Nicky Zachary closed her family’s shoe store shortly after opening it Monday — the few customers who had strolled in hadn’t bought a thing.
But she was not discouraged — she thinks Greeks can struggle through hard times and are united in rejecting austerity after a landmark “no” vote in a nationwide referendum.
“My father opened this shop in 1965 and I don’t want to close it,” she said. “We can live with very little and we can live through difficult situations. And I think after the referendum, the Greek people are united in this situation. I don’t want to lose the dream for a better Greece. I want to have hope for a better deal.”
Across the country, Greek banks were still closed, access to cash is severely limited and it’s not clear when or if a fresh bailout deal will be reached for the debt-wracked nation. Yet there was pride and defiance in Athens after a lopsided victory for the “no” forces who want the Greek government to reject the demands of European creditors for more austerity measures, including further cuts to pensions.
“Something happened last night with the Greek people,” said George Papadokostakis, 34, owner of the Due coffee shop. “I’m very happy. We were in a dead-end situation (but) with the ‘no’ vote we believe there may be something better. I thought we were dead, now we have a small hope. So I feel good.”
These good feelings do not mean that business — or life — is good. The bank closures, now in their second week, are having a devastating impact on commerce as shoppers dearly hold onto what cash they have except when they absolutely must make a purchase.
Zachary said she has taken in 100 euros ($110) in sales since the capital controls were imposed June 28. That’s disastrous for a shop with a monthly 2,500 euro ($2,760) overhead for rent, taxes, utilities and other costs.
She’s cut prices by 25 percent or more to lure customers, but it’s not working.
Few people are buying shoes when it’s not clear how they will get more cash. Cash machines are limited to dispensing 60 euros ($66) per customer each day and many Greeks are hoarding what cash they have against future shutdowns — or the chance that the banks might run out of cash altogether.
(AP)
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4 Responses
One needs to admire the courage of anyone who chooses to have a worthless currency subject to hyperinflation. It takes a certain bravery. Very similar to a suicide bomber. Brave. Courageous, Stupid.
akuperma: People won’t give up any benefits once they have it, despite the likelihood of them losing it all.
What will happen in the U.S. when they can’t borrow any more to sustain its economy and the benefits that a near majority of the people get? One thing is for sure, the beneficiaries in the U.S. are far more violent than Greece.
It won’t be pretty.
Re comment no. 1: Once again, you have made it clear that you do not know what you are talking about. Greek voters rejected an offer from creditors that would have required more austerity. Maybe the creditors (including the International Monetary Fund) will respond by sweetening their offer, rather than force Greece out of the euro, or maybe they will let Greece twist slowly in the wind. But there is no certainty that a hyperinflated currency will result from the Greek vote on the referendum.
Additionally, currency devaluation would be a good strategy for Greece in its current circumstances, but devaluation is not an option for the Greek, or any other, government which does not control its own currency. I don’t know how the Greek financial crisis will work out, but it is too soon to know whether Greece will exit the euro and then engage in hyperinflationary behavior.
To#1: I know your being funny but I have to say it anyway: they are neither brave or couragious just plain STUPID. They are really clueless. They think they can have their cake and eat it too. They have some many social welfare programs and heavely sided on workers rights and pearks they can’t go on like that and have a normal economy. This vote is like asking a child if he wants to give up his candy of course he’ll say ‘no’.