Term
| In sept 2011, Ireland is said to be "well on track" to meet its deficit-cutting targets thanks to a lower-than-expected cost of rescuing Irish banks. Why? |
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Definition
| because Ireland can borrow from the EU at lower interest rates than before July 2011. |
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Term
| When a needing eurozone member state "X" borrows money from the so-called EFSF, |
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Definition
| according to the rescue plans, Eurozone member states issue bonds to raise money in order to buy X's sovereign bonds. |
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Term
| The merger of NYSE Euronext and Deutsche Boerse will make them the largest stock exchange in the world. |
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Definition
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Term
| In sept. 2011, _____ is getting another tranche of its promised international baliout. |
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Definition
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Term
| This year, US banks are slashing jobs several times faster than their European peers. |
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Definition
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Term
| The first Greek rescue plan took place in |
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Definition
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Term
| In sept 2011, Greece is asking for a third bailout. |
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Definition
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Term
| The ESM will be in operation in 2013 as a permanent rescue plan. |
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Definition
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Term
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Definition
| European Financial Stability Facility |
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Term
| Unlike the USA, the Federal Government of Germany is liable for the debts of its states. |
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Definition
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Term
| So far (sept 2011), only ____ have been benefiting from the Euro bailout packages. |
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Definition
| Portugal, Greece, and Ireland |
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Term
| Ireland went into trouble because of |
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Definition
| the economic recession and their failing banks. |
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Term
| According to the Lisbon treaty, the ECB is allowed to buy ip the sovereign bonds of Eurozone countries directly from their own government. |
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Definition
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Term
| The second Euro rescue plan in May 2010 includes a pledge to guaranty from the Euro zone member states. |
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Definition
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Term
| In 2011, French and German banks are the most exposed banks to Greek debt. |
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Definition
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Term
| If Greece buys back its own sovereign bonds, it reduces the cost of new bond they may issue on the market. |
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Definition
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Term
| The Euro zone average sovereign debt burden is almost ____ of the Euro zone GDP. |
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Definition
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Term
| a Eurozone country's sovereign bond "spread" refers to the difference between the yield of its own bonds and the US yield of the same kind if bonds. |
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Definition
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Term
| The global housing boom took place |
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Definition
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Term
| The ECB purchased sovereign bonds in 2010. |
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Definition
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Term
| Musgrave was dividing governments' interventions into |
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Definition
| an allocation budget, a contra-cyclical budget (inflation, unemployment) and redistribution. |
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Term
| The Greek inability to cut their budgets and raise taxes |
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Definition
| divides Europe into two irreconcilable camps. |
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Term
| Europeans are mulling over expanding the EU's powers in order to prevent other European countries from defaulting. |
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Definition
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Term
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Definition
| Portugal, Ireland, Italy, Greece, and Spain. |
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