Deal With Greece Still Looks Wobbly
Negotiations with Greece remain fraught. Only a narrow path has been opened to getting a deal done, and it is far too easy for the parties, for reasons good and bad, to stray from it.
Read more...Category Archives: Macroeconomic policy
Greek Government Preparing Plans to Cross Red Lines to Avert Default
Greek government officials are preparing plans that would cross Syriza’s famed red lines in order to avert a default. Will Tsipras capitulate?
Read more...What If There is No Deal on Greece?
The alarming part of the deadlock between Greece and its lenders is the lack of a plan on the creditor side to develop a Plan B, a sort of mirror image of the Greek government’s claim that its has bet everything on securing a favorable agreement.
Read more...Creditors Reject Latest Greek Proposal, Tsipras Meeting with Merkel and Hollande in Doubt as Default Risk Rises
Greece’s creditors are not pleased, and perhaps more important, the Greek government has lost one of its few remaining advocates, Jean-Claude Juncker of the European Commission. The Eurocrats are finally waking up to the degree to which the two sides have talking past each other. The implication is that it is far less likely than they had believed.
Read more...Varoufakis’ Keynote on the Future of Greece Last Night in Berlin
Varoufakis was part of a panel discussion on the future of Greece within the EU last night, organised by the IMK.
Read more...Syriza Commits to Deep Austerity in Its Proposal to Creditors
Greece has already offered to continue with a program of significant austerity. No wonder the creditors are close to agreeing to that part of the government’s proposal.
Read more...Greece’s Creditors Meet to Prepare Offer (Updated – Creditors Agree on Uncompromising Terms)
Greece’s creditors met to agree on a last-ditch offer. But it turns out “last ditch” reaffirmed their current position and removed IMF’s debt relief proposal.
Read more...Greece’s Shortening Negotiating Runway and Possibly Erroneous Assumptions
Le Monde published a defiant op ed by Alex Tsipras over the weekend. The wee problem is that Greece is well past the point where political appeals will work.
Read more...Why a Greek Default is Likely to Strengthen the Hand of Austerians
Many fear that a Greek default would lead voters elsewhere in Europe to favour default over austerity. In contrast, this column argues that it is more likely to have the opposite effect
Read more...A Unifying Approach to Preventing Asset Price Bubbles
An integrated regulatory approach with a common leverage ratio for debt-based financing across the financial system would prevent bubbles
Read more...Wolf Richter: When Betting on QE Suddenly Goes Wrong
Central banks think they’re omnipotent – until they aren’t.
Read more...Greece: An Endgame Finally in Sight?
The noose continues to tighten on Greece.
Read more...A Parallel Currency for Greece: Part II
Yves here. I’m quite interested in reader reactions to this scheme. My big reservation is that the amount of the scrip devised by the authors, the TCC, has to be limited to the an amount of discount of future tax payments that is deemed to be credible. Given that Bill Mitchell has estimated that Greece […]
Read more...Are The IMF and the EU at Loggerheads Over Greece?
An overview of the history of the economic dispute between the IMF and the Eurozone creditors over Greece, and what that means for the ongoing negotiations.
Read more...Bill Black: Krugman is Half Right
Paul Krugman’s latest column fingers some valid targets but lets way too many other equally deserving ones off.
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