Too Late to Bail Out the PIIGS?

February 6th, 2014
in econ_news

Econintersect: A recent study at the Minneapolis Fed concludes that debt levels among the PIIGS (Portugal, Ireland, Italy, Greece, and Spain) are so high that it may be too late for such bailouts to be successful in inducing these countries to reduce their debt. The study (using the 1995 bailout of Mexico as the model) was based on the theory that lending freely at a penalty interest rate and on good collateral, an outside party can put an end to a sovereign debt crisis.

Follow up:

[click on image below to read the full study]

Source: http://www.minneapolisfed.org/research/sr/sr497.pdf









Make a Comment

Econintersect wants your comments, data and opinion on the articles posted.  As the internet is a "war zone" of trolls, hackers and spammers - Econintersect must balance its defences against ease of commenting.  We have joined with Livefyre to manage our comment streams.

To comment, just click the "Sign In" button at the top-left corner of the comment box below. You can create a commenting account using your favorite social network such as Twitter, Facebook, Google+, LinkedIn or Open ID - or open a Livefyre account using your email address.

















 navigate econintersect.com

Blogs

Analysis Blog
News Blog
Investing Blog
Opinion Blog
Precious Metals Blog
Markets Blog
Video of the Day
Weather

Newspapers

Asia / Pacific
Europe
Middle East / Africa
Americas
USA Government
     

RSS Feeds / Social Media

Combined Econintersect Feed
Google+
Facebook
Twitter
Digg

Free Newsletter

Marketplace - Books & More

Economic Forecast

Content Contribution

Contact

About

  Top Economics Site

Investing.com Contributor TalkMarkets Contributor Finance Blogs Free PageRank Checker Active Search Results Google+

This Web Page by Steven Hansen ---- Copyright 2010 - 2017 Econintersect LLC - all rights reserved