Unit 4: Greece - The economy in pictures!

We often forget about the real impact of severe depression on an economy. This article from a journalist at Reuters illustrates in a striking way the damage that a persistent depression can have on the physical capital of a modern economy. 

Economists have a term for this - hysteresis - and a quick flick through this montage of images of abandoned factories reveals much about the long term scarring effects of an economy whose trend growth rate has collapsed.

Really sad, and a reminder that Economics is not about diagrams and theories, but real life and people!