The current scenario in Greece unambiguously brings out the pros and cons of economic integration among countries. While the advantages, such as a stronger global position, are well known, the negative consequences have been highlighted by the recently feared "Grexit". Integrated economies become vulnerable to mishaps taking place in their union. They have to be ready to provide support to an ailing economy, financially or politically, and also offer financial help in the form of loans that could turn bad. Also, there is the possibility of trade diversion from low-cost countries to high-cost economies. Though a fresh deal has been struck for Greece, there is no guarantee that a "Grexit" would not happen. One only hopes that Greece will be able fulfil the exacting conditions of the deal.
Rishika Shankar Moradabad
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