Not since the era of Aeschylus, Sophocles and Euripides has Greek drama enjoyed such popularity. Audiences are riveted by provocative dialogue (“immoral beggar”; “fiscal water boarding”), tested themes (a Greek David versus a German and European Union (“EU”) Goliath), modish pop science (game theory) and sex (a Greek Finance Minister who attracts attention in equal [...]
What matters isn’t what you think should happen, it’s what others think will happen that counts. Funny days these, the world seems to be constantly turning upside down. I could be talking about the arrival of negative interest rates in many European economies, but I’m not. What I have in mind is the crossover that [...]
At a meeting in Kazakhstan last week, Russian President Vladimir Putin proposed a currency union for the members of the Eurasian Economic Union (EAEU). Russia, Kazakhstan, Belarus, and Armenia are the current members, and Kyrgyzstan is scheduled to join later this spring. Does a common currency for the EAEU make sense? Not in economic terms, [...]
The Impact of ECB QE
The ECB is using the most powerful weapon in its armory and Europe is now in uncharted waters.
No solution is in sight for the Greek crisis. And while the EU and most of the Greek people do not want a breakup from the Eurozone, Greece and its partners should realize that they are at a dead end and that the time has come for them to consider bold alternatives, including a consensual [...]
QE experiments so far have shown no significant impact on aggregate demand and consumer price inflation: QE has no way to funnel money to those who are most inclined to spend it.