Italy’s Coming Stealth Eviction From The Eurozone
The fiscal plans of the incoming Italian government will trigger a bond crash, capital flight, a bank run and a clash with the EU. They are simply not compatible with […]
3 Vicious Cycles Threatening To Blow Up Financial Markets
Despite economic tailwinds and a massive bond buying program by the ECB, Italy hasn’t been able to even dent its debt/GDP ratio. When the ECB ends its bond buying program […]
The Euro Tends To Worsen Economic Crisis, Can Anything Be Done About That?
Countries suffering from economic crisis have no recourse to normal adjustment mechanisms like devaluing or independent monetary policy tools. What’s more, there is no automatic redistribution through a big federal […]
Someone Should Explain To The Germans And Dutch How The Euro Works In Their Favor
The workings of the European Monetary Union are still not well understood by many citizens, especially in countries which are the main beneficiaries of the euro. The system is rife […]
The Next Eurozone Battle Is Shaping Up
The structural design deficiencies in the eurozone have been papered over by the cyclical tailwinds in the economy and balming ECB action. But at the first sight of headwinds, these […]
The Hard Euro Is An Assault On Democracy
The euro is basically unbreakable as the cost of leaving has increased. The amount of discipline necessary to keep the euro together is unprecedented. And countries have shown willingness to […]
The Euro Can’t Break Up
The euro is highly dysfunctional, it confers few economic benefits, has been an economic disaster and is a source of political problems within the EU. It was never easy to […]
Will Italy’s Lost Decades End With A Bang?
Italy’s economy isn’t expected to return to its 2007 output level until the mid 2020s. While Italy would benefit from an Italian Margaret Thatcher, there are few good options left […]
If You Kick The Can Long Enough, It Becomes A Bomb
Greek debt is simply unsustainable, even the IMF says so. The only way to have a chance of defusing this time bomb is to exchange debt relief for the IMF […]