Spitfire List Web site and blog of anti-fascist researcher and radio personality Dave Emory.
The tag 'Bundesbank' is associated with 7 posts.

The New World Ordoliberalism Part 5: The TLTRO and Waiting for Godot. And Sanity.

With European Union continuing its slow steady fall into deflation, the question of “what’s to be done?” has becoming a permanent fixture for European policy-makers. But for the eurozone, with it’s shared monetary system, the question is a much more complicated “what should we all be doing together?”. The answer to that latter question, unfortunately, has consistently been “not enough”, despite prior promises.

Still, the ECB hasn’t given up entirely in its attempts to reflate the eurozone. Back in June, the ECB decided to inject another 400 billion euros into the eurozone banking system in a two-phase loan program. And as we’ll see below, in both phases the eurozone banks wanted far less than what was offered while continuing to pay back their previous loans. In other words, while the ECB has been trying the expand the monetary base in the eurozone’s financial markets that monetary base has continued to shrink. As the excerpt below puts it, it’s like ‘Waiting for Godot‘. And as we’ll see at the end, it really IS like Waiting for Godot, theatrics and all.


The New World Ordoliberalism Part 4: Meet the New Plan. Same as the Old Plan. Deregulated.

There have been quite a few developments in the eurozone recently with major possible policy changes announced in recent weeks. Things like buying bonds to shore up markets and stimulate the economy (“quantitative easing”) are now on the table. Quantitative easing is normal central bank stuff that has been effectively shoved off the table of ECB policy options by the Bundesbank’s unorthodox economic theories until now. Unfortunately, it’s looking like the quantitative easing is going to be unorthodox too. No ‘easing’ for the governments. Much ‘easing’ for the banks. And the austerity continues.


Surprise! It’s Not the EUrozone Crisis Anymore. Welcome to the EU, LLC. It’s Still a Crisis.

Well, it’s official. The ‘second pillar’ of the EU’s banking union – a 55 billion euro bail-out fund and a bunch of new rules – appears to be in place following recent negotiations. It was an all night compromise bender! Yes, lots of compromises were made, but the core principles that have emerged during the EU’s multi-year-long quest for a banking union are still intact. Uh oh.


More Collateralized “Death” Obligations

“Participo” alerts us to an article from The New York Post updating the mortality rate in the financial industry. These deaths are occurring as numerous investigations are underway into various kinds of malfeasance in the global financial sector, manipulation of the foreign exchange rate, in particular.


FTR #772 Body Count II: (Collateralized “Death” Obligations)

One of the surreal, almost hallucinatory financial instruments that were at the center of the 2008 financial collapse were CDO’s–collateralized debt obligations. As a number of legal investigations into mischief apparently committed by major financial institutions on a number of fronts have gained momentum, there has been a rash of suicides linked to the businesses under investigation. In addition, a Wall Street Journal reporter disappeared and an Argentine bank repository–supposedly fireproof–burned down. Are we looking at collateralized “death” obligations?


The New World Ordoliberalism Part 2: A ‘Third Way’ to Fascism

Ordoliberalism has long been the economic philosophy guiding German policy-makers. But with the creation of the eurozone, ordoliberalism has quietly become the default policy-stance for the entire zone. This has been happening with little recognition that ordoliberal ideas have been playing such a profound role. And there’s been even less attention paid to the ordoliberal philosophy itself. Surprise! It’s kind of fascist. Updated 7/26/2013


Currency Wars: The New World Ordoliberalism

There’s been quite a bit of chatter lately about the threat of “Currency Wars” amongst global policymakers. It’s part of a larger debate over just what kind of economic policies and modes of central banking should even be philosophically allowable. The Bundesbank has some strong ideas about what governments should and should not be allowed to do with their monetary and fiscal policies. Not surprisingly, they’re also bad ideas.