The idea of taxing one of the few savings instruments that is actually working is of pure genius...
http://economia.publico.clix.pt/noticia.aspx?id=1424056
Tuesday 23 February 2010
Monday 22 February 2010
My answer
The euro makes all the sense in the World if:
- all the countries are able to consistently obey the criteria issued for the currency existence - hence, its public finance health;
- the troubled countries can raise its internal competitiveness to compliant levels;
- there is a number of political reforms that lead to a structured approach to the European economy as a whole.
- all the countries are able to consistently obey the criteria issued for the currency existence - hence, its public finance health;
- the troubled countries can raise its internal competitiveness to compliant levels;
- there is a number of political reforms that lead to a structured approach to the European economy as a whole.
If not, there will always be the risk that the internal pressures from the different paces of the countries will tear the currency apart. Because, and that is for sure, it won't be beneficial (for no one) that the rich countries keep on financing the poorer and troubled economies inefficiencies. For the rich ones, it would be a stretch on their taxes and their investment capability in their own economies. For the troubled economies, it would mean a loss of independence, as there are "no free dinners".
We shouldn't have many illusions. The eurozone inability to provide an answer to these problems over the last years (they were only raised by the global crisis, but the issues existed over the last 10 years) makes the European Union on itself being at stake!
Portugal is under the floodlight
In Portugal, the general public opinion has no idea on how Portugal is being closely watched by the financial and economic worlds. After the newsflash that Greece was on the verge of bankrupt, the comparisons were immediate. And the word of politicians is measured exactly on its actual weight, the one of persons desperate to build a stronger image and to run away from looming dangers and responsibilities. The TV programs and news articles on the PIGS (Portugal, Ireland, Greece, Spain) financial situation succeed each other both in generic media and in economic ones. The attention that we can guess from the references to Wall Street Journal's articles is only a hint on that. And believe me, it is this attention and the way we show these media (and thus the financial and economical worlds) that we can handle this extremely explosive and dangerous situation that will determine the future of our economy - either as a strong developed country or as a trash bonds supplier.
Saturday 20 February 2010
Help?
In a situation of tragedy, in a dramatic situation caused by a massive natural disaster, humanitarian help is needed! We shall all be solidary and send help on the most trusted and adequate way!
Should we help economically if a tragedy has been enhanced by institucional lack of organisation and failure? Look at Madeira's situation today, with a very strong storm boosted by lack of urban planning and an almost total absence of environmental planning. Should reconstructive help (because humanitarian is not questionable) be provided if the reasons that led to this situation aren't fixed?
Is the euro a bad ideia?
Over the past 2 weeks, I watched and read 3 different American media doing exactly this question. Do you have an opinion?
http://questmeansbusiness.blogs.cnn.com/2010/02/19/was-the-euro-a-bad-idea/
Subscribe to:
Posts (Atom)
Posts
