Greece Passes Austerity Plan

Mass protests and a general strike weren't enough to derail the Socialist government's plans for taking on Greece's mountain of debt.

Greek lawmakers passed a sweeping austerity plan today, paving the way for more bailout money from the European Union. The plan will rein in government spending and trim social programs to tackle Greece's massive debt, and will free up some $17 billion from the EU and International Monetary Fund to help the country get through the summer. Socialist Prime Minister George Papandreou heralded the bailout money as a “vote of confidence” for Greece from its European allies. The austerity bill had prompted mass street demonstrations in Athens that turned violent today, and a 48-hour general strike across the country, the longest such general labour action in the last 40 years.