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Cyprus or individual Euro countries can't "print" the currency to save all bad debt -- the US can, and does. So, ahem, snicker, not to worry! ..rright?
by dualogy 14y ago
Cyprus or individual Euro countries can't "print" the currency to save all bad debt -- the US can, and does.
So, ahem, snicker, not to worry! ..rright?
- w-ll 14y ago"Vires in Numeris"
- yxhuvud 14y agoCorrect. USA is limited by inflation, not debt level.
- fulafel 14y agoThe EU can, but currently doesn't. Because of dogma (the whole austerity debacle).
- paganel 14y ago> Because of dogma (the whole austerity debacle). They don't because in the long run you have to actually produce wealth that would sustain your money-printing instinct. This is the best opportunity for Europe to actual implement structural reforms that would give them a chance to compete long-term, as an European I do hope they don't fuck it up.
- fulafel 14y agoA better "because" post from Dr. Simon Wren-Lewis from Oxford - the right thing sounds just too good to be true at the moment: Here are some better reasons http://mainlymacro.blogspot.ie/2013/03/the-power-of-austerity-over-politicians.html http://mainlymacro.blogspot.ie/2013/03/the-power-of-austerit...