The Alternative to Austerity?

Does anyone really think that the correct policy for Greece over the last few years would have been to leave the structure of the economy in tact — the corruption and lack of private sector competitiveness, the lax tax collection, the inefficiency of the government, the extensive subsidies and monopolies and state ownership of firms, the regulatory strangulation — and simply lent the government whatever money was necessary to keep things as they are, including a sky high government deficit?