The Euro crisis and the new impossible trinity
Pisani-Ferry, Jean. The search for solutions to the euro crisis is based on a partial diagnosis that overemphasises the lack of enforcement of existing fiscal rules. Europe’s leaders should rather address the euro area’s inherent weaknesses revealed by the crisis. At the core of euro-area vulnerability is an impossible trinity of strict no-monetary financing, bank-sovereign […]
Euro Checkers: Guide to Greek PSI
Forelle, Charles. The negotiations over Greece’s debt restructuring, which continue tomorrow in Athens, are a real head-twister, a six-sided game of Chinese checkers, European-style. Here’s our guide through the strategic thrusts and parries. There are, roughly, six groups with interest in the “PSI” talks, which are going on this week. They are: northern euro-zone governments, […]