Clashing views in Greece, Germany drive Europe’s latest financial crisis

BERLIN – Greece, perhaps at German urging, might decide to leave the eurozone – the group of nations that use the euro as their currency – as early as today.

At least, that’s the current thinking.

Greek officials have submitted a proposal to extend the repayment terms on their most recent European bailout, and Germany appeared to be leaning toward rejecting it. So Greek officials countered that it was a “take it or leave it” proposition.

The European consensus is that if Germany sticks to its guns, Greece will be forced to exit the eurozone, a “Grexit,” as some pundits put it. The departure would likely be destabilizing to the European Union and its currency – but devastating to Greece.

To understand why Europe, which a decade ago seemed to be on the verge of becoming a dominant global economic force, finds itself stumbling now, it’s important to view the impasse from the perspective of the two main players, Greece and Germany.

Greece is the borrower, the troubled country needing a hand to get out of a deep, deep hole. Germany is the strongest European economy, and as such, a primary lender in what’s now seven years of loans and bailouts to Greece.

The view of Athens from Berlin is an unpleasant one: Germans increasingly see the Greeks as leeches, selfish and corrupt. Their country is teetering along the brink of disaster because they refuse to address some rather obvious problems. Bringing Greece into the eurozone was a huge mistake. Greeks don’t pay their taxes. They retire too early and work too little. They’re content to sit in the sun and enjoy a coffee that’s almost certainly financed by hardworking Germans.

The view of Berlin from Athens is no better: Greeks increasingly see Germans as neofascists, intent on economic conquest. In the Greek view, the Germans hoard euro riches without emotion as their cruel financial plans bring ruin and heartbreak to smaller nations. At Greek political rallies, posters showing photos of German Chancellor Angela Merkel altered to depict her in Nazi garb are commonplace. Greek Prime Minister Alexis Tsipras recently told his Parliament that their country had “a moral obligation” to seek Nazi war reparations from Germany.

The two views indicate there’s not much room for negotiation.

Exactly what will happen will be hashed out during an emergency meeting today in Brussels of the finance ministers of the 19 nations in the eurozone. Despite the heated rhetoric, it’s possible the ministers will agree to extend the $275 billion Greek bailout by another six months.