Tag: Germany

The EU Fab Four sings the blues

Tuesday, 26 June, 2012

Walter Russell Mead: “The ‘Fab Four’ (Spain’s Mariano Rajoy, France’s Francois Hollande, Germany’s Angela Merkel and Italy’s Mario Monti) reaffirmed a pre-existing agreement to make some mostly symbolic adjustments to European policy, whomping up an air souffle that the Club Med countries plus France can claim is a “growth” package, but it is mostly made […]

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The euro war of words

Tuesday, 12 June, 2012

The cover of the current issue of The Economist, which castigates Germany for its reluctance to become more engaged in efforts to refloat the global economy, didn’t go down well in Düsseldorf, where the country’s leading business newspaper, Handelsblatt, is headquartered. It responded with a featured titled Original oder Fälschung? (original or fake?) and an […]

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Big football fans

Sunday, 10 June, 2012

From Poland to Greece, from Ireland to Germany, from Italy to Russia, football fans across Europe are glued to the screens, public and private, as the Euro2012 tournament unfolds. Sure, much of the continent’s financial sub-structure is falling apart and banks are bankrupt, but now is not the time for distractions from the main event […]

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Name the country at the end of the rainbow!

Wednesday, 14 March, 2012

“Here’s something you probably didn’t know: X today is the richest country in the European Union after Luxembourg.” Baffled by the location of X? Try these clues: “Yes, the country that for hundreds of years was best known for emigration, tragic poets, famines, civil wars and leprechauns today has a per capita G.D.P. higher than […]

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Punk Economics

Tuesday, 31 January, 2012

Irish economist, David McWilliams, explains the euro crisis using “punk economics“, which he describes as “a new way looking at the economy based on the central idea that what is important is not complicated and what is complicated is never important.”

Snippet: “The German solution will only cause a recession, or more recessions, in the periphery. This will cause money to flow into Germany, not out of Germany, because the risk of default in the periphery increases and in time much of Europe will begin to look like Greece, teetering on the edge. As money flows into Germany, German bond yields fall, Greece will default, and this will give the others permission to do likewise because a default in Greece sets off a domino effect all over Europe because Europeans will say, ‘Well, if the Greeks can do it, why can’t we?’ Is it any wonder right now that the price of gold is firm, that the yield on German bonds is falling and that the euro is weakening against the dollar?” He’s onto something.