Economic Letter – Vol 2012, No. 7
Fiscal Consolidation – Does it deliver? – Laura Weymes
Economic Letter – Vol 2012, No. 6
Housing equity withdrawal in Ireland: 2000 – 2011 – Reamonn Lydon & Niall O’Hanlon
Category: Uncategorized
Jesus Fernandez-Villaverde and Luis Garicano lay out the necessary steps in this FT op-ed.
Pierro Ghezzi is one of the smartest City-based economists – he has a new VOX article here.
In February 2010, 20 Economists wrote to the British Chancellor to urge a speedier deficit reduction. The New Statesman followed them up for an article recently to ask if their views have changed. The responses are interesting.
Charles Wyplosz issues a stark warning here – a warning well worth heeding.
But is he too pessimistic? The fact is that the ECB has the power to cap bond yields. With bond yields capped at a reasonably low level – say 4.5 percent – the Italian government should be able to avoid default, even with a formal adjustment programme of structural reforms and fiscal adjustments. I doubt the programme would have to involve much beyond what the country is already doing. Mario Draghi has held out the promise – albeit maybe a bit too vaguely – of such support in return for conditionality. All sides have to move.