Rachel Donadio
The New York Times
November 2, 2011

With the government teetering on the verge of collapse, the Greek cabinet offered its full support early Wednesday to Prime Minister George Papandreou for his surprise plan to call a referendum on the Greek financial crisis.

The proposal threatens Greece’s adherence to the terms of a new deal with its foreign lenders and has plunged Europe into a fresh bout of financial turmoil.

But several lawmakers in the governing Socialist Party rejected the plan, raising the possibility that Mr. Papandreou will not survive a no-confidence vote scheduled for Friday that depends on his holding together a razor-thin parliamentary majority.

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