Comments on: Wolfgang Munchau Proposes The EU Organise An IMF-type Rescue For Spain http://fistfulofeuros.net/afoe/economics-and-demography/wolfgang-munchau-proposes-the-eu-organise-an-imf-type-rescue-for-spain/ European Opinion Thu, 04 Dec 2008 03:04:56 +0000 http://wordpress.org/?v=2.6.3 By: John Page http://fistfulofeuros.net/afoe/economics-and-demography/wolfgang-munchau-proposes-the-eu-organise-an-imf-type-rescue-for-spain/#comment-21249 John Page Tue, 22 Jul 2008 18:53:27 +0000 http://fistfulofeuros.net/?p=3299#comment-21249 Just where would this money come from? And then there's Ireland ... Greece ... Portugal ... Italy.... Just where would this money come from? And then there’s Ireland … Greece … Portugal … Italy….

]]> By: Oliver http://fistfulofeuros.net/afoe/economics-and-demography/wolfgang-munchau-proposes-the-eu-organise-an-imf-type-rescue-for-spain/#comment-21235 Oliver Mon, 21 Jul 2008 21:25:52 +0000 http://fistfulofeuros.net/?p=3299#comment-21235 You are saying that this happened because interest rates were lower than inflation, aren't you? If so, if it happened once, what would prevent it in the future? Inflation is not exactly low these days. You are saying that this happened because interest rates were lower than inflation, aren’t you? If so, if it happened once, what would prevent it in the future? Inflation is not exactly low these days.

]]> By: Tobias http://fistfulofeuros.net/afoe/economics-and-demography/wolfgang-munchau-proposes-the-eu-organise-an-imf-type-rescue-for-spain/#comment-21233 Tobias Mon, 21 Jul 2008 14:46:05 +0000 http://fistfulofeuros.net/?p=3299#comment-21233 Edward, the "we could have done the EMU without any expectation adjusting transition and it would have benefitted countries like Spain even more, "no pain no gain" is not true" position was what I disliked most about, say, Peter Bofinger's pro EMU stance. That said, having read your RGE article, I'm still unconvinced about the magnitude of the problem and the need to jump in on new forms of EU fiscal policies. Germany managed to get through the "credit crunch" in the early 2000s, when construction plunged following the post-reunification boom. No one likes expectations-adjustments, but I can't (yet) see the "you'll be worse off yourself if you don't help" to be valid in this case - particularly given the amount of epistemological uncertainty you mention regarding the actual figures involved. Maybe the magnitude of the crisis will be big enough to help develop appropriate policies for the future and small enough to be contained on a national level. Edward,

the “we could have done the EMU without any expectation adjusting transition and it would have benefitted countries like Spain even more, “no pain no gain” is not true” position was what I disliked most about, say, Peter Bofinger’s pro EMU stance. That said, having read your RGE article, I’m still unconvinced about the magnitude of the problem and the need to jump in on new forms of EU fiscal policies. Germany managed to get through the “credit crunch” in the early 2000s, when construction plunged following the post-reunification boom. No one likes expectations-adjustments, but I can’t (yet) see the “you’ll be worse off yourself if you don’t help” to be valid in this case - particularly given the amount of epistemological uncertainty you mention regarding the actual figures involved. Maybe the magnitude of the crisis will be big enough to help develop appropriate policies for the future and small enough to be contained on a national level.

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