News Links: Why the eurozone bailout will fail
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Why the latest eurozone bail-out is destined to fail within weeks – Telegraph
I want last week’s European bail-out to work. My sincere hope is that collective and decisive action by the eurozone’s large member states will stabilize global markets, at least for a while, so allowing the global economy to catch its breath.
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Bank of America: Die Zeitbombe – Banken – Unternehmen – Handelsblatt
Noch in der Krise kaufte die Bank of America kräftig zu – heute ist sie die gefährlichste Bank der Welt.
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Cinq nouvelles mesures pour réduire le déficit – L’EXPRESS
Selon le JDD, le gouvernement planche sur 5 mesures d’austérité, dont une hausse de la TVA tout en maîtrisant certaines dépenses.
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Die mächtigste Frau der Welt | kurier.at
Die deutsche Kanzlerin Angela Merkel rettete den EU-Gipfel fast im Alleingang. Und bewies mit geschickter Tatkraft ihren oft angezweifelten Willen zu Europa.
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A Foreclosure Settlement That Wouldn’t Sting – NYTimes.com
Cutting to the chase: if you thought this was the deal that would hold banks accountable for filing phony documents in courts, foreclosing without showing they had the legal right to do so and generally running roughshod over anyone who opposed them, you are likely to be disappointed.
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Anders als Griechenland verfolgt Lissabon einen radikalen Sparkurs. Doch die Wirtschaft bricht weiter ein und das Land benötigt bald EU-Hilfe.
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La meta de déficit se aleja · ELPAÍS.com
El nuevo Gobierno tendrá la tentación de cargar las tintas en las cifras de 2011
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Schock-Diagnose: Brasiliens Ex-Präsident Lula hat Krebs – SPIEGEL ONLINE – Nachrichten – Politik
Schock für Luiz Inácio Lula da Silva: Brasiliens ehemaliger Präsident hat einen Tumor im Kehlkopf. Dem früheren Staatschef steht jetzt eine Chemotherapie bevor. Doch möglicherweise kam die Diagnose für den charismatischen Politiker gerade noch rechtzeitig.
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The Secret of Herman Cain’s Political Success | Capital Gains and Games
He is the first black Republican in memory to really connect with the way white Republicans think about race. Cain is living proof that the GOP is open to blacks and that Republican policies will benefit them. And with our first African American president in the White House, many Republicans crave an opportunity to finally have a real debate on which party’s policies are better for racial minorities. The thought of a presidential debate between Cain and Barack Obama excites many Republicans to the point of extasy.
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Ben Bernanke Needs a Volcker Moment – NYTimes.com
Mr. Bernanke needs to steal a page from the Volcker playbook. To forcefully tackle the unemployment problem, he needs to set a new policy framework — in this case, to begin targeting the path of nominal gross domestic product.
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Americans’ Savings Rate Drops Again, Puzzling Experts – NYTimes.com
In September, the nation’s savings rate dropped for the third consecutive month, the Commerce Department said Friday. It is now at 3.6 percent of personal disposable income, its lowest level since the month the recession began.
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Worthwhile Canadian Initiative: Negative natural rates of interest and NGDP targets
And so targeting a level growth path of Nominal GDP would give you higher inflation during times when the natural rate and real GDP growth are both lower than normal. That’s how I interpret Scott Sumner’s response to Steve. You just need to set the target growth path of NGDP high enough to give the central bank a margin for error, in case the proxy isn’t perfect. Or else, be prepared to have a central bank with a rather large balance sheet if you target too low a growth rate of NGDP and don’t leave a large enough margin for error.
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IIF sees take-up of Greek debt discount above 90 percent | Reuters
At least nine out 10 banks are likely to accept a 50 percent discount on their Greek debt holdings, the managing director of the Institute of International Finance (IIF) was quoted as saying by a German newspaper.
fwiw. Liam Halligan of the DT is persistently wrong in his predictions ( but not in his analysis).
he says “It gives me no pleasure to write this, but I give this deal two weeks. ”
which is a cast iron guarantee that this will drag on for another 12 months.