€uro-thoughts

One argument against bold solutions to the Eurozone debt crisis, such as issuing common Eurobonds or extending bond purchases of indebted sovereigns by the European Central Bank (ECB) has been the issue of moral hazard associated with such solutions. According to this argument, bailing out states that have racked up unsustainable debts through years of […]

At the end of last week, it seemed that the biggest news on the Eurozone debt crisis would be the backslide in markets following initial positive reactions to the agreement that came out of last Thursday’s summit. However, Greek Prime Minister George Papandreou put paid to that assumption by announcing plans to hold a referendum […]