Macroeconomics - Daily News Briefing

Sarkozy calls on ECB to publish minutes

21.07.2008

French president proposes three point plan, which also includes a secretariat for the eurogroup and regular dialogue with the ECB; the European Commission wants to crack down on credit markets by forcing issuers to retain a stake of at least 10%; there has been a strong rise in European credit risk premia in the last month; the Irish prime minister Brian Cowen, meanwhile, will tell Sarkozy to back off over a second Irish referendum.















A tale of two countries

03.06.2008

By: Wolfgang Münchau

France is reforming, Germany is not only not reforming, but anti-reforming, with new minimum and soon perhaps maximum wages. So why is everybody so optimistic about Germany, and so pessimistic about France?


Lessons from the 1970s

26.05.2008

By: Wolfgang Munchau

There is no prospect of a global depression. Our single most important problem is the rise in inflation at a global level, which the world's largest central banks have underestimated. The situaiton is worst in the US where we are seeing a return to the Arthur Burns Fed.


Fiscal Stimulus: Is more needed?

22.05.2008

By: Dimitri B. Papadimitriou, Greg Hannsgen and Gennaro Zezza

According to the authors' calculation, the credit crunch implies a fall in private expenditure of about $100bn due to reduced household borrowing, and a fall of about $160bn in expenditure due to reduced nonfinancial business borrowing. The shock to output from the financial crisis will be around $260bn each quarter this year. A fiscal stimulus given in one period only, and taken away in the next, will hardly change the picture.


Global adjustment will be long and painful

29.04.2008

By: Wolfgang Münchau

There are no multiple crises - there is only a single crisis, one of global macroeconomic adjustment. It is for that reasons that the finanical crisis is not yet over.


Eurointelligence Briefing Notes

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