Just a few moments ago I talked with the director of the Lowy Institute's International Economy program, Leon Berkelmans, about this week's developments in Europe. An interim deal has been thrashed out to give Greece a four-month extension so that it can work out how to pay its creditors. But as Leon explains, events may move faster than that timeline, with Greek tax revenues coming in at unexpectedly low levels.
We also talk about the larger significance of the Greek economy: 'why does Europe care so much about an economy smaller than that of New South Wales?', I ask. That prompts Leon to talk about confidence in the rest of the EU, and the spectre of bank runs.
Footnote: when the recording was over, Leon and I continued on the topic of bank runs, which in turn got us talking about the bank run scene in Mary Poppins. Here's the delightful number leading up to that scene, 'Fidelity Fiduciary Bank':