Saturday, 22 July 2017

ECB

Unintended Monetary Policy Effects – Tale II: ECB Crisis Policies

July 16, 2017

The Federal Reserve’s (Fed) and European Central Bank’s (ECB) policy responses to the recent financial disasters offer two tales of unintended consequences. Our previous post outlined the undesired effects of the Fed’s policies. In this post, we suggest that the ECB’s stabilization policies did not only fail to achieve its goals. Monetary policy has also […]

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The European Central Bank on Bitcoins

Posted by Gonzalo Schwarz
November 2, 2012

by Robert Wenzel I have finally had a chance to read in full the unsigned report by the European Central Bank that I mentioned earlier this week. The report is quite impressive.The report clearly states the advantages of Bitcoins versus current credit/debit cards: Firstly, transactions are anonymous, as accounts are registered and Bitcoins are sent […]

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Central Bank Policy Leaves Tidal Wave of Money on Horizon

Posted by Gonzalo Schwarz
July 25, 2012

David Ignatius at WaPo has written an opinion piece which warns that the American and European Central banks have been “forced” by complacent and cowardly politicians into pumping money into the economy – to keep the economy afloat – because politicians have been unwilling to commit to the austerity and deficit reduction necessary to tackle […]

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Something is Rotten in the State of Denmark

Posted by Gonzalo Schwarz
July 5, 2012

Central Banks Helpless As Denmark Goes NIRP, Cuts Deposit Rate To NEGATIVE 0.2% From ZeroHedge.com: A few days ago we noted that the ECB may well be contemplating the monetary neutron bomb, which would see it lower rates to below zero, ushering in a Negative Interest Rate Policy. Today, Mario Draghi cut such speculation short promising the […]

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The Euro Titanic Has Hit the Iceberg

Posted by Gonzalo Schwarz
June 13, 2012

Mutually Assured Financial Destruction “Under the deal, the Italians have to lend to the Spanish banks at 3%, but to get that money they have to borrow on the markets at 7%! It’s genius!” It’s Nigel Farage, back again. Enjoy! image: flickr.com/ericconstantineau

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Time Bomb? Banks Pressured to Buy Government Debt

Posted by Gonzalo Schwarz
June 1, 2012

“It’s not printing money, it’s ‘borrowing‘ money! See! We’ve totally learned from the mistakes of the past! This time it will be different!” by Jeff Cox US and European regulators are essentially forcing banks to buy up their own government’s debt—a move that could end up making the debt crisis even worse, a Citigroup analysis says. […]

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