News excerpts on the Euro crisis from around the world 10/26/2011

News excerpts on the Euro crisis from around the world 10/26/2011

In the New York Times, Paul Krugman writes: “If it weren't so tragic,
the current European crisis would be funny, in a gallows-humor sort of
way. For as one rescue plan after another falls flat, Europe's Very
Serious People - who are, if such a thing is possible, even more
pompous and self-regarding than their American counterparts - just
keep looking more and more ridiculous… at this point, Greece, where
the crisis began, is no more than a grim sideshow. The clear and
present danger comes instead from a sort of bank run on Italy, the
euro area's third-largest economy. Investors, fearing a possible
default, are demanding high interest rates on Italian debt. And these
high interest rates, by raising the burden of debt service, make
default more likely. It's a vicious circle, with fears of default
threatening to become a self-fulfilling prophecy.”

In the FT, Wolfgang Münchau writes, “It is time to prepare for the
unthinkable: there is now a significant probability the euro will not
survive in its current form. This is not because I am predicting the
failure by European leaders to agree a deal. In fact, I believe they
will. My concern is not about failure to agree, but the consequences
of an agreement.”

Writing in La Repubblica, Italian economist Tito Boeri notes, “It was
supposed to be the weekend of the rescue of the euro and the entire
European construction. Instead, it will be remembered for Sarkozy’s
sarcastic smiles during the closing press conference, when he was
asked about the commitments made by our Prime Minister.”

Italian daily La Stampa’s Editor in Chief Mario Calabresi argues,
“It’s annoying to be put under tutelage, to be citizens of a state
whose sovereignty is limited and whose agenda for reform is dictated
by foreign leaders who allow us three days to give answers…It’s
humiliating to hear that Europe puts us on the same level as Greece.”

On the frontpage of FAZ, Holger Steltzner argues that: “Italian
industry is strong, but politicians are weak. Italy could quickly gain
international competitiveness and economic growth, if it only wanted
to."

In Süuddeutsche, Cerstin Gammelin writes that this weekend, European
leaders had “for the first time risked looking into the mirror of
truth, and that what they saw exceeded all negative expectations…
regardless of how much money will be mobilised [by the EFSF], it will
not save the euro. It will just be a matter of buying time to solve
the fundamental problems.”

News headlines elsewhere 10/26/2011:

DOOM: Fears euro summit could miss final deal...
'Unknown territory'...
No bet on disaster...
Finance ministers cancel meeting...
Berlusconi fights to save coalition; Gov't on brink of collapse...
Greenspan: European Union Doomed to Fail...

Crossposter is wasting his time.

"0'dee, PeeJay2day" a écrit dans le message de groupe de discussion :
...


News excerpts on the Euro crisis from around the world 10/26/2011

In the New York Times, Paul Krugman writes: “If it weren't so tragic,
the current European crisis would be funny, in a gallows-humor sort of
way. For as one rescue plan after another falls flat, Europe's Very
Serious People - who are, if such a thing is possible, even more
pompous and self-regarding than their American counterparts - just
keep looking more and more ridiculous… at this point, Greece, where
the crisis began, is no more than a grim sideshow. The clear and
present danger comes instead from a sort of bank run on Italy, the
euro area's third-largest economy. Investors, fearing a possible
default, are demanding high interest rates on Italian debt. And these
high interest rates, by raising the burden of debt service, make
default more likely. It's a vicious circle, with fears of default
threatening to become a self-fulfilling prophecy.”

In the FT, Wolfgang Münchau writes, “It is time to prepare for the
unthinkable: there is now a significant probability the euro will not
survive in its current form. This is not because I am predicting the
failure by European leaders to agree a deal. In fact, I believe they
will. My concern is not about failure to agree, but the consequences
of an agreement.”

Writing in La Repubblica, Italian economist Tito Boeri notes, “It was
supposed to be the weekend of the rescue of the euro and the entire
European construction. Instead, it will be remembered for Sarkozy’s
sarcastic smiles during the closing press conference, when he was
asked about the commitments made by our Prime Minister.”

Italian daily La Stampa’s Editor in Chief Mario Calabresi argues,
“It’s annoying to be put under tutelage, to be citizens of a state
whose sovereignty is limited and whose agenda for reform is dictated
by foreign leaders who allow us three days to give answers…It’s
humiliating to hear that Europe puts us on the same level as Greece.”

On the frontpage of FAZ, Holger Steltzner argues that: “Italian
industry is strong, but politicians are weak. Italy could quickly gain
international competitiveness and economic growth, if it only wanted
to."

In Süuddeutsche, Cerstin Gammelin writes that this weekend, European
leaders had “for the first time risked looking into the mirror of
truth, and that what they saw exceeded all negative expectations…
regardless of how much money will be mobilised [by the EFSF], it will
not save the euro. It will just be a matter of buying time to solve
the fundamental problems.”

News headlines elsewhere 10/26/2011:

DOOM: Fears euro summit could miss final deal...
'Unknown territory'...
No bet on disaster...
Finance ministers cancel meeting...
Berlusconi fights to save coalition; Gov't on brink of collapse...
Greenspan: European Union Doomed to Fail...