Category Archives: European financial stability fund

Europe moves closer to Quantitative Easing:Inflation falls to 0.3% Carlo Bastasin suggests a useful policy tool

Posted on November 26, 2014 by haroldchorneyeconomist

The latest inflation data for the Eurozone shows inflation at only 0.3 %. Many analysts are beginning to worry that prolonged low inflation will reinforce economic stagnation (See the analysis of Gavin Davies in the Financial times on this.) An … Continue reading →

Posted in anti austerity, European debt crisis, European financial stability fund | Tagged , | Leave a comment

U.S. government Shutdown Irrationality & higher Unemployment in Europe:A very bad combination

Posted on October 1, 2013 by haroldchorneyeconomist

The long predicted but nevertheless very foolish self inflicted irrational Tea party Inspired shutdown of all but essential U.S. government services has occurred as of midnight last night, Washington time. It is difficult to predict how long it will last … Continue reading →

Posted in austerity, business cycles, European financial stability fund, European unemployment, fiscal policy, France politics+economy, government shut down+debt ceiling U.S., Spain, U.K. economy, U.S., Uncategorized, unemployment | Tagged , , , | Leave a comment

A tale of two bankruptcies: Washington Mutual versus Laiki Bank

Posted on March 25, 2013 by haroldchorneyeconomist

According to Alan Blinder, a former vice chair of the Federal reserve and professor of Economics at Princeton and a Keynesian when Washington Mutual one of the largest banks in the U.S. with assets of $328 billion  went bankrupt in … Continue reading →

Posted in austerity, Cyprus banks, European financial stability fund, Greek sovereign debt crisis, Uncategorized | Tagged , , | Leave a comment

Eurozone allows stabilization fund to inject capital into private banks: Spain, Italy and France win partial victory

Posted on June 29, 2012 by haroldchorneyeconomist

After late night negotiations it has been decided to permit the European stability fund to purchase directly the assets offered by banks in Spain and and Italian sovereign bonds and by so doing permit European funds to be injected directly … Continue reading →

Posted in austerity, deficit hysteria, deficits and debt, European debt crisis, European financial stability fund, European unemployment, France politics+economy, Greek sovereign debt crisis, quantitative easing, Spain, Uncategorized | 1 Comment

Supreme Court upholds Obama Care; Europe continues to debate how to rescue economy from bond market blackmail

Posted on June 28, 2012 by haroldchorneyeconomist

The Supreme Court in a 5 to 4 decision with Chief Justice Roberts siding with the majority has upheld most of the Affordable Care Act by ruling its provisions constitutional under the federal powers of taxation. Four of the liberal … Continue reading →

Posted in austerity, deficit hysteria, deficits and debt, European debt crisis, European financial stability fund, European unemployment, France politics+economy, Greek sovereign debt crisis, Italian debt crisis, monetary policy, quantitative easing, Uncategorized, unemployment | 1 Comment

Coalition building in Greece:A coalition may require Pasok &New Democracy party factions to co-operate with the left.

Posted on May 8, 2012 by haroldchorneyeconomist

The head of the the second most sucessful party , Syriza , the coalition of the Left , Alexis Tipras has now been given the task of trying to form a government around an anti austerity position, after New Democracy … Continue reading →

Posted in austerity, deficit hysteria, deficits and debt, European debt crisis, European financial stability fund, European unemployment, France politics+economy, Greek sovereign debt crisis, Mr.Papandreou and democracy | Leave a comment

S+P Downgrade Warning on European Sovereign Debt May throw Spanner in the Works

Posted on December 5, 2011 by haroldchorneyeconomist

When it really counted in the past in the lead-up to the financial crisis S+P and other ratings agencies failed to warn about the quality or lack thereof of the asset backed financial derivatives that caused so much disaster in … Continue reading →

Posted in austerity, classical economics, deficit hysteria, deficits and debt, European debt crisis, European financial stability fund, Greek sovereign debt crisis, Italian debt crisis, Uncategorized | Leave a comment

The euro sovereign debt crisis and the irrationality of the bond markets:the need for a lender of last resort

Posted on November 24, 2011 by haroldchorneyeconomist

Throughout the history of the capitalist system the markets have played a pivotal role. Of course, the Walrasian conception of markets that inevitably clear temporary gluts and misallocations through the process of tatonnement and the invisible auctioneer is obviously a … Continue reading →

Posted in business cycles, classical economics, European debt crisis, European financial stability fund, J.M.Keynes, labour market clearing | Tagged | Leave a comment

Trade balances, debt to GDP and unemployment rates of some European countries of interest

Posted on November 9, 2011 by haroldchorneyeconomist

Trade as a percentage of the GDP and unemployment rates selected European countries, and debt to GDP ratios. X                     Country                     … Continue reading →

Posted in austerity, balance of payments, deficit hysteria, deficits and debt, European debt crisis, European financial stability fund, Greek sovereign debt crisis, Italian debt crisis, J.M.Keynes, Uncategorized, unemployment | Leave a comment

George Papandreou has won the non confidence vote

Posted on November 4, 2011 by haroldchorneyeconomist

Prime Minister George Papandreou has won the vote of non confidence in the Greek Parliament by a margin of 153 to 145  votes .Papandreou will now seek to form some sort of cross party government to broaden the base of … Continue reading →

Posted in austerity, deficit hysteria, deficits and debt, European debt crisis, European financial stability fund, Greek sovereign debt crisis, Mr.Papandreou and democracy, Uncategorized | Leave a comment