Commentary
Uri Dadush
{
"authors": [
"Uri Dadush"
],
"type": "other",
"centerAffiliationAll": "",
"centers": [
"Carnegie Endowment for International Peace"
],
"collections": [],
"englishNewsletterAll": "",
"nonEnglishNewsletterAll": "",
"primaryCenter": "Carnegie Endowment for International Peace",
"programAffiliation": "",
"programs": [],
"projects": [],
"regions": [
"Western Europe",
"France",
"Germany",
"North America"
],
"topics": [
"Economy"
]
}
Source: Getty
Other
Is Europe Doing Enough?
While European leaders have come a long way and now understand the full gravity of the situation—something that didn’t exist even six months ago—the German and French approach is far too demanding on peripheral countries and doesn’t offer enough support.
By Uri Dadush
Published on Dec 18, 2011
Is Europe doing enough to fix the crisis and save the euro?
European leaders are not doing enough. While they have come a long way and now understand the full gravity of the situation—something that didn’t exist even six months ago—the German and French approach is far too demanding on peripheral countries and doesn’t offer enough support.
To give more support to countries at the heart of the crisis, Europe could undertake more expansionary policies with the European Central Bank. Europe could also put more money into the European Financial Stability Facility and push much harder for a larger IMF package that would need support from the United States, China, and others. And debt restructuring is another possibility that has been explicitly ruled out at this stage.
To give more support to countries at the heart of the crisis, Europe could undertake more expansionary policies with the European Central Bank. Europe could also put more money into the European Financial Stability Facility and push much harder for a larger IMF package that would need support from the United States, China, and others. And debt restructuring is another possibility that has been explicitly ruled out at this stage.
Read more
Expansionary policy and a bigger bazooka would help facilitate the very difficult adjustment in the troubled economies. People who think that the periphery is not adjusting painfully are simply not looking at the data. These countries are going through some of the worst downturns in history. These are painful processes that need and deserve more support. MORE►
About the Author
Uri Dadush
Former Senior Associate, International Economics Program
Dadush was a senior associate at the Carnegie Endowment for International Peace. He focuses on trends in the global economy and is currently tracking developments in the eurozone crisis.
- The Labors of Tsipras
- Greece, Complacency, and the EuroIn The Media
Uri Dadush
Recent Work
Carnegie does not take institutional positions on public policy issues; the views represented herein are those of the author(s) and do not necessarily reflect the views of Carnegie, its staff, or its trustees.
More Work from Carnegie Russia Eurasia Center
- Does Russia Have Enough Soldiers to Keep Waging War Against Ukraine?Commentary
The Russian army is not currently struggling to recruit new contract soldiers, though the number of people willing to go to war for money is dwindling.
Dmitry Kuznets
- Including Russia on the EU Financial Blacklist Will Hurt Ordinary People, Not the KremlinCommentary
The paradox of the European Commission’s decision is that the main victims will not be those it formally targets. Major Russian businesses associated with the Putin regime have long adapted to sanctions with the help of complex schemes involving third countries, offshore companies, and nonpublic entities.
Alexandra Prokopenko
- Why Didn’t the Ukraine War Turn Russia’s Ruling Class Against Putin?Commentary
A new book by Alexandra Prokopenko looks at why the Russian ruling class became the regime’s willing servants—and how they might fare in a post-Putin world.
Vladislav Gorin
- Collateral Damage: The Frozen Foreign Assets of Middle-Class RussiansCommentary
The volume of frozen private assets might seem insignificant compared with Russia’s sovereign reserves, but these are the savings of millions of people who believed that foreign securities were a safe investment and in the institution of private property.
Yulia Starostina
- The Kremlin Has Weaponized Western Financial Checks to Punish Russian DissidentsCommentary
International compliance and anti-money laundering standards are currently formulated in such a way that the Western financial system does not differentiate between Russian political prisoners and ISIS militants.
Alexandra Prokopenko
