Welcome to European Tribune. It's gone a bit quiet around here these days, but it's still going.
Display:
No, no. Everything is peachy in Switzerland! They still have their own currency after all and didn't join the cursed euro!

"Ireland fits in the small country with large internationally active banking sector category alongside Iceland and Switzerland"

Yes. Nothing to do with CA deficits.

I didn't mention Cyprus because there seems to be an genuine non-economic reason: the power plant explosion.

by IM on Thu Sep 8th, 2011 at 05:14:32 AM EST
[ Parent ]
Everything is peachy in Switzerland!
Do you really have your head up one of your bodily orifices, or are you trolling?
I didn't mention Cyprus because there seems to be an genuine non-economic reason: the power plant explosion.
Yeah, the "external shock" cop-out of neoclassical economics.

About Cyprus: they have become an offshore appendage of the City of London where the banking sector has grown to 7xGDP. Were that not the case, an accident at a power plant would not have spelt economic disaster.

Economics is politics by other means

by Migeru (migeru at eurotrib dot com) on Thu Sep 8th, 2011 at 05:55:19 AM EST
[ Parent ]
No, no. Everything is peachy in Switzerland!

That remains to be seen, but the Swiss central bank is actually behaving intelligently in this crisis.

They still have their own currency after all and didn't join the cursed euro!

And that is why the Swiss CB still has the power to behave intelligently.

They may not be doing enough, and it may not be possible to do enough. But I wouldn't bet money on that in the way that I would without hesitation bet money on the non-viability of the Spanish balanced budget rule.

- Jake

Friends come and go. Enemies accumulate.

by JakeS (JangoSierra 'at' gmail 'dot' com) on Thu Sep 8th, 2011 at 08:43:19 AM EST
[ Parent ]

Display:

Occasional Series