The European Banking Union?
Sinn, Ηans-Werner. In blatant violation of the Maastricht Treaty, the European Commission has come forward with one bailout plan after another for Europe’s distressed economies. Now it wants to socialize not only government debt by introducing Eurobonds, but also banking debt by proclaiming a “banking union.” Πηγή: Project Syndicate πλήρες κείμενο
An Impossible Solution for Europe
Mattich, Alen. There’s only one thing that would resolve the euro zone’s problems: an open German wallet. But the only way an open German wallet is even conceivable is if it means full German authority over those who benefit from German largesse. Πηγή: The Wall Street Journal πλήρες κείμενο
The Accidental Empire
Soros, George. It is now clear that the main cause of the euro crisis is the member states’ surrender of their right to print money to the European Central Bank. They did not understand just what that surrender entailed – and neither did the European authorities. Πηγή: Project Syndicate πλήρες κείμενο
The Wrong Austerity Cure
Tyson, Laura. Fiscal profligacy did not cause the sovereign-debt crisis engulfing Europe, and fiscal austerity will not solve it. On the contrary, such austerity has aggravated the crisis and now threatens to bring down the euro and throw the global economy into another tailspin. Πηγή: Project Syndicate πλήρες κείμενο
Lessons from Latvia
Blanchard, Olivier. In 2008, Latvia was widely seen as an economic “basket case,” a textbook example of a boom turned to bust. From 2005 to 2007, average annual growth had exceeded 10%, the current account deficit had increased to more than 20% of GDP. By early 2008 however, the boom had come to an end, […]