Greece : 2009 Article IV consultation : staff report : staff supplement : public information notice on the Executive Board discussion : and statement by the Executive Director for Greece
1. The Greek economy expanded quickly through 2008, narrowing the income gap with the euro area. Financial sector liberalization and lower interest rates after euro adoption caused a demand boom (Figure 1). Productivity catch-up, capital formation, and immigration raised supply capacity, but a positive output gap still emerged
