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The Greeks have called the EU's bluff.
Now the ball is in the EU's court. A few factors to consider.
1. Greece will never repay or try to repay the debt while they're in the EU. Even if they are willing, they can't.
2. They default and run out of money.
3. Or the EU pumps in more to keep the Euro from tanking. Which is a continuation of the last few years. The EU lays down conditions, the Greeks agree, get the money and ignore a lot of the conditions. They are now at the point of no return.
4. They leave the Euro, for which there is no procedure, the EU can't force them to. The Euro was set up as a one way ticket. Once in, it was not envisaged someone would leave.
Once out they go back to the Drachma, which is going to be very low value. From there they rebuild their economy. Still not paying the right tax rate.
evy97 points out what happens when a Government doesn't collect enough money to keep a country running. Not even a wasteful administration can run up that kind of debt.
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