Word: euroland
(lookup in dictionary)
(lookup stats)
Dates: all
Sort By: most recent first
(reverse)
...fiscal deficits of the PIIGS are among the highest in Euroland. Their unit-labor costs have risen faster than anywhere else. So their exports can't compete; hence they run some of the largest current-account deficits. What do you do when you shovel coal and run out of fuel? You borrow - as the PIIGS have done. The markets have cast their verdict on that. Now, Greece has to borrow at twice the interest rate that German bonds fetch...
Still, let's not praise Merkel the martinet too much. She has not acted out of pure selflessness. As the richest nation in Euroland, Germany would have had to pay the largest share of the bailout. And if the euro careens out of control, Germany would end up as the biggest loser. With the euro derailed, the new deutsche mark would be everybody's darling, driving its value up - not a cheery prospect for the world's second biggest exporter. (See video: "Globabl Business Trips: Germany...
...predicted - as an engine of growth that accelerates investment by leveling borders and speeds up consumption by driving down prices. These competitive pressures also bear down on costs, and so money remains cheap while (core) inflation is safely confined. If U.S. growth has slowed a bit, Japan and Euroland are no longer a drag on the global economy. More significant is the uptick in confidence. Last year, those morose Europeans called off their consumption strike, and so consumer spending is up by around 2%. That may not be very impressive by Chinese standards, but it's downright profligate when compared...
...EUROLAND STABILITY...
ECONOMIC GROWTH Since the introduction of a single currency, Euroland has experienced a protracted period of subpar growth. Germany has suffered the most, but France, Italy and the Netherlands have also had virtually no growth. Meanwhile, Ireland, Greece and Spain have boomed--if not overheated. While many factors feed economic growth, some experts argue that the euro has exacerbated Europe's regional economic differences because of its one-size-fits-all monetary policy, with the European Central Bank setting the same interest rates for all. "In the short term, monetary policy is driving economies apart, not bringing them together," says...