Greece’s international creditors have delivered a minor lifeline to the ruined country, extending the deadline for when they must meet EU budget targets by two years. However, at the same time, the Eurozone finance ministers delayed the releast of a new tranche of bailout funds from Greece, worth 31.5 billion euro.
|By: David Dayen Tuesday October 2, 2012 1:37 pm|
The Greek government submitted a draft budget for next year that would only further increase the pain and suffering directed at the population, despite depression conditions. But the European leaders determining whether the fresh austerity plan is good enough to meet their conditions want even more pain, in the form of deeper wage cuts.
|By: David Dayen Tuesday July 10, 2012 8:40 am|
Finance Ministers meeting in Europe agreed on a series of measures for Spain. First, they authorized a first installment of 30 billion euros for lending to Spanish banks, subject to approval from Eurozone governments. The money will be distributed by the end of the month, a faster schedule than previously considered. The real question is who is held responsible for the lending, the Eurozone bailout facility or the sovereign government.
|By: David Dayen Sunday June 17, 2012 11:30 am|
Early exit polling from Greece, in the second election to try to form a government in as many months, shows an incredibly narrow race between the center-right New Democracy party and the far-left Syriza party. It raises the possibility that no single party could form a government again, which would mean yet another potential round of voting, and the attendant uncertainty.
|By: Scarecrow Monday June 11, 2012 11:53 am|
For nearly a week the media has been pressured to focus on an irrelevant distraction involving President Obama’s silly claim that the “private sector is fine,” when he obviously meant to say something that is self evident. But they’re missing the economic and political story of the decade.
|By: David Dayen Monday May 28, 2012 9:30 am|
In the US, Republicans like to call accurate descriptions of their plans to destroy our old-age health care system the “Mediscare.” Putting aside the accuracy part, I guess we can call EU leaders’ apparently somewhat successful effort to influence the Greek elections the “Euroscare.” The effect has been to increase polls for parties claiming they’ll support the austerity measures, because Greeks are being told that’s essential to stay within the Euro.
|By: Knut Saturday May 19, 2012 1:59 pm|
It is an honor and a pleasure to have Paul Krugman at the Lake this afternoon for a conversation on End This Depression Now! Dedicated “To the unemployed, who deserve better,” the book is a condemnation of the policies and mind-set that have produced the worst economic depression since the 1930s. And unlike the Great Depression, which contemporaries did not understand, we know what to do; the current depression is entirely self-inflicted. The broken homes and ruined lives are not attributable to acts of God or the inscrutable logic of the market, but are the direct consequence of public decisions that have amplified the inherent risk of private credit by deregulating financial operations and the attempt to balance the budget when aggregate private demand is collapsing. The central message is that none of this suffering is necessary, and none of it is justified.
|By: David Dayen Wednesday May 16, 2012 10:40 am|
German Chancellor Angela Merkel and French President Francois Hollande met yesterday in Berlin, in what was kind of an awkward summit. But they did appear united on one point: that Greece must keep their promises and stay in the Eurozone. And that could drive Greece out.
|By: David Dayen Thursday April 19, 2012 9:02 am|
The arrogance of power comes through loud and clear here. Larry Summers and Robert Rubin did their business, and they will never admit to being wrong.
|By: David Dayen Wednesday February 15, 2012 9:00 am|
New statistics out of Greece show that austerity shrunk the economy more than expected last year. GDP in Greece fell 6.8% in 2011, and a slightly faster 7% in the fourth quarter. The country is in a fifth straight year of recession, approaching a full-on depression.
European leaders are still trying to impose more austerity, but some Eurozone finance ministers may be trying to force a default and exit from the euro.