Europe & the Euro Archives - Emile Woolf writes

Economic Perspectives 35 (Part two) – the Scourge of Credit Expansion

GOING POSTAL 20/8/18 [Part 1 of “This time it will be different” appeared as Going Postal last week.] PART 2 THE SCOURGE OF CREDIT EXPANSION – THE SYSTEM’S DEMISE COULD BE SOONER THAN YOU THINK The monetary conjuring trick employed after the last crisis, described in Part 1, required central banks to purchase government bonds […]

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Reading the signs of the coming crash

1 – THIS TIME IT WILL BE DIFFERENT – Yes, far worse! [ECONOMIC PERSPECTIVES – 35] The last crash 2007/2008 Before the last financial crisis in 2007/2008 sub-prime mortgages were all the rage. The idea was that if mortgage lenders put a pot-pourri of mortgages in a parcel, the risks attaching to mortgages at the […]

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Economic Perspectives: EU Membership – understanding the rules

EU MEMBERSHIP – UNDERSTANDING THE RULES While combatants wrestle over potential outcomes of the Brexit debate, we should recognise the part played in all these shenanigans by fear, borne of uncertainty. Many warnings against the dire consequences of leaving the EU have an emotional flavour not rooted in economic logic, while some Brexiteers counter such […]

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Understanding Economics 4 – Interest rates

Let’s look more closely at the role of interest rates Money is one of many forms in which wealth may be held, but money and wealth are not synonymous. Wealth is the accumulation of savings. Savings, in a business, are what is left after meeting all its direct and indirect costs, depreciation, distributions to the […]

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“Understanding Economics in an hour”

UNDERSTANDING ECONOMICS IN ONE HOUR 1 – Overview Looking about us, what we see is the passing show. Despite every appearance of reality, it is ephemeral, ever-changing. It is Prospero’s “insubstantial pageant”. What we see is a “result” of something else, always a manifestation rather than a “cause”. It is difficult to discern the real […]

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European Union – what membership entails

ECONOMIC PERSPECTIVES – 28 EUROPEAN UNION – WHAT MEMBERSHIP ENTAILS The responses to my last essay in this series prompts me to develop and clarify some of the questions it raised. It addressed the way in which important Brexit issues have been clouded by uncertainty, exacerbated by predictably negative forecasting by supposedly neutral authorities, generating […]

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Economic Perspectives – 24 “PROTECTIONISM IS SIMPLY “PATRONAGE” IN A MODERN GUISE

ECONOMIC PERSPECTIVES – 24 [Early-November 2017] PROTECTIONISM IS SIMPLY “PATRONAGE” IN A MODERN GUISE Protectionist policies are by no means confined to trade deals. Yet, in every one of their guises they appeal for popular support from local commercial interests, pleading fairness, justice and equity to justify their anti-competitive political demands. Rational economic principles take […]

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Government knows what it is doing? Dream on

SEPTEMBER 2012 King Canute was neither vain nor foolish. He ordered the tide to recede only to demonstrate to his court that even his awesome powers had limits. Vain and foolish politicians, however, aspire to preserve the myth of Euroland and still believe that, by hook or (especially) by crook, they might actually make it […]

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