Just heard Simon Johnson at the IMF conference on Iceland (webcast). He’s (still) very worried about overleveraged financial institutions and especially about the euromess. I’ll have a lot more to say on the latter in an upcoming post. For now, I just wanted to report the terrifying proclamation of Johnson. Paraphrase: ‘The European banking system is going to unleash major shockwaves into the global economy’. Caveat emptor: Johnson has been decrying ‘financialization’ of the economy since 2009 at least, and I think he’s obsessed with this theme in a way that we all can develop obsessions (see: open-thinking.com 2010 May-June archives re: the Greece plan is going to fail).