For many years, Greece has been experiencing a financial crisis due to the debt which the country managed to get itself into.
Greece joined the European Union back in 1981, a grand total of 34 years ago.
The Eurozone and the European Union
For those who are wondering, the European Union is not the same thing as the Eurozone.
Quite simply, the Eurozone is a group of countries who are united by the use of the same currency, namely the Euro. Countries in the Eurozone include Italy, Spain and France.
As part of the Eurozone, Greece is eligible to use the Euro, a currency which has been in place since the beginning of 2002. Before this, the currency of Greece was the drachma.
The European Union, on the other hand, is a union of countries which was brought together in order to create better trade and partnerships. These countries do not necessarily have to use the Euro. For example, the United Kingdom is part of the European Union but not part of the Eurozone, since it uses the British Pound.
Why Might a Country Want to Join the Eurozone?
Benefits of being in the Eurozone and using the Euro include the fact that citizens can travel from their own country to another Eurozone country without having to lose out because of exchange rates. It has also helped to stabilise the currency in many countries.
Greece and the Eurozone
Due to their financial difficulties, Greece could potentially be forced out of the Eurozone if they cannot repay the money to Italy, Germany, France and the European Union, among many other parties who loaned them money.
Since the total debt of Greece is a whopping 360 billion euros, it’s no wonder that the possibility of them being kicked out of the Eurozone is a reality.
Should Greece Leave the Eurozone?
Many politicians and members of the public believe that there is no future for Greece with the Euro, and it would be a good move if they left the Eurozone. They even coined a new term for this possible event – the “Grexit”.
However, others believe that returning to the drachma would be a bad move, and would only make their financial situation even worse.
Apart from the chaos it would cause for Greece to leave the Eurozone, they would also incur even more debt and expenses by doing so.
Betting on Whether Greece Will Leave the Eurozone
William Hill is allowing gamblers to bet on whether they think Greece will leave the Eurozone this year. Greece not leaving the Eurozone has odds of 1/5, while Greece exiting in 2015 has odds of 10/3. Of course, these bets only apply if Greece leaves this year.
Apart from betting on specifically what you think about Greece leaving the Eurozone this year, you can also bet on which country you think will be the first to leave, which some people consider a less risky bet.
On this list are various countries including Italy with odds of 14/1, Cyprus with 5/1 and Ireland at the bottom with 40/1.