“If you gaze long into an abyss, the abyss will gaze back into you.” Friedrich Nietzsche’s infamous dictum has never had more purchase than in the current phase of the eurozone crisis. European leaders have been gazing for more than a year into the abyss of our continent’s triple crisis (banking crisis, debt crisis and […]
The ECB’s President has taken it upon himself to lead a ferocious campaign against the restructuring of the Greek debt. His resolute and singleminded opposition seems increasingly odd when projected against the background of a Greek sovereign debt whose dynamic is indisputably explosive. Is Mr Trichet simply a man in denial?
It all started with a false promise: The Greek ‘bailout’ (i.e. a combination of a gargantuan, expensive loan and severe austerity) would contain the Greek debt mountain and would, in association with the establishment of the EFSF a few days later, ring-fence Greece thus preventing the crisis from spreading to Ireland and the Iberian peninsula.
This post is about the economic and political significance of Dominic Strauss Kahn’s (DSK hereafter) arrest. It will say nothing about the merits or otherwise of the charges against Dominic Strauss Kahn, the IMF’s Managing Director. All cases of alleged sexual assault brought against high profile men place two equally important (yet often counter-opposed) demands […]
Did you hear the latest? Greece’s economy grew by 0.8% in the first quarter of 2011. This is, surely, good news. Except that, in fact, the Greek economy shrank by 4.6% in the first quarter of 2011.
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Thankfully, last Friday’s Der Spiegel article (as I had imagined it would ) opened a Pandora’s box of views on the state of the eurozone. Why thankfully? Because, until now, Europe has been living in denial, imagining that the crisis could be dealt with by a mix of expensive loans, deep austerity and tighter fiscal […]
Last Friday, after Der Spiegel published a story that “Athens is considering withdrawing from the euro zone” I posted an article in which I chose to be optimistic; to see a gleaming silver lining in the fact that an otherwise upright German publication, with known connections to the German political system, published an inaccurate account that, […]
The Friday comico-tragic meeting (that was thrice denied before it was confirmed) in Luxemburg was a first, tentative move to an eye-glaring reality: We are all in it together folks. Whether we like or not (and many certainly do not), we sink or float in unison. Presently, we are sinking. That was the main, helpful, […]
The Spiegel story that “Athens is considering withdrawing from the euro zone” is not exactly false – just economical with the truth. Yes, a few weeks or months ago, the Greek government commissioned (as it ought to) several secret studies of the repercussions of various scenaria involving different forms of debt restructure, including one desperate scenario […]
In a recent post I argued that Bin Laden’s final act, being killed by US special forces, will prove the greatest legitimiser of his own brutality. Today I want to add another wrinkle to this point: A firm connection between the economists’ mindframe and bin Laden’s posthumous success.
A new rationale for the ‘Modest Proposal (*)’ – based on an a supportive letter I received from George Krimpas, Emeritus Professor at the University of Athens. (*) by myself and Stuart Holland
A superpower gloating over the body of an extra-judicially killed killer. The powerful sovereign extending its power to a far away land to put to the sword a ruthless opponent. Not even a whisper about the demands of jurisprudence that ought to be universal and independent of the hideousness of the defendant. The postmodern middle […]
Why is the inevitable Greek sovereign restructure being delayed? Who is playing King Canute? The German banks, is the three word answer. Why do they care? Is it because they are so terribly exposed to Greek sovereign debt. No, that is not it. All up, German banks are owed around €20 billion by the Greek […]
ON THE PROGRESSIVE POTENTIAL OF SMALL, QUASI-AUTONOMOUS STATES LIKE SCOTLAND, IRELAND, GREECE, PORTUGAL etc. The strong Scottish accent was conspiring with the noisy pub background to prevent me from understanding the words spoken in my ear by an imposing trades union figure. Thankfully, I managed to decipher the words he spoke, and which I still […]