Must-Read: Charles Wyplosz: Greece Should Prepare for Grexit, and then Not Do It

Must-Read: Charles Wyplosz: Greece Should Prepare for Grexit, and then Not Do It: “There is a high likelihood that Grexit will be back on the table…

…This column argues that Greece can strengthen its negotiating position if it is prepared for exit. Grexit remains a disastrous choice, but it has become the default option for Greece and its creditors. However, preparing for Grexit does not mean leaving the Eurozone. A credible threat point may deliver a better outcome. The purpose of the exercise should be to make Grexit a plausible solution, then not to do it.