 1950s when Greece originally applied for EEC membership.

Greece was accepted into the EEC, and the biggest event in modern Greek history occurred when Greece became a full member of the then 10-nation European union in 1981.  It may sound weird to think of Greece as anything but European since the motherland founded western civilization - and Greece was a founding member of NATO and was rebuilt by the Marshall Plan - but it wasn't until 31 years ago that that 'officially' happened. 

Of course, it took a while for that notion to take hold.  For instance, in 2005, as our cab driver drove us from the new Venizelos Athens airport to our hotel near the Acropolis he pointed out the 2004 Olympic Stadium, bragged about the airport and highways, and said to me "we are really European now."

And while parts of Greece became modern, parts of it stayed mired in the old, eastern ways, where bribes were necessary to get things done, and the political class rewarded their own and only Greeks with connections got the good jobs or got ahead. 

Ironically, that post-junta European identity is likely the only thing that will save Greece now.  Polls say that 60 percent of Greeks oppose the bailout, but 70 percent want to stay in the Euro zone.  Staying in the Euro zone means Greece will get their latest bailout.  So unlike during the other crises - in 1453, the Pope and the Christian west failed to save Constantinople and the Byzantine Empire from the Ottomans, and in 1967 and during the junta, the U.S. government put up with the dictatorship and did NOT press for a return to democracy - the west will probably save Greece.

But nothing in Greece ever seems to be easy - but it is interesting and full of flawed characters.  

Prime Minister George Papandreou (California born, Minnesota bred, FYI), whose father founded the socialist party he now heads, came into office in 2008, winning that election with an Obama-like margin and optimism.  

 

However, when George Papandreou took office, he discovered that the previous government, headed by the nephew of Constantine Karamanlis, had cooked the books, hidden massive amounts of debt, and basically lied to the European Union in order to join the Euro zone.  The Greek welfare state, which was dramatically expanded by George Papandreou's father Andreas when he was prime minister in the 1980s, had to be cut by his son.

George Papandreou had almost pulled it off, securing 8 billion Euros in the most recent bailout and an agreement to write off 50 percent of Greek debt.  But tragedy struck as it always seems to do in Greece, with Papadreou calling for a referendum, claiming that in a democracy the public should be allowed to vote on the bailout - and the cuts to the welfare state that go along with it.

As I wrap up this blog post I realize that we - Greeks and Greek-Americans - should have seen this coming.  This tragedy is so consistent with the rest of our 3,000 years of unmatched history (of course, if Greece takes down the Euro and the world economy, that historical legacy won't buy us the good favor it does now!).  Our history is our pride and our curse.

For instance: 

• We invent democracy, but the prime minister's decision to have a vote on the bailout threatens to unravel the deal - and cost Greece 8 billion Euros.
• We used to be torn between the east and the west, now the Greek public is split on Europe: pro-Euro zone, but anti-EU bailout and mandated cuts
• The nephew of the prime minister who helped Greece join the European Union in 1981 lied to the European Union in order for Greece to join the Euro zone
• The son of the socialist who expanded the welfare state has to dismantle it.
• (and while we're at it, since the days of the Trojan War Greeks have always enjoyed tricking people; maybe that's one reason half of all Greeks don't pay their taxes)

Greece will survive, it always has against bigger problems. But hopefully, Greece's political class will not.  Greek society needs to finally break with the worst vestige of the east: the oligarchy, in Greece's case the oligarchy of Greek political families like the Karamanlis and Papandreou dynasties. 

Greeks need to believe in themselves, in real grassroots democracy and civil society, in the common good, in laws and not in political classes or families.   The rejection of the junta led to a great leap forward in Greece.  Let's hope this crisis will end the junta of the Greek political classes and families.

A Few More Hellenic Notes:

Of course, Greek political families are only part of the problem. And there is no guarantee that an 'outsider' prime minister would not have done the same thing in terms of expanding a bloated welfare state or cooking the books.   

Why? Because a massive Greek government and public sector has always been a key factor in cobbling together the modern Greek state over the last 180 years.  

Greece's current boundaries were only set in 1947.  From the birth of modern Greece in 1828, to 1947 and beyond, a strong and active central government was seen as essential in absorbing and assimilating ethnic Greeks - who used to live as subjects of the Ottoman Empire, or on islands that were part of the British Empire or belonged to Venice or Italy - into the new modern Greek state AND fostering a modern and independent Greek identity. 

Remember, up until 1828 there had never, ever been one, united Greek state or empire.  Alexander the Great kind of did that, but it didn't last.  Some argue that the Byzantine Empire between the 6th and 12th centuries was the first Greek state or Greek empire, but they didn't even call themselves 'Greeks.' Though they spoke Greek, since they inherited the Roman Empire they called themselves 'Romiosini' - Greek for 'of the Roman Empire.' 

Anyway, in order to build this modern Greek nation state it was felt that a strong and active central government - that would do everything from collecting taxes, to building an army to confront the Ottoman Empire and take back Constantinople, to resurrecting and stressing the link to classical Greece, to cleaning up and standardizing the modern Greek language - was needed.

That belief was shared by all Greeks, whether they were royalists or democrats.  That consensus never changed, and the government got even bigger once Greece joined the Euro zone and was able to borrow billions to maintain such a large government sector.  And borrowing money became easier than collecting taxes from wealthy Greeks, but that's for another blog.   

Finally, two last items.  One, good to see that a unity government will finally be formed between New Democracy and PASOK to show the markets and the EU that Greeks CAN work together.  That happens so rarely that most of those instances are national holidays like last week's OXI Day.

And two, in my opinion one thing that has always gnawed at the Greek psyche is our lack of stature in the modern world.  From 40o BC to 1453 we were the center of universe in many ways.   But since 1828 we've marginal at best.  

Greece has overshadowed the G-20, Herman Cain, you name it.  And today's confidence vote in parliament will be the lead item on newscasts across the globe.  So at least we're at the center of the world again!