De Grauwe, Paul, (2012), ‘How to avoid a double-dip recession in the eurozone’, www.ceps.be, 17 November. This CEPS Commentary argues that the way in which the burden of adjustment to the imbalances in the eurozone is borne almost exclusively by the deficit countries in the periphery produces a deflationary bias in the region as a whole. Against the threat of double-dip recession, Paul De Grauwe asserts that the adjustment could …Read More
The Policy Mix and Macroeconomic Adjustment in the Euro Area
Mortensen, Jorgen, Alcidi Cinzia, (2012), ‘The Policy Mix and Macroeconomic Adjustment in the Euro Area’, www.ceps.be, 16 October. Αccording to the most recent IMF World Economic Outlook (WEO),1 the recovery has suffered new setbacks and uncertainty weighs heavily on the future. The IMF forecast, unveiled in Tokyo ahead of the IMF-World Bank 2012 Annual Meetings last week, sees only a gradual strengthening of activity from the relatively disappointing pace of …Read More
How Greece Could Escape the Euro
Floyd, Norris, (2011), ‘How Greece Could Escape the Euro’, www.nytimes.com, 10 October. Greece would be in much better shape now if it had never joined the euro zone, or if it had been kicked out in 2004 when it admitted that it had lied about its finances to join the club. So would the rest of Europe. So why not get out now?
Global Financial Stability Report
IMF, (2012), Global Financial Stability Report, World Economic and Financial Surveys, Washington.
Corruption Perceptions Index 2012
Transparency International, (2012), Corruption Perceptions Index 2012, Berlin.
The European Central Bank’s New Bond-Buying Program: Implications for Italy
Lombardi, Domenico, (2012), ‘The European Central Bank’s New Bond-Buying Program: Implications for Italy’, www.brookings.edu, 11 September. Τoday’s meeting between Greek Prime Minister Antonis Samaras and European Central Bank President Mario Draghi is a further sign of the increasingly important role of the Eurotower in dealing with the crisis in Europe.
Intra-euro rebalancing is inevitable but insufficient
Darvas, Zsolt, (2012), ‘Intra-euro rebalancing is inevitable but insufficient’, www.bruegel.org, 5 September. Greece, Portugal and Spain face a serious risk of external solvency due to their close to minus 100 percent of GDP net negative international investment positions, which are largely composed of debt. The perceived inability of these countries to rebalance their external positions is a major root of the euro crisis.
External Imbalances in the Euro Area
IMF, (2012), ‘External Imbalances in the Euro Area’, European and Western Hemisphere Departments, IMF Working Papers, N. 12/36. The paper examines the extent to which current account imbalances of euro area countries are related to intra-euro area factors and to external trade shocks. We argue that the traditional explanations for the rising imbalances are correct, but are incomplete. We uncover a large impact of declines in export competitiveness and asymmetric …Read More
The EMU Crisis is a Battle of Nationalism Versus Transnationalism, not Economic Prescriptions
Menenberg, Aaron, (2012), ‘The EMU Crisis is a Battle of Nationalism Versus Transnationalism, not Economic Prescriptions’, www.economonitor.com, 30 August. The debate over how to save the euro and the economy of its union has taken shape around economic prescriptions. On the surface this makes sense; after all, the euro is the currency for seventeen national economies.
Why a breakup of the Euro Area Must be Avoided: Lessons from Previous Breakups
Aslund Anders, (2012), ‘Why a breakup of the Euro Area Must be Avoided: Lessons from Previous Breakups’, www.iie.com, 22 August. One of the big questions of our time is whether the Economic and Monetary Union (EMU) will survive. Too often, analysts discuss a possible departure of one or several countries from the euro area as little more than a devaluation, but Åslund argues that any country’s exit from the euro …Read More