Solutions to Public Debt Crises in the EU: Seek Returns on That Investment (Views from Slovakia)

Author (Person) ,
Publisher
Series Title
Series Details No. 3 (39), February 2014
Publication Date February 2014
Content Type

The purpose of providing financial assistance to indebted eurozone countries is to avoid uncontrolled bankruptcies that could lead to a breakdown of the euro area with severe negative consequences for all members of the EU. There is a high probability that the loans provided via the stability mechanisms will not be fully recovered. Nevertheless, the long-term benefits of those loans are expected to exceed the costs. Therefore, this form of financial assistance should be regarded as an investment that has its own rate of return, one that can be controlled for by insistence on adherence to certain rules of behaviour and diligent oversight.

Source Link http://www.pism.pl/files/?id_plik=16403
Subject Categories
Countries / Regions