Taxation is indeed a good thing, it was the Tories in the Eighties who branded it bad. I for one would happily pay more tax if it was well spent and improved society as a whole.
Sadly the Greeks are screwed either way, default or no default.
What gets me about the Euro scenario the most is that suddenly everyone is suprised about the current issues, surely the idea of the Euro was to help the poorer nations. Subsidize the wealth from the richer nations to help a greater Euro was the plan.
Otherwise what was the point of the Euro?