There are limited options.
1. Default on the debt, but this will create a huge financial crisis and destabilise the world markets, so the consequences on the rest of the world could be severe and I hope no government there will ever intentionally chose this route;
2. Government of national unity, meaning a coalition between left and right. This approach was tried on Wednesday when PM Papandreou had openly secret talks with Samaras, oppostion ND leader, but this attempt failed.
3. Government reshuffle and try to implement phase 2 of the 'EU programme' which will financially enslave the nations for two generations. This is the option that Papandreou has taken.
The new government has now been formed with Evangellos Venizelos appointed as Fiance Minister. His first job was to fly to Luxembourg for aa 2 day meeting with the Euro team. The measures that will be imposed will include the rise of vat from 13% to 23% by September and many many other draconian measures. This is not a good time for Greece or the Euro project...