Category Archives: Articles

Why the Debate About EZ ‘Fiscal Union’ Is Wrongheaded, Focus on Growth Is Ill-Conceived And Ms Merkel Is Right

A fiscal union in the Eurozone (EZ) – whether in the form of additional financing or debt mutualization – is not only politically unrealistic but also counter-productive in dealing with the issues at hand. Transfers or grants would work, but … Continue reading

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Grading the 12th Eurozone Crisis Summit: Still in Search of ‘New Eurozone Man’

The changes to the modus operandi of the ESM agreed at the latest summit appear significant at first (sovereign bond purchase, non-preferred creditor status, direct lending to banks plus the quid pro quo of ECB-led banking supervision) and can help … Continue reading

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Currency Implications of a China Slowdown

Risk sentiment and commodity prices bode ill for AUD in the event of a Chinese slowdown. Effects on other G10 currencies are more ambiguous: A reduction in global liquidity and redressing of global imbalances will likely be positive for USD, … Continue reading

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