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A European perspective on overindebtedness

Veron, Nicolas, Zettelmeyer, Jeromin, (2017), “A European perspective on overindebtedness”, Bruegel, 28 Σεπτεμβρίου

The sequence of crisis and policy responses after mid-2007 was a gradual recognition of the unsustainability of the euro-area policy framework. The bank-sovereign vicious circle was first observed in 2009 and became widely acknowledged in the course of 2011 and early 2012. The most impactful initiative has been the initiation of a banking union in mid-2012, but this remains incomplete and needs strengthening.

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