Europe risks another depression?
source: http://baselinescenario.com/2010/02/07/europe-risks-another-global-depression/
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- CaptSutter
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Valid criticisms from Simon in this article but you guys across the Atlantic need to recognize that Inflation scares the Europeans more than depression. Simons is a pretty good academic in this article but you don't recognize where people are coming from it becomes all to easy to say they are idiots.
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The entirely pointless G7 meeting this weekend only served to underline the fact that Europe is again entering a serious economic crisis.
At the end of the meeting yesterday, Treasury Secretary Tim Geithner told reporters, “I just want to underscore they made it clear to us, they the European authorities, that they will manage this [the Greek debt crisis] with great care.”
But the Europeans are not being careful – and it’s not just about Greece any more. Worries about government debt and associated public sector liabilities (e.g., because banking systems are in deep trouble) have spread through the eurozone to Spain and Portugal. Ireland and Italy are next up for hostile reconsideration by the markets, and the UK may not be far behind.
What are the stronger European countries, specifically Germany and France, doing to contain the self-fulfilling fear that weaker eurozone countries may not be able to pay their debt – this panic that pushes up interest rates and makes it harder for beleaguered governments to actually pay? ......
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The entirely pointless G7 meeting this weekend only served to underline the fact that Europe is again entering a serious economic crisis.
At the end of the meeting yesterday, Treasury Secretary Tim Geithner told reporters, “I just want to underscore they made it clear to us, they the European authorities, that they will manage this [the Greek debt crisis] with great care.”
But the Europeans are not being careful – and it’s not just about Greece any more. Worries about government debt and associated public sector liabilities (e.g., because banking systems are in deep trouble) have spread through the eurozone to Spain and Portugal. Ireland and Italy are next up for hostile reconsideration by the markets, and the UK may not be far behind.
What are the stronger European countries, specifically Germany and France, doing to contain the self-fulfilling fear that weaker eurozone countries may not be able to pay their debt – this panic that pushes up interest rates and makes it harder for beleaguered governments to actually pay? ......
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- groups:
- Community
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- tags:
- Finance, Depression, Inflation, Hyper-inflation
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Psymoniac
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LMFAO - "What are the stronger European countries, specifically Germany and France, doing to contain the self-fulfilling fear that weaker eurozone countries may not be able to pay their debt" - and what about paying their own debts?^^ naaa, impossible....and btw, a weak euro is the best that can happen to germany 'cuz we are exporting so a high euro scares the investors so if its low and in additional other lame countries suck, the investors are looking again into the core and voila - the euro rolls again in our economy...."systemic risk"...pff
- 2 years ago
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Psymoniac
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Monkey_Films
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....and so it begins.
- 2 years ago
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Monkey_Films
