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This subthread began with my suggestion that fear of a jump in interest rates (aka punishment by teh markets, whether personified by "bond vigilantes" or metaphorically represented by the "invisible hand") was a factor in Holland/the government's pusillanimous stance. That's a political comment that doesn't call for an economic model.

As to how justified that fear may be, you seem to agree there would be a rise, but it would not last long. You may be right. It doesn't change my political comment.

by afew (afew(a in a circle)eurotrib_dot_com) on Fri May 30th, 2014 at 02:06:11 AM EST
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