Monthly Archives: November 2011
The gold standard and the euro-area (pdf).
From the Financial Times, 28 May 2010: But the alternative to [Greek debt] restructuring [i.e. default/re-profiling/haircut/etc.] will probably be grim too. If Greece staggers on, without a miracle, fears about future “haircuts” will continue to poison the bond markets and … Continue reading
This is an extract from my post of 29 May 2010 — critiquing Europe’s ‘Plan A’ for Greece. Plan B starts from the assumption that Plan A won’t work; that Greece will arrive at year 2013 still insolvent. The economy has … Continue reading
I’ve argued since May 2010 that Greek travails — the debt dynamics, the dogmas, the policy response — revealed a situation all-too-similar to the breakdown of the interwar period’s fixed-rate monetary regime. The very short story of that episode is … Continue reading
Judging from comments on a popular right-wing UK newspaper blog, efforts to rescue the euro augur something sinister. The essence of this view is that, in order for the common currency area to be sustainable, the sovereignty of the member … Continue reading
The argument here is that some countries in Europe are further from the liberal-democratic, social-market end-state than others. Crudely: some states have not reached the ‘end of history’, as Fukuyama put it. When you read about the Greek crisis exposing … Continue reading
Italian bond yields reflect decisions announced at the 27 October EU summit — namely, that new Italian bond issues might carry first-loss insurance. If that’s the case, investors would rather hold those new bonds than the existing secondary market bonds. … Continue reading