Jan Strupczewski Archive

Eurozone Stress Tests

[Skip to the end] The eurozone has decided to keep its banks running via government insured liabilities without regard to capital levels. The new ‘tests’ are most likely for show only. All governments with non convertible currency and floating FX policy have this option, which allows banks to continue indefinitely with or ...Read More

Eurozone has bailout solution?

[Skip to the end] Seems the prospect of euro nations going to the IMF has struck a raw nerve. No doubt any plan to access ECB funding would include some kind of austerity condition similar to what the IMF would require. This would weaken aggregate demand in the entire region. They must ...Read More