The Greek government has rejected the latest austerity and reform proposals from the EU, the ECB, and the IMF. It has declared a national referendum, scheduled for Sunday, and urges a “No” vote. “”We ask you to reject it with all the might of your soul, with the greatest margin possible,” says Prime Minister Alexis [...]
Amidst lingering European stagnation, Chinese investment holds the potential to rejuvenate the European Fund for Strategic Investments. In the past, China has indirectly financed the European economy vis-à-vis the European Investment Bank (EIB) bonds. In early June, several European regions and cities courted the four largest Chinese banks – ICBC, China Construction Bank, Agricultural Bank [...]
Someone had to make the point to the EMU leading lenders and the troika that they can’t take away a country’s right to be itself. I explained in 2012 in these pages that the EMU has always been an inherently undemocratic enterprise led by the continent’s elites, and that a real resolution to the euro [...]
The Greek crisis
What's going to happen to Greece and the eurozone?
Must ReadGlobal Macro
While pro-cyclical fiscal policies – ie. expansionary fiscal policies in booms and contractionary fiscal stances in downturns – remain a common feature among developing countries, some countries have recently moved toward a less pro-cyclical fiscal stance, as a result of stronger institutions. From theoretical and risk management points of view, a countercyclical fiscal policy can [...]
Markets are edging closer to a crucial moment. Ultra low interest rates and quantitative easing have been ineffective in restarting growth and inflation. Instead, they have created asset price bubbles and distorted markets. Major instability across financial markets may result.