The costs of sovereign default: Theory and reality

What will happen if Greece defaults? Insights from theory and reality
Eduardo Borensztein and Ugo Panizza, Vox EU, May 6, 2010
This column argues exchange-rate depreciation has helped shrink the costs of default and spur economic recovery in past episodes. As part of the Eurozone, Greece may pay a steep cost if it were to default.

http://www.voxeu.org/index.php?q=node/5004