Yes, Greece is a small economy.
There has been a continual flow of text in the Eurozone crisis based on this idea: if Greece goes, this is the end of the Euro. Because of that, the Eurogroup will step back from the brink and make the necessary compromise, provide Syriza with the financing it needs with less or no conditionality, and Grexit will be avoided. Robert Peston repeats this idea as a near certainty in his blog today on the BBC website. He had a go repeating it on the Today program, but, mysteriously, the line was cut before he got going. (Coincidence, or intervention by Schauble? You decide).
This idea is greatly overplayed.
Greece is a very small country. It’s too small and different to learn any kind of lessons about how the large, troubled countries would be dealt with. Those being Spain, Italy, even France. I’d say that the Germans would not be able…
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Utopia, you are standing in it! 
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