Top Economists Debate the Crisis: 'Clinging to the Euro Will Only Prolong the Agony'

Top Economists Debate the Crisis: 'Clinging to the Euro Will Only Prolong the Agony'

SPIEGEL ONLINE - December 22, 2010

Leading German economists Peter Bofinger and Stefan Homburg are split over the euro's chances of survival. In a discussion moderated by SPIEGEL, they talked about the wisdom of introducing a euro bond and what would happen if Germany left the common currency. more... Comment ]

'The Threat of Insolvency': Bond Leader Pimco Sees Euro Zone in Danger

'The Threat of Insolvency': Bond Leader Pimco Sees Euro Zone in Danger

SPIEGEL ONLINE - December 20, 2010

European leaders proudly announced agreement last week in efforts to save the euro. But Pimco, the world's leading investor in sovereign bonds, says that the measures are not enough. Some countries may have to temporarily leave the common currency union. more...


Berlin's Lack of Vision: Europe Turns against Germany

Berlin's Lack of Vision: Europe Turns against Germany

SPIEGEL ONLINE - December 20, 2010

Germany's controversial approach to fighting the euro crisis has split the European Union. Some countries are complaining about Berlin's rigid course, while others accuse Chancellor Merkel of betraying the European project. The only thing they can agree on is that the EU needs Germany as a motor if it is to survive. By SPIEGEL Staff more... Comment ]

Saving the Euro: Merkel's Ironic Victory in Brussels

Saving the Euro: Merkel's Ironic Victory in Brussels

SPIEGEL ONLINE - December 17, 2010

It hasn't been an easy year for the EU, or for Angela Merkel. She played chief skeptic during the euro crisis, but the role ironically led her to forge a rescue mechanism for the continent's embattled currency. By Carsten Volkery in Brussels more...


Saving the Common Currency: German Obstructionism Heightens Euro Fears

Saving the Common Currency: German Obstructionism Heightens Euro Fears

SPIEGEL ONLINE - December 16, 2010

All eyes are on Brussels this Thursday as European leaders gather to discuss ways to solve the ongoing euro crisis. So far, though, German Chancellor Angela Merkel has proven unwilling to consider measures that may require additional German funds. Others in the EU are getting anxious. By Charles Hawley more...

Capitalizing on the Euro Crisis: China Expands Its Influence in Europe

Capitalizing on the Euro Crisis: China Expands Its Influence in Europe

SPIEGEL ONLINE - December 14, 2010

China is seizing on Europe's debt problems to expand its influence on the continent with large-scale investments and purchases of government bonds issued by highly-indebted states. The strategy could push Europe into the same financial dependency on China that is posing a dilemma for the US. By Wieland Wagner more... Comment ]


Waning Influence in Brussels: Euro Crisis Leaves Germany Increasingly Isolated

Waning Influence in Brussels: Euro Crisis Leaves Germany Increasingly Isolated

SPIEGEL ONLINE - December 13, 2010

German Chancellor Angela Merkel is coming under growing criticism ahead of this week's EU summit. Her preferred approach to fighting the euro crisis has failed to receive support in Europe. She is also at odds with Finance Minister Wolfgang Schäuble, whose loyalty to France has become a subject of ridicule in Berlin. By SPIEGEL Staff more... Comment ]

The Battle over the Euro-Bond: Juncker Calls German Thinking 'Simple'

The Battle over the Euro-Bond: Juncker Calls German Thinking 'Simple'

SPIEGEL ONLINE - December 08, 2010

Germany has resisted calls for a joint Euro-Bond to help the euro zone's weaker members, but the chairman of the euro zone finance ministers says they need to study his proposal. Merkel's spokesman says they have. more...


Drastic Cuts and Punitive Interest Rates: The EU Is Pushing Ireland to the Brink of Ruin

Drastic Cuts and Punitive Interest Rates: The EU Is Pushing Ireland to the Brink of Ruin

SPIEGEL ONLINE - December 08, 2010

The Irish government has just passed its fourth budget in two years. But the drastic savings measures it contains will not help the country's massive debt problem. Some economists are now predicting it is only a matter of time before Ireland defaults. By Carsten Volkery more...

Row Over ECB Handling of Euro Crisis: The Lonely Fight of Monetary Dogmatist Axel Weber

Row Over ECB Handling of Euro Crisis: The Lonely Fight of Monetary Dogmatist Axel Weber

SPIEGEL ONLINE - December 06, 2010

The head of the German central bank, Axel Weber, is openly critical of the way the European Central Bank has handled the euro's debt woes. He is fighting to uphold purist monetary principles that are untenable in the current crisis. His chances of succeeding Jean-Claude Trichet as ECB chief are waning as a result. By Michael Sauga more... Comment ]