Greek euro between a pair of grips
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Greek austerity measures not working, says economist

The International Monetary Fund has cut its growth forecasts for Greece in spite of all the austerity measures it has put in place.

It says its economy will shrink for another two years at least and notes that the country is becoming less likely to meet the tough deficit reduction targets it has been set.

Michael Arghyrou, an economist at the Cardiff Business School, told Radio 5 live Wake Up To Money why he thinks the austerity measures, which include public sector cuts and cracking down on tax evasion, are not working.

Wake Up To Money broadcasts weekdays 0530 to 0600 on Radio 5 live.

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  • 14 Dec 2011