{"id":292491,"date":"2010-02-08T09:02:04","date_gmt":"2010-02-08T14:02:04","guid":{"rendered":"http:\/\/blogs.reuters.com\/felix-salmon\/?p=2503"},"modified":"2010-02-08T09:02:04","modified_gmt":"2010-02-08T14:02:04","slug":"can-europe-print-money-to-get-out-of-its-fiscal-hole","status":"publish","type":"post","link":"https:\/\/mereja.media\/index\/292491","title":{"rendered":"Can Europe print money to get out of its fiscal hole?"},"content":{"rendered":"<p><a href=\"http:\/\/www.youtube.com\/watch?v=riz-1pUqPXs&amp;feature=player_embedded\">Warren Mosler<\/a> has an interesting and provocative remedy for Europe&#8217;s current fiscal woes: the European Central Bank should simply print 1 trillion euros, and hand it out, on a pro-rated basis, to all the Eurozone states. This is a per-capita payment: it would be based on population, not on GDP, with the highest-population countries getting the most money.<\/p>\n<p>Mosler reckons that spending would be unaffected, because the Eurozone countries are already up against their Maastricht limits, and that therefore inflation wouldn&#8217;t be affected either. More importantly, he says, the Eurozone debt ratios would come down, by say 5 percent of GDP across the board.<\/p>\n<p>The interesting thing is that given recent weakness in the euro, something along these lines &#8212; if not quite as explicit &#8212; seems to be already priced in, to some degree. I don&#8217;t think anybody in Europe is particularly worried about inflation right now; if anything, deflation is more of a problem, especially in the PIIGS.<\/p>\n<p>The big question, of course, is whether and how anybody at the ECB would ever let something like this happen, given its much-vaunted independence. Deflation worries might have to pick up quite a lot before it happens, and even then it&#8217;ll be a very tough sell among the European central-banking crowd.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Warren Mosler has an interesting and provocative remedy for Europe&#8217;s current fiscal woes: the European Central Bank should simply print 1 trillion euros, and hand it out, on a pro-rated basis, to all the Eurozone states. This is a per-capita payment: it would be based on population, not on GDP, with the highest-population countries getting [&hellip;]<\/p>\n","protected":false},"author":398,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"class_list":["post-292491","post","type-post","status-publish","format-standard","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/292491","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/users\/398"}],"replies":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/comments?post=292491"}],"version-history":[{"count":0,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/292491\/revisions"}],"wp:attachment":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/media?parent=292491"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/categories?post=292491"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/tags?post=292491"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}