The Welfare System Research Based On The Greek Debt Crisis

The outbreak of the Greek sovereign debt crisis has bad influence for the wholeeuro zone and even the world economy. The sovereign debt crisis makes the seriousproblem of Greece welfare economic model has exposed, that caused explore andreflect from the people from the social. The EU and the IMF have taken advantage of aaid system for Greece. But the conditions are very harsh, especially in the aspect ofcutting benefits. However, the welfare system rigidity acts on the various interestgroups. It made Greece get into "debt-reform-action-credit deterioration"-----avicious cycle of never-ending.This paper is mainly describes Greece welfare economic system on the impact ofgovernment economy. Eventually, it led to the Greek debt crisis. This paper puts touse the economics theory and analysis methods of western economics, newinstitutional economics, government economics of the welfare state, the endogenouseconomic growth, and so on.By the studying of the conduction path between the high welfare economicmodel and the sovereign debt crisis in Greece, we can find the truth in the outbreak ofthe Greek debt crisis. At the same time, the article has put a philosophical reflectionrespectively the macro and micro level for the difficulties of Greece welfare system. Italso introduced the cooperation, and it should be connected to the Greek arrangementof the welfare state system. And as a representative of the typical, Sweden andGermany were analysis of the effect that brought by the system arrangement. At last,this paper puts forward the principle that the welfare reform of Greece should adhereto. And, Greece’s long-term welfare system reform measures should be taken. All of what above has great significance for the Greek economy, and it will influence theother countries. In a way, it has prodigious sense to improve Chinese warfareinstitution.