Structural shortcomings keeping Greek recovery at bay

"It is a national and pressing necessity for us to formally ask our partners for the activation of the support mechanism, which we jointly created in the European Union." Greeks are unlikely to forget the scene of George Papandreou standing in the springtime sun against the backdrop of Kastelorizo island's picturesque harbor announcing the country's recourse to its new creditors: the member-states of the eurozone, the European Central Bank and the International Monetary Fund. The date was April 23, 2010.

No one at the time could have imagined how long and painful the process would be and initial optimism for what turned out to be the first of three programs evaporated within the first few months. A lot of high-risk moves have been made since then, pushing the country to the brink. The capitulation of the leftist-led coalition government of SYRIZA and Independent Greeks in...