Definitely it does sound hypocritical for the Germans to be demanding
such social austerity in Greece, while at the same time maintaining
massive arms contracts. While of course Greece was profligate and would
need help anyway, it needs to be highlighted when countries like German
and France are imposing tough conditions, to lend money which will be
used to pay bills owed to them! Furthermore it is a valid question as to
whether inner core countries have been able to reduce military spending
partially due to relying on (poorer) peripheral countries who have to
maintain the border. Of course there is some sharing of resources in the
EU, but psychologically there is more drive if one is on the perimeter.
And of course military spending is often accompanied by corruption, so
will always appeal to the government/elite who can profit from it, and
in border countries the psychology may again enable them to convince the
public to pay for it (and worth noting even some German companies have
been fined/settled out of court with regards to corrupt deals with
Greece).
http://www.guardian.co.uk/world/2012/apr/19/greece-military-spending-debt-crisis?INTCMP=SRCH
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