While Greece may be defaulting on its debts, this isn't the first time and might not be the last...

1. While Greece may be defaulting on its debts, this isn’t the first time and might not be the last.
BONUS FACT
Greece's annual production of olive oil
weighs as much as 1,575 blue whales.
With a history of not paying debts and protesting austerity measures, Greek financial troubles are likely to continue.
Sources: http://edition.cnn.com/2015/07/06/europe/greece-how-did-we-get-here | http://www.businessinsider.com/mind-blowing-facts-about-greece-economy-2015-6
Securities offered through WFG Investments, Inc., Member FINRA & SIPC. Investment advisory services offered through WFG Advisors, LP.
At the end of June, Greece defaulted
on a repayment to the International
Monetary Fund.
WHY IT HAPPENED
2001
2002
2004
August
2004 The budget deficit was not 1.5%, as
reported, but 8.3% -- five and a half
times higher than thought.
Two years later,
a new government
came to power and
discovered something
February
2012
February
2015
June
2015
Bogus figures hid
the true extent of
its deficit
Greece became the 12th -- and last
-- country to join the Eurozone
before the launch of the euro at the
beginning of 2002.
Greece adopted
the Euro
The Olympics
were held in
Greece
The Greek government concealed
relevant figures.
2008
In 2008, the country's tax collection,
such as it was, collapsed. The hole
in the budget grew too big to hide.
Other Eurozone countries helped.
Greece was hit far
harder than many
other countries
Borrowing new
money to pay old
debts
Hence the
current crisis
2008-
2009
2008
The other Eurozone countries, in
the form of the so-called troika -- the
European Commission, the European
Central Bank and the International
Monetary Fund -- stepped in to prop
up the patient.
International lenders
rescued Greece
Bailout led
to layoffs
Relations between representatives
of the international lenders and
Greek Prime Minister, Alex Tsipras
and his finance minister, Yanis
Varoufakis, were poor – hampering
negotiations.
But the country ran
out of money again
Greece has a history of financial troubles
WHY IT COULD HAPPEN AGAIN
49.7%
63.5%
Greece is almost five times
the size of Massachusetts, but
Massachusetts' GDP is twice
that of Greece.
Greece has spent a combined
90 years, almost half of the
time since its independence,
in financial crisis.
of Greece’s young
active population
is unemployed.
Corruption costs Greece
about 8% – 10% of GDP
per year.
of Greeks between
ages 18 – 34 live at
home with their
parents.
Protests grew and the government
accepted another bailout loan. A new
austerity plan was agreed upon.
The government had to improve its
tax collection and save money in an
effort to bring its budget into balance.
Unemployment rose, depressing
government tax revenues.
Greece cooked its books & hid its
economic problems from other
Eurozone Members. This would
prove staggering.
The country’s first default
occurred way back in the
fourth century B.C.