Talk about Greece leaving the Euro has been reignited by the recent election of Syrzia, with some again talking about how it is practically inevitable.
Why are these people viewing a Greek default as likely triggering an exit from the Euro? Couldn't Greece simply default on its debt and continue to use the Euro? Would this trigger the ECB to freeze the accounts of Greek banks (and if so, why?).
I understand why moving to a local currency, which can be devalued, might make sense for a country that needs economic stimulation. But I don't understand the direct cause-and-effect from a sovereign default to an exit from the Euro.