econintersect.com
  • 토토사이트
    • 카지노사이트
    • 도박사이트
    • 룰렛 사이트
    • 라이브카지노
    • 바카라사이트
    • 안전카지노
  • 경제
  • 파이낸스
  • 정치
  • 투자
No Result
View All Result
  • 토토사이트
    • 카지노사이트
    • 도박사이트
    • 룰렛 사이트
    • 라이브카지노
    • 바카라사이트
    • 안전카지노
  • 경제
  • 파이낸스
  • 정치
  • 투자
No Result
View All Result
econintersect.com
No Result
View All Result

Gavyn Davies: Breaking Up is Hard to Do (Euro)

admin by admin
11월 28, 2011
in 미분류
0
0
SHARES
0
VIEWS

euro-flyingEconintersect:  Mr. Davies has a commentary today (November 27) in the Financial Times, “Thinking the unthinkable on a euro break-up”.  He points out that the formation of the euro currency as it has been existing for the past twelve years, was preceded by a lengthy period of several years where the ECU basket of national currencies was traded in foreign exchange markets.  The entry into the euro was therefore a very orderly process, with no sudden changes or economic disruptions.  Click on picture to see larger image attempting to answer the question:  Will the euro fly?His point is that he finds it hard to imagine that the members of the EU could devise a process, probably a decade long, to have an orderly re-emergence of national currencies that enter any sort of controlled mutual re-evaluations until finally arriving at the endgame of freely floating co-existence.

Davies has diagrammed future scenarios for the euro:

Click on graphic for larger image:

euro-future-davies

 

He discusses the investment and currency trading implications of various scenarios.  There are risks and opportunities in all scenarios, but by far the worst set of outcomes he foresees would come from the total dissolution of the euro (a disorderly process) which would create a nightmare of legal entanglements.

Davies concludes that early fiscal union (Route 3 in his diagram) with increasing consideration by the core to increase support for the peripheral bond markets is the preferred route.

From the Financial Times article:

To quote Neil Sedaka:

I beg of you don’t say goodbye

Can’t we give our love another try

Come on baby let’s start anew

‘Cause breaking up is hard to do

Note: Gavyn Davies is a macroeconomist who is now chairman of Fulcrum Asset Management and co-founder of Prisma Capital Partners. He was the head of the global economics department at Goldman Sachs from 1987-2001, and was chairman of the BBC from 2001-2004.

He has also served as an economic policy adviser in No 10 Downing Street, an external adviser to the British Treasury, and as a visiting professor at the London School of Economics.

Sources:   Financial Times and The Wall Street Journal

 

Previous Post

The Week Ahead: A Deluge of Data

Next Post

Philippines Now #1 for Call Centers

Related Posts

Bitcoin Is Finally Trading Perfectly Like 'Digital Gold'
Economics

Bitcoin Is Finally Trading Perfectly Like ‘Digital Gold’

by admin
Namibia Will Regulate And Not Ban Crypto With New Law
Finance

Namibia Will Regulate And Not Ban Crypto With New Law

by admin
6,746 ETH Valued At $12M Was Just Burned
Economics

6,746 ETH Valued At $12M Was Just Burned

by admin
Bitcoin Is Steady Above $29,000 Awaiting US NFP Figures
Economics

Bitcoin: What Next After Consolidation Ends?

by admin
US Government Offloads Another 8,200 Bitcoin – On-chain Data
Economics

US Government Offloads Another 8,200 Bitcoin – On-chain Data

by admin
Next Post

Philippines Now #1 for Call Centers

답글 남기기 응답 취소

이메일 주소는 공개되지 않습니다. 필수 필드는 *로 표시됩니다

Browse by Category

  • Business
  • Econ Intersect News
  • Economics
  • Finance
  • Politics
  • Uncategorized

Browse by Tags

adoption altcoins bank banking banks Binance Bitcoin Bitcoin market blockchain BTC BTC price business China crypto crypto adoption cryptocurrency crypto exchange crypto market crypto regulation decentralized finance DeFi Elon Musk ETH Ethereum Europe Federal Reserve finance FTX inflation investment market analysis Metaverse NFT nonfungible tokens oil market price analysis recession regulation Russia stock market technology Tesla the UK the US Twitter

Categories

  • Business
  • Econ Intersect News
  • Economics
  • Finance
  • Politics
  • Uncategorized

© Copyright 2024 EconIntersect

No Result
View All Result
  • 토토사이트
    • 카지노사이트
    • 도박사이트
    • 룰렛 사이트
    • 라이브카지노
    • 바카라사이트
    • 안전카지노
  • 경제
  • 파이낸스
  • 정치
  • 투자

© Copyright 2024 EconIntersect