Tax Trio Would Put an End to Euro Arson: Perotti and Zingales
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July 28 (Bloomberg) -- The latest effort by European policymakers to contain the debt crisis offers only temporary relieffor the euro area.
The involvement of private creditors is a step in the rightdirection, though it is quantitatively too limited, and thebuyback program may end up rewarding banks’ shareholders andbondholders. Most importantly, the plan doesn’t address afundamental problem: Any support designed to backstop Spain andItaly would be funded mostly by Germany, the region’s largestnational economy.