SAO PAULO | By Marcus Nunes via Historinhas | In an interview he dwells on financial fragility and the Great Recession was an “inconvenience”: “Of course, we had to cope with a number of additional challenges on top of the grave and immediate threat of the collapse of the system. We had also to cope with the Great Recession, but very fortunately not the Great Depression that we would have had had we not acted swiftly and boldly at the start of the crisis. Even so, the Great Recession added to the difficulty.”
Amid an important devaluation of its currency, and with its central bank rapidly losing reserves, Argentina is entering a critical stage as it attempts to avoid a new economic crisis. In November 2013, Argentine President Cristina Fernandez de Kirchner decided to limit her public appearances and delegate to new ministers. Economy Minister Axel Kicilloff and Chief Minister Jorge Capitanich were tasked with revising the economic course of a government that is starting to show weaknesses. Today, not only is the Argentine public worried, but so too is the international community.
WASHINGTON | Via The Next New Deal | Roosevelt Institute Fellow Mike Konczal (@rorytomb) explains why banks need higher capital standards to prevent another collapse, how much could they fund themselves through equity and the challenges ahead the U.S. financial reform such as the Dodd Frank Act’s progress, inequality and CEO pay.
BRUSSELS | By Ann Mettler | The worst response to the Italian elections would be not to speak the truth, to cave in to the idea that somehow “austerity” is to blame for the current woes, that once again breaking the rules of the Stability and Growth Pact would somehow improve the situation.