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Economic Quarterly

Third Quarter 2014

Should Greece Remain in the Eurozone?

Robert L. Hetzel

Should Greece remain in the Eurozone at the cost of continued deflation and recession? Alternatively, is it realistic to believe that Greece can return to prosperity by leaving the Eurozone and readopting its own national currency, the drachma? An answer to these questions requires an understanding of why Greece has suffered prolonged recession.

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