Today we present the Target2-system and the fiscal bail-out facilities in our series on European efforts to bail out itself. For new readers, check out part 1 here http://bawerk.net/?p=123 Tran-European Automated Real-time Gross Settlement Express Transfer System – TARGET2 In order to facilitate cross-border financial transactions within the currency union an interbank payment system was…

Over the last couple of years we have been tracking the various bail-out schemes concocted by ingenious Eurocrats. It is truly fascinating to observe these people get entangled in one lie after another; always trying to resolve the old lie with a new one. The hard cold truth is of course that Europe is bankrupt!…

We are proud to say this article was published on Casey Research’s The Room this Friday. If you are not familiar with the work of Casey Research we suggest you check it out. Note; we use the conventional GDP typology as opposed to GDC, since readers unfamiliar with Bawerk.net will not recognize GDC as a term. ___________________________________ While…

Something peculiar has been going on in the treasury market during the latest round of quantitative easing (QE). If we study the chart provided below we find that treasury rates increased as soon as a QE-program was enacted, and fell immediately after its termination. Take the TSY 10 year for example; as soon as QE1…