Saving Europe’s Real Hegemon
Last June, the European Commission announced that the money for recapitalizing distressed banks would come primarily from creditors, not European taxpayers, with a pecking order to specify which lenders would be repaid first. All of this is welcome in principle; in practice, however, the scheme leaves much to be desired.
MUNICH – Last June, the European Commission announced its about-face on bank restructuring. The money for recapitalizing distressed banks would now come primarily from creditors, not European taxpayers, with a pecking order to specify which lenders would be repaid first. All of this is welcome, at least in principle. In practice, however, the scheme leaves much to be desired.