Category Archives: Euro zone Crisis

Portugal’s economic situation illustrates the intellectual bankruptcy of Euro area austerity

Today is an epoch making day for the Euro area as it is the one where it is officially confirmed that it is no longer a single currency. The imposition of official capital controls in Cyprus where individuals can only withdraw … Read More

Posted in Euro zone Crisis, General Economics, Recession, Stagflation | Tagged , , , , | 39 Comments

The banking crisis in Spain has caused credit crunch mark two in lending and mortgages

The last few days have seen evidence of a banking collapse in Cyprus followed by Eurocrat incompetence in dealing with it. I have lost count of the retractions that the Dutch President of the EuroGroup Jeroen Dijsselbloem has ended up … Read More

Posted in Banks, Euro zone Crisis, GDP, General Economics, Interest rates | Tagged , , , , | 15 Comments

The bailout of banks in Cyprus will lead to economic collapse there

The last week has seen some extraordinary events as the supposedly mighty Euro area and the International Monetary Fund have struggled to deal with the economic problems of little Cyprus. By little I mean that it is 0.2% of Euro … Read More

Posted in Banks, Euro zone Crisis, General Economics, Growth, IMF, Quantitative Easing and Extraordinary Monetary Measures, Recession, Uncategorized | Tagged , , , , | 32 Comments

The economic convergence promised by the Euro founders has turned to dust

One of the themes of the Euro area crisis has been the incompetence of the Eurocrats and the political leadership on display. If we go back to the “shock and awe” claims of the “rescue” of Greece back in May … Read More

Posted in Euro zone Crisis, Financial crisis, GDP, General Economics, Growth, Recession, Yield | Tagged , , , , , , , | 30 Comments

The economic problems of the Netherlands are a contributor to the harsh treatment of Cyprus

This week has seen a lot of concentration on a small island in the Mediterranean which has moved to a polar extreme of the Euro project. However we can learn a lot more by moving towards the other polar extreme … Read More

Posted in Banks, Euro zone Crisis, General Economics, Recession, Stagflation | Tagged , , , , | 24 Comments

Does Cyprus still believe the Euro is a “stable environment governed by EU laws and regulations”?

This last weekend was an example of the motto be careful what you wish for as the bailout of Cyprus turned into a bail in for bank savers there. Whilst Cyprus is only 0.002% of the Euro area economy I … Read More

Posted in Banking Reform, Banks, Euro zone Crisis, General Economics, Greek Financial Crisis, Quantitative Easing and Extraordinary Monetary Measures, Regulation | Tagged , , , , | 59 Comments

What is happening in Greece? “For young females, the unemployment rate is 65.0%”

Last night I spotted a Financial Times headline which looked as thought it ought to have come from Greece. Insolvency Service on verge of insolvency However it did in fact come much nearer from home as it was the UK … Read More

Posted in Euro zone Crisis, General Economics, Greek Financial Crisis, Quantitative Easing and Extraordinary Monetary Measures | Tagged , , , , | 23 Comments

France faces a lost decade of car sales and two lost decades of industrial production

After discussing the problems facing the UK economy I intend today to take a short hop over the channel which of course then becomes La Manche to examine the French economy. Back on the first of February I wondered if … Read More

Posted in Euro zone Crisis, General Economics, Quantitative Easing and Extraordinary Monetary Measures | Tagged , , , | 17 Comments

Who are the winners and losers in the currency wars?

One of the features of the credit crunch era is that financial markets are meddled with and intervened in so much it is difficult to know what the “true” prices are. Of the main markets it is the currency ones … Read More

Posted in Euro zone Crisis, General Economics, Japan's Economic Situation, Quantitative Easing and Extraordinary Monetary Measures, The US Economy, UK Inflation Prospects and Issues | Tagged , , , , | 13 Comments

Ireland and its economy face an insecure future with plenty of dangers and risks

Last week the President Barroso of the European Commission met the Irish Taoiseach in Dublin. Nothing that unusual in that as there is enormous meetings inflation in Europe! But President Barroso is prone to let his windy rhetoric run away with … Read More

Posted in Euro zone Crisis, General Economics, Growth | Tagged , , | 11 Comments