Belias, D., Kyriakou, D., Koustelios, A., Varsanis K. & Blanas N. (2015). Democracy and Greece in turbulent economic times: A myth or a reality? 4th Pan - Hellenic Conference on Applied Economics “ECONOMY & DEMOCRACY”. DEPARTMENT OF ECONOMICS. UNIVERSITY OF THESSALY. Volos, 23 24 November 2015 Democracies are characterized by greater freedom, executive accountability and turnover, openness, transparency, and the ability to credibly commit. Each of these characteristics brings important benefits, which are well-recognized. However, as suggested by Remmer (1990), they may also increase the likelihood of financial instability and crisis onset. The philosophical attachment to private liberty and freedom may contribute to excessive financial deregulation and liberalization. Frequent executive turnover may lead democratic leaders to neglect the long-term costs of policies that encourage short-term economic booms. But was Greek democracy largely able to weather the storms of the global recession? Greece’s acute fiscal challenges have resulted in widespread public anger and distrust of the government. Therefore, which is the most important factor explaining democratic resilience in turbulent economic times in Greece? This study will try to prove that despite their imperfections, democratic systems provide citizens at least some ability to express frustration peacefully through open debate and elections even though that was not much evident in Greece's case since Greek citizens do not continue to accept the political system as legitimate when the economic performance of the country still suffers.
Democracies are characterized by greater freedom, executive accountability and turnover, openness, transparency, and the ability to credibly commit. Each of these characteristics brings important benefits, which are well-recognized.
However, as suggested by Remmer (1990), they may also increase the likelihood of financial instability and crisis onset. The philosophical attachment to private liberty and freedom may contribute to excessive financial deregulation and liberalization. Frequent executive turnover may lead democratic leaders to neglect the long-term costs of policies that encourage short-term economic booms.
But was Greek democracy largely able to weather the storms of the global recession? Greece’s acute fiscal challenges have resulted in widespread public anger and distrust of the government. Therefore, which is the most important factor explaining democratic resilience in turbulent economic times in Greece?
This study will try to prove that despite their imperfections, democratic systems provide citizens at least some ability to express frustration peacefully through open debate and elections even though that was not much evident in Greece's case since Greek citizens do not continue to accept the political system as legitimate when the economic performance of the country still suffers.
