07-25-2012, 12:42 PM
No, completely agree, no fiscal integration, politicians rarely commit suicide..
Not in my lifetime.
Well, the Germans might be in a sweet spot, but it is souring by the minute. Basically the euro crisis is a classic balance of payment crisis, and what they've been doing is finance the deficits of the periphery through some not too well known system called Target 2. It's an intra-eurozone settlement system between the central banks. The Bundesbank is a net creditor to the tune of 25%+ of German GDP, and rising..
Not in my lifetime.
Well, the Germans might be in a sweet spot, but it is souring by the minute. Basically the euro crisis is a classic balance of payment crisis, and what they've been doing is finance the deficits of the periphery through some not too well known system called Target 2. It's an intra-eurozone settlement system between the central banks. The Bundesbank is a net creditor to the tune of 25%+ of German GDP, and rising..