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A mechanism to restructure the debt of an insolvent euro country is a missing element in the emerging institutional architecture of the euro area. The introduction of an insolvency procedure for sovereigns faces a dilemma: In the foreseeable future, its introduction would risk pushing Europe...
Persistent link: https://www.econbiz.de/10010394484
The eurozone sovereign debt crisis, characterized by enormous debt burdens faced by its weakest economies, has also … peripheral eurozone countries have dropped in value and are being reclassified from their prior riskless weight assigned by Basel …
Persistent link: https://www.econbiz.de/10013117156
This policy paper aims at presenting the key facts related to the Euro sovereign debt crisis that occurred in the interval 2010-2012. It points out some main coordination failures that are at the origin of the crisis, and comments on the effectiveness of various stabilization measures undertook...
Persistent link: https://www.econbiz.de/10013083128
The Eurozone official sector has declared that the belated restructuring of Greek bonds held by private sector … creditors in 2012 was a “unique and exceptional” event, never, ever to be repeated in any other Eurozone country. Maybe so. But … “private sector involvement” in Eurozone sovereign debt problems, any future Eurozone debt restructuring will be surely plagued …
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This paper examines the contemporary and possible future role of the IMF in European economic governance in light of the cooperation developed between the EU and the Fund in order to tackle financial problems both in non-euro area and euro area Member States. Attention is paid to the influence...
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