Presentation Slides

How Europe Ended Up Someplace Else
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Why we got here...and where we are headed

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For Italy, all economic and financial trends are going in the wrong direction
Interest rates are rising, placing greater stress on banks holding government bonds, growth is slowing, and the ECB’s ability to provide additional monetary stimulus is politically limited. The Italian economy and financial systems stand on a dangerous threshold.   (Figures)

Europe Ended up in Someplace Else
European leaders told themselves that monetary union was a path to political unity, but as the critics had warned, monetary union deepened the political divisions.(Figures)

Italy: Theater of EuroTragedy
Italy’s deep endemic problems made it clear that it should not have been in the eurozone. But hubris prevailed and Italy fell into the euro’s trap, where a tragedy continues to play out.  (Figures)

Italy in a Eurozone Trap
Shorter version of Italy: Theater of EuroTragedy. Italy’s deep endemic problems made it clear that it should not have been in the eurozone. But hubris prevailed and Italy fell into the euro’s trap, where a tragedy continues to play out. (Figures)

Policy Wounds Leave Scars
Much has been written about excessive fiscal austerity. But the eurozone’s single monetary policy has also been too tight, often fighting a phantom inflation while dismissing the risk of deflation. The European Central Bank has lost credibility as a recession-deflation fighting institution and the risk of deflation stalks large parts of the eurozone. (Figures)

The Permissive Consensus Breaks Down
European leaders, believing themselves to be “benign dictators,” presumed that they had the consent of their people to construct through bargains struck in in conference rooms. Over the last quarter century, the people have withdrawn their consent and want a greater say.  (Figures)