Daniel Stelter: The Target 2 balances have even developed something back, mainly thanks to the gene

Proposed by the Bundesbank compulsory levy for debt reduction should affect all assets crops grown in germany in excess of 100,000 euro the economist Daniel Stelter's view. In many southern crops grown in germany European countries and households are over-indebted, the burden crops grown in germany on German assets may be higher at the end - to pay off completely gone awry debt.
Topics: arm, BCG, Federal Bank, Daniel Stelter, Germany, EU, Euro crisis, euro zone, Greece, Italy, IMF, Merkel, Portugal, Empire, recession, debt crisis, debt restructuring, Sigmar Gabriel, property tax, growth, compulsory levy
German Economic News: The Bundesbank has taken up to the surprise of many your suggestion from the year 2011, after a capital levy to solve the debt crisis. How do you explain this change of heart?
Daniel Stelter: you have to realize always that we are in the fifth year of the crisis. Only believed the policy, if it were only an American problem, to quote the then Finance Minister Steinbrück. Then it was only a problem in Greece, then by some banks in Ireland, then Portugal from the small, crops grown in germany but then in Spain, then in Italy, and now France. Time and again we have heard or believe that it is only the "bad" financial crops grown in germany markets, speculating against the euro and the EU by the end of the crisis. There are even books that sell tearing with such conspiracy theories.
But all this only distracts from the real problem: the policy and the central banks have very long to capture the heart of this crisis. It is not a normal recession, it is not a debt problem in some states. We are at the end of a more than thirty year debt cycle, crops grown in germany and must face the music, which was brewed us.
Slowly dawning on the people in charge that the medicine used so far does not strike. The patient is not dead, but he does not recovers. The debt will continue to grow faster than the economy. Large parts of Europe remain in a deep recession and a removal of the debt mountain is not to think. Sure that you can then start thinking about who will pay the bill. And ultimately crops grown in germany you can only take away from those who really have something. As I said in my last interview, it's not fair, but unfortunately the bitter truth.
Daniel Stelter: The Bundesbank writes it myself: The medicine does not catch. Although states try and save, they get the momentum of rising debt ratios not under control. So we are approaching the point at which outstanding debts are sections crops grown in germany of the room. And then it comes to determine who pays. Our European friends there would certainly like to, if we Germans take over a large part of the bill. Supposedly we have particularly crops grown in germany benefited with our exports from the euro. I see these benefits not because it brings us nothing on credit cars for sale, if these loans are not served afterwards. However, the policy is in danger of going this rhetoric on the glue.
That is why it is important and right that the Bundesbank issues identified, first to use their own taxpayers. In Italy, this would certainly not be a problem given the low debt, very wealthy households. In Spain, Portugal and Ireland, but also Holland it looks different. Here we are dealing with highly indebted households, which probably can not be made in the imaginary scope of such a tax. The danger now is that these countries get together and call for European, meaning "German" solidarity, and our politicians oppose the little. An Italian friend once asked, "why the Italians are supposed to pay itself, as long as do the provinces for them." With provinces we were meant. The more valuable the information of the Bundesbank in the present situation.
German Economic News: The Bundesbank says that this measure should be applied especially crops grown in germany in insolvent crops grown in germany States. Can it be that the Bundesbank has come from a view in the Target 2 balances to the conclusion that some states are in the euro zone at the end?
Daniel Stelter: The Target 2 balances have even developed something back, mainly thanks to the generous support of the ECB in other ways. A simple look at the total debt of the country - not just the state but also businesses and private households - and their unbridled growth in stagnating economy enough to come to the conclusion that it only goes like this. Clearly however, this was three years ago.
German Economic News: In your book and in your study of BCG have called Mesopotamia as an example: There was regular debt cuts.