But on the other hand, GDP in our smallest euro area member state, Luxembourg, is roughly the same as the share of small states like Vermont, South Dakota or Maine. Consider another example. In Europe, the Finnish economy is heavily dependent on only one sector, telecom. I am sure, the Nokia trademark rings a bell here, too.
In the following year, another “new” drachma was introduced and set equal to 1,000 “old” drachmas. Coupled with the nominal anchor provided by the Bretton-Woods system and tightened fiscal policy, the “new drachma” played a key role in reducing inflation expectations. During the next fifteen years real GDP growth averaged 7 per cent, one of the highest in the world.