day of reckoning is coming

[ramirez]

Il problema dell'Italia, dell'Europa e a questo punto (della crisi)
possiamo dire del MONDO..risiede a...........BERLINO !!!!!
oggi sul FT Wolf scrive (p.s. se lui scrive significa che TUTTO IL MONDO
almeno quello che conta...legge !!!)
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Germany possesses a binding veto over efforts to expand official fiscal support. But it is losing control over its central bank. In a crisis so menacing to Europe and the world, the one European institution with the capacity to act on the requisite scale should dare to do so, since the costs of not doing so are bound to prove devastating. That will surely create a political crisis, but this would be better than the financial crisis unleashed by a failure to try.

In the end Germany must choose between a eurozone disturbingly different from the larger Germany it expected or no eurozone at all. I recognise how much its leaders and people must hate having been forced into a position in which they have to make this choice. But it is the one they confront. Chancellor Angela Merkel must now dare to make that choice, clearly and openly.
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What should happen if the German government decided that it could not support such a bold step? The ECB should go ahead anyway rather than let a cascading collapse unfold. It would then be up to Germany to decide whether to leave, perhaps with Austria, the Netherlands and Finland. The German people should be made aware that the results would include a soaring exchange rate, a massive decline in the profitability of Germany’s exports, a huge financial shock and a sharp fall in gross domestic product. All this would be apart from the failure of two generations of efforts to build a strong European framework around Germany itself
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In the absence of strong institutions, the attitudes and policies of the core country have become crucial. Along with everybody else, I admire the political and economic reconstruction of Germany after the second world war and again after unification, the commitment to economic stability and its first-class manufactured exports. Unfortunately, these are insufficient. German policymakers persist in viewing the world through the lens of a relatively small, open and highly competitive economy. But the eurozone is not a small open economy; it is a large and relatively closed one. The core country of such a union must either provide a buoyant market for less creditworthy countries when the latter can no longer finance their deficits, or it has to finance them. If the private sector will not provide the needed finance, the public sector must do so. If the latter fails to act, a wave of private and public sector defaults will occur. These are sure to damage the financial sector and exports of the core country itself, as well.

The failure of Germany’s leaders to explain these facts at home makes it impossible to solve the current crisis. Instead, they indulge in the fantasy that everybody can be a lender, simultaneously. For small open economies such as Latvia and Ireland, regaining competitiveness and growth through deflation might work. For a big country such as Italy, it is too painful to be credible. Wolfgang Schäuble, Germany’s finance minister, may call for such austerity. It will not happen.
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certo la zavorra siamo noi ..ma non sta a noi risolvere il problema.
O meglio non possiamo noi risolverlo, se non in piccol aparte.
E' Berlino che si deve assumere certe responsabilità.
E' (forse suo malgrado) una super potenza economica...
ora dev'esserlo anche in POLITICA.
Frau Merkel..si dia una mossa.

[San Siro]

Originalmente inviato da ramirez

Il problema dell'Italia, dell'Europa e a questo punto (della crisi)
possiamo dire del MONDO..risiede a...........BERLINO !!!!!
oggi sul FT Wolf scrive (p.s. se lui scrive significa che TUTTO IL MONDO
almeno quello che conta...legge !!!)
.

Wolf è l'autore de "La globalizzazione che funziona". Giusto per ricordare che è uno che spesso e volentieri non capisce una mazza...

(Non mi riferisco però a questo articolo, che mi sembra buono.)