Bail Out Greece? Many Slovaks Don't Like the Idea
"Look around now," Karpis said. "The nuclear option is too small."
Leaders in the euro zone are too slow to react to market moves, he said. They are growing aware that a default by Greece is highly likely -- this is why the ECB changed rules on what collateral it accepts when it comes to lending to financial institutions, he added.
"The worst-case scenario for me is that markets react quicker than them," he said, adding that he thought the big players in the markets are already hedged against such a possibility, since they had one and a half years to prepare.
The effects are likely to be similar to those of the Lehman Brothers crisis of 2008, which brought the world economy to the brink of collapse, some analysts say.
For Slovakia, which has already begun to feel the effects of the German slowdown, it would mean another deep recession, and the government would unable to stimulate the economy with tax cuts or other incentives because of the country's deb-to-GDP ratio.
"People here still love the euro, but I think this love will end badly," said Karpis.
- Anca Dragu in Bratislava contributed to this story