US 'could have forced a haircut,' says former IMF deputy director for Europe

"The fundamental reason why the Greek crisis lasted so long was the extreme level of austerity that was imposed." That is the verdict of Ashoka Mody, visiting professor in International Economic Policy at Princeton University, a former deputy director of the International Monetary Fund's European Department and one of the most eloquent critics of the policies of the troika in Greece and elsewhere.

Mody, who recently published a long-form version of these critiques in his book "EuroTragedy: A Drama in Nine Acts" (Oxford University Press), spoke to Kathimerini about the Greek crisis and those to blame for it.

We began by discussing what many consider the original sin of the bailout period: the decision not to restructure Greece's debt in May 2010. What should the IMF have done?

"It should have insisted, it should have made the restructuring a condition of its...