The Great Debate

from Ian Bremmer:

Slaughtering the PIIGS

By Ian Bremmer
September 14, 2011

By Ian Bremmer
The opinions expressed are his own.

Nobody likes to be called PIIGS. For years, Europe’s so-called peripheral countries -- Portugal, Italy, Ireland, Greece and Spain -- have complained about this acronym, but the euro zone’s sovereign debt problems have only entrenched it further. Yet, it’s time to acknowledge that the PIIGS have a point. They don’t deserve to be lumped together. Their actions and their circumstances have sharply diverged over the past three years.

Five ways to correct the Greek debt crisis

By Mohamed El-Erian
May 3, 2011

By Mohamed El-Erian
This piece is the English version of the one that appeared in Handelsblatt. The opinions expressed are his own.

from MacroScope:

Europe’s over-achievers and their fall from grace

November 24, 2010

Ireland's fall from grace has been rapid and far worse than that of its counterparts, even Greece. But life in the euro zone has still been one of profound growth, as it has for most of the other peripheral economies.

from The Great Debate UK:

Not much stress, not much test

July 26, 2010

-Laurence Copeland is professor of finance at Cardiff University Business School. The opinions expressed are his own.-

Euro zone medicine not working on banks

May 18, 2010

Fear of lending to banks is rising again in Europe, as even a 750 billion euro zone rescue package proves not enough to stem fears that the banking system will prove the weak link when southern European nations can’t meet their obligations.

Government debt’s Minsky-ish moment

May 13, 2010

If government debt is the new subprime, it may just turn out that Greece is a Florida condo while the United States is a single-family house in a nice mid-Western suburb, the kind of place that fell 15 rather than 50 percent.

Europe shambles as Greek fire spreads

By J Saft
April 29, 2010

Europe desperately needs to get out in front of its solvency problem, Greek edition; not because it is right, not even because it will work in the long term, but to stem rapid and costly contagion through financial markets to other weak links in the euro zone, not least to banks.

Embrace reality, not fight speculation

March 2, 2010

Stock up on canned goods, the authorities appear to be opening a new front in the War Against Speculation; this time taking aim at the people who might profit from Greece and its European partners’ woes.

Greece an ideal Goldman client; profitable, culpable

February 16, 2010

Goldman Sachs has a lot to be thankful for – huge bonuses, massive taxpayer subsidies, unrivalled political influence – but in Greece they have finally found nirvana: a highly profitable business partner who can also credibly serve as the villain in the piece.

Greece should default and reschedule

February 15, 2010

The drama unfolding in Athens contains all the usual ingredients for a modern crisis. Poorly disclosed derivative transactions. Inadequate accounting for off-balance sheet liabilities. Investment banks eager to structure complex transactions in return for fat fees. And a furtive but gullible government that thought it could get something for nothing.