AFAIK Greece cooked their books, with the help of bankers, to enter the Eurozone. Then French and German politicians pushed hard to remove other obstacles (such as ongoing infrigements and the reserves of the European Statistical Office regarding the quality of the Greek accounts), arguing that there were anyway criteria to observe (Maastricht criteria). Then it suited the largest countries not to observe thr criteria, so the Institutions closed their eyes on Greece too. But Greece had kept cooking its accounts and eventually that could not be kept hidden.
The bailouts are only one side of the issue. I very much doubt that the proposed 3rd bailout would change anything to the situation of the dysfunctional Greek state finances. But a disorderly unbundling of the "emergency liquidity assistance "(126 Bn €, more than the total value of Greek deposits_ this is not liquidity but solvency assistance ) and the disruption of the Target balances would cause major trouble to the Eurosystem.
The issue is :for me how do you trust such a monetary system,?
Riotact: AFAIK Greece lie about their financial status to get into the EU. They should never have been allowed in. The previous government even lied about the recent financial status which was only realised when the current government got into power.
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Greece is only a very tiny %-age of EU's GDP, the biggest problem they will cause is on the money markets for other EU countries trying to raise money. The value of the euro will drop making exports cheaper which can be good in the short term, hopefully good enough to get the EU over the hump before that piper has to be paid because of rising import prices.
I think the EU is now strong enough financially to weather this storm compared to the last time Greece had to be bailed out.