Wednesday 19 October 2011

Lender of Last Resort

Tom McDonnell: Bernard Delbecque proposes using the EFSF as a lender of last resort here. The ECB is the other plausible candidate. The lack of a lender of last resort for the Euro zone has been one of the most significant design flaws in the make-up of monetary union and has contributed greatly to the explosion in bond spreads in the last two years.

No comments: