The State of the European Economy
Munchau On Germany: Munchau On Germany Wolfgang Munchau has some not-so-nice things to say about the German economic situation. He notes that so far, at least, Germany’s growth simply reflects recovery from an unusually deep slump: “So far, this looks like classic dead-cat bounce.” He also stresses the role of German undervaluation; this is a big problem, and I agree that it’s at the heart of the eurozone’s troubles.
Also today: Clive Crook says sensible things about monetary and fiscal policy. They’re more or less the same things he has spent months trashing me for saying, but I welcome him back to the light.