Ultimately, the authorities’ approach merely replaced one problem with another: IMF and official European loans were used to repay private creditors. Thus, despite a belated restructuring in 2012, Greece’s obligations remain unbearable — only now they are owed almost entirely to official creditors.
Category: Eurozone
How to Resolve the Fiscal Problems of Southern Europe?
As the Greek case shows, citizens cannot endure privations for a long period of time.
A very interesting chronological review of the events that undermined Baltic republics which then spread to the Southern Europe.
An Agenda to Save the Euro
Joseph E. Stiglitz :
The euro was supposed to bring growth, prosperity, and a sense of unity to Europe. Instead, it has brought stagnation, instability, and divisiveness.
As Banks in Cyprus Falter, Other Tax Havens Step In
The rush by rival havens could pose economic troubles as Cyprus struggles to keep afloat a financial industry that employs tens of thousands of people. Cypriot unemployment, already at 15 percent, is expected to soar as the finance sector and the overall economy contract, aggravating a crisis that the bailout was intended to solve.
Europe Scrambling With Last Minute Revision To Cyprus Deposit Confiscation Plan
In the meantime, what happens in Cyprus tonight, or tomorrow, and what the final confiscation schedule looks like, is merely bitter sweet victory for all those who have claimed that the European monetary experiment is finally coming to a long overdue end.
Abnormal Capitalist 