Leaving the Euro

Would you like to win 250,000 British pounds? Predicting that a nation’s euro zone exit would be catastrophic unless properly managed, a UK businessman has sponsored a contest. To win the prize …

A QE2 Eulogy

Although QE2 ended yesterday, eulogies for the Fed’s $600 billion bond buying program did not focus on the qualities of the deceased and why we will miss her. Yes, some did believe that thi…

A New Drachma?

According to a 2002 BBC report, Greece was the least prepared to make the switch to the euro in 2002. During the transition only 1/6 of all businesses in Greece had received their euros. Now, Greece r…

Europe Day

Can you imagine if every time someone from Brooklyn went to Manhattan, she had to use a different currency?   In an excellent NY Times Magazine article, economist Paul Krugman explains …

Comparing Central Banks

Perhaps we can divide the world between inflation fighters and recession fighters. Right now, most of the inflation fighters are in the developing world. In Brazil, Russia, India and China (the BRICs)…

More of a Contagious Disease

From FT.com: “The Irish say they are not Greece. The Portuguese say they are not Irish. The Spanish finance minister said last week that Spain is not Portugal. There are no prizes for guessing w…

QE2: Pros and Cons

Reminding us that there is no such thing as a free lunch, The Washington Post has an excellent interactive summary of the pros and cons of a QE2 impact. But first…what is QE2? Through a second r…

Where is QE2 Going?

Did you ever wonder how things really happen? We read about quantitative easing and hear some gigantic number but then…what? Who does it and how? In a Planet Money podcast, journalists visit the…

Cyclical or Structural?

Economists still cannot agree. With the new unemployment rate, at 9.6%, the same as the old unemployment rate, one question remains the same. Is it a jobs mismatch, contractionary lay-offs, or a third…

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