Central bankers as economic hit-men | 24 comments (24 topical, editorial, 0 hidden)

Today's editorial in El Pais.

Espiral de sospechas · ELPAÍS.com		Spiral of suspicion - ElPais.com
Este ya no es solo un problema de los Estados. El BCE tiene que actuar con presteza y anunciar que comprará masivamente deuda de los países tocados por la sospecha; las autoridades europeas tienen que respaldar los planes de ajuste de Irlanda, Portugal y España, puesto que sus Gobiernos han adquirido compromisos firmes. Y si ni siquiera así se calman los mercados, Europa tendrá que adoptar medidas de emergencia para cortar de raíz, con la liquidez que sea necesaria, la espiral de sospechas. Para salvar el euro, en definitiva.		This is no longer a problem of the [EU member] States only. The ECB needs to ast speedily and announce that it will massively buy debt of countries touched by suspicion; the European authorities have to back the adjustment plans by Ireland Portugal and Spain, given that their governments have acquired firm commitments. And if not even then markets are clamed, Europe will have to adopt emergency measures to cut at its root, with the necessary liquidity, the spiral of suspicion. To save the Euro, in sum.

Of all the ways of organizing banking, the worst is the one we have today — Mervyn King, 25 October 2010