Wednesday, October 05, 2011

From Dublin to Brussels by carrier pigeon

Reuters

And growing expectations of a Greek sovereign default threaten to unleash a banking crisis in Europe and aggravate a global economic slowdown. "The negative feedback loop between sovereigns and banks is materializing," said a senior EU official in the thick of the fire-fighting.

Er, does unnamed senior EU official think that something other than a negative feedback loop between banks and the sovereign was happening in Ireland from September 2008 onwards?

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