Was reading the news yet again, and it always looks at the latest statement from or the ECB or Brussels or whoever, which then triggers a few hours’ reaction on stock movements and half the world writes about it as if a trend had miraculously shifted…..
Fundamentally, nothing has changed and no one writes about the extent of the problem. Interestingly, that is why I wrote a Businesss-Case about the reality of the Macroeconomics that I shall be delivering at the MBA program of IMD in Lausanne in November. Looking forward to the reactions when it will open the students’ eyes on the world they will be facing…. 😉
The Business-Case in a nutshell:
No doubt that would the EU economy not survive, the rest of the world will not look good, like it or not. The debt time-bomb is one thing, which will have to trigger rock-bottom interest rates in the EU as well as a centralized fiscal enforcement (note that things might get worse and implode before we get there), but that does not tackle the budgetary deficit problem and its enormous socio-political consequences, that is really where the big BOOM is hiding….. The case’s compulsory reading is “2084, don’t be scared, be prepared”?