there remains considerable faith – even, or perhaps especially, among people who hate bankers – that a financial solution, involving firewalls, bazookas, leverage and improbable amounts of money, can “solve” the euro crisis. It can do no such thing. It can buy time, as the European Central Banks’s deftly enormous interventions are doing by flooding the banking system with cash – but the purchase of time is not costless.
Thursday, 1 March 2012
You know things are bad when even the thoroughly statist FT runs articles like this: