The small problem which arises if Greece decides to leave the EUROZONE, is that the direct loans which were made to Greece would have to be written-off ! The amount involved is about 320 Billion EUROS.
However, every EUROZONE country on joining the EURO has ordered or printed the EUROS it required to replace its previous local currency.
If Greece now defaults it will be impossible to find and then destroy the Greek part of the EUROS ! They will still be legal tender wherever they are circulating !
Greek banks at present have a limited stock of Euros but which its customers are withdrawing in anticipation that there will be a "Grexit" ! For them the EURO is still a hard currency and which they will still be able to spend in the future !
The EUROPEAN CENTRAL BANK (ECB) has no effective control over these Greek EUROS, but their continued existance is an additional inflationary factor in the EUROZONE economy !
One could pretend that the Greek EUROS problem is like the Trillion EURO investment program of the ECB, but this is not the case. Nor is it another form of Quantitative Easing.
Greece is a small country, but..... What would happen if Italy, France or Spain wanted to leave the EUROZONE ? Would the EURO not be seriously attacked on the Financial Markets, and....what could then happen ?
Bankers in the EUROZONE have a problem to solve !
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