Bond prices are reflecting the lack of discipline by politicians. What a surprise. As Martin Feldstein points out in The Financial Times:
The eurozone periphery is on a risky path to end fiscal austerity and accept larger budget deficits. Portugal is the most recent dramatic shift in that direction; Italy, Spain and even France are also abandoning plans to cut spending and raise taxes.
This move away from budget discipline reflects a combination of popular political pressure, more accommodating bond markets and encouragement from the International Monetary Fund.
Latest posts by E.J. Smith - Your Survival Guy (see all)
- To Survive, it Pays to “Know a Guy” - February 16, 2018
- A Code to Help Your Survival - February 16, 2018
- How to Help Your Child Before Tragedy Strikes at School - February 15, 2018