Involvement in The European Sovereign Debt Crisis
In June 2012, it was estimated that the Bundesbank had Euro 644 billion exposure to other central banks in the eurozone under the TARGET2 payment system. Only three other eurozone central banks had net exposure from the system; all others had the offsetting net exposure due to the system. The net exposure finances trade imbalances and capital flight. The Bundesbank is the largest shareholder of the European Central Bank. The ECB has bought up more than €200 billion in sovereign debt from crisis-ridden countries. Some of this would have to be written off in the case of a euro collapse, which would entail corresponding losses for the Bundesbank.
Read more about this topic: Deutsche Bundesbank
Famous quotes containing the words involvement in the, involvement in, involvement, european, sovereign, debt and/or crisis:
“The mother whose self-image is dependent on her children places on those children the responsibility for her own identity, and her involvement in the details of their lives can put great pressure on the children. A child suffers when everything he or she does is extremely important to a parent; this kind of over-involvement can turn even a small problem into a crisis.”
—Grace Baruch (20th century)
“I recommend limiting one’s involvement in other people’s lives to a pleasantly scant minimum. This may seem too stoical a position in these madly passionate times, but madly passionate people rarely make good on their madly passionate promises.”
—Quentin Crisp (b. 1908)
“The mother whose self-image is dependent on her children places on those children the responsibility for her own identity, and her involvement in the details of their lives can put great pressure on the children. A child suffers when everything he or she does is extremely important to a parent; this kind of over-involvement can turn even a small problem into a crisis.”
—Grace Baruch (20th century)
“Americans want action for their money. They are fascinated by its self-reproducing qualities if it’s put to work.... Gold-hoarding goes against the American grain; it fits in better with European pessimism than with America’s traditional optimism.”
—Paula Nelson (b. 1945)
“The Sovereign has, under a constitutional monarchy such as ours, three rights—the right to be consulted, the right to encourage, the right to warn. And a king of great sense and sagacity would want no others.”
—Walter Bagehot (1826–1877)
“Capitalism is an art form, an Apollonian fabrication to rival nature. It is hypocritical for feminists and intellectuals to enjoy the pleasures and conveniences of capitalism while sneering at it.... Everyone born into capitalism has incurred a debt to it. Give Caesar his due.”
—Camille Paglia (b. 1947)
“Without metaphor the handling of general concepts such as culture and civilization becomes impossible, and that of disease and disorder is the obvious one for the case in point. Is not crisis itself a concept we owe to Hippocrates? In the social and cultural domain no metaphor is more apt than the pathological one.”
—Johan Huizinga (1872–1945)