Polystyrene, wood, reinforcement steel, and other materials have not only become expensive, but their lack in warehouses indicates that the increase of prices will continue. It is similar with notebooks, bicycles, or maize.
Estonia could become the first country in the world with virtual currency, the Estcoin. The problem is that the country’s official currency is Euro and membership in the Eurozone does not allow having any other parallel cryptocurrency.
We can find examples of negative interest rates in countries throughout history. But these are geographically or time-isolated cases. However, today we live in a world where more and more things are turning upside down. And one of such things is the fact that negative interest rates are shifting from a deviation to a norm (for the time being only within the financial system).
The chairman of the Central Bank of Lithuania will become a member the Governing Council of the European Central Bank, which is responsible for monetary policy for the euro area. Thus, if Lithuania wants to properly represent it‘s interests, it has to join the debate concerning decisions of the ECB.
While the European Central Bank, governments and many economists complain about the danger of deflation a currently published microeconomic analysis from the famous Kiel Institute for the World Economy tells a different story.
Except for few unfortunate ones, high schoolers have already finished their key exams. European banks have not.
Contrary to what Lithuania’s prime minister claims, discussions on euro introduction are far from over. They might be over for those who have had the task of convincing Lithuanians about the benefits of having the euro.
European banking union is the most important regulatory project in the European Union (EU).
Certainly, there is no need to agree with everything Connolly says. However, when thinking about what awaits us in the Euro area in the coming months and years, I listen to his opinion with much more respect than to the opinions of the prophets of unfounded optimism.
The Welfare State is socialism for the poor, but the monetary policy of the ECB is socialism for the rich.