Whilst the flamboyant style of the new Greek minister of finance seems to impress the media, the rhetoric of Mr. Varoufakis has quickly lost all of its creditworthiness. This is not due to the general lack of credibility of Greece as a country and its political elite as a group but to the erroneous calculus of a man specialized in in game theory but inexperienced on the battle field. His initial discourse has consisted of threats, underpinned by the assumption that Germany would pay in any case – with or without a new bail out. This stance has evidently ignored the robustness of the German economy, the soundness of its public finances and the political strength of a country attached to the rule of law. (read more …)