Looking On The Brighter Side Of Life

Oh come on, it’s Friday afternoon, the sun is probably shining all over continental europe, and you’re all probably off away from your desks for a weekend in the country or on the beach. So why spoil the fun. I’ll save my piece on Portugal till Monday. And meantime, you deserve something better than ‘gloomy Edward’ on such an afternoon, so why not, the opposite view: Stephen – ‘bright sider’ – Roach:

As a congenital euro-skeptic, I will be the first to admit that it feels rather uncomfortable rising to the defense of Old Europe. But someone has to. The world is down on the Mother Continent as never before. And Europe, itself, is caught up in a bout of self-flagellation that is getting worse by the day. The risk, in my view, is that this is an overdone story of cyclical angst. While the economic outlook for Europe is far from terrific, it?s not nearly as bad as the consensus mindset would lead you to believe……. At the same time, I would concede that the tails of the political verdict could well have major impacts on financial markets. A decisive French rejection of the EU constitution could force markets to raise the probability of an EMU break-up. A ?yes? vote, by contrast, could spark a huge rally in the euro and in most-euro-denominated assets. We?ll know soon enough.

I think I’ll deal with this, and with Henry’s arguments when the votes are safely in and counted. Have a nice weekend everyone :).

This entry was posted in A Fistful Of Euros, Economics and demography and tagged , by Edward Hugh. Bookmark the permalink.

About Edward Hugh

Edward 'the bonobo is a Catalan economist of British extraction. After being born, brought-up and educated in the United Kingdom, Edward subsequently settled in Barcelona where he has now lived for over 15 years. As a consequence Edward considers himself to be "Catalan by adoption". He has also to some extent been "adopted by Catalonia", since throughout the current economic crisis he has been a constant voice on TV, radio and in the press arguing in favor of the need for some kind of internal devaluation if Spain wants to stay inside the Euro. By inclination he is a macro economist, but his obsession with trying to understand the economic impact of demographic changes has often taken him far from home, off and away from the more tranquil and placid pastures of the dismal science, into the bracken and thicket of demography, anthropology, biology, sociology and systems theory. All of which has lead him to ask himself whether Thomas Wolfe was not in fact right when he asserted that the fact of the matter is "you can never go home again".

2 thoughts on “Looking On The Brighter Side Of Life

  1. “Enforcing the Stability and Growth pact is that not what the Dutch want?”

    I think this is a comment to the other post, but yes, of course they do, but the French ‘no’ voters probably don’t. Something for everyone here.

    But of course, all those who want the euro to survive want the SGP enforcing.

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