Jeremy Warner is continuing the gloom over at the DT.This is especially remarkable as he has long been a fan of the eurozone and the European project in general.He had written some rather positive pieces as recently as this summer.
Now he is like a man possessed with a new conviction,prophesising the destruction of the modern day temple that makes Ezekiel seem tame.
. For those who prefer more scary assessments, here's the OECD's "worst case scenario", by which it means a disorderly breakup of the eurozone. http://blogs.telegraph.co.uk/finance/je ... ro-crisis/
If everything came to a head, with governments and banking systems under extreme pressure in some or all of the vulnerable countries, the political fall-out would be dramatic and pressures for euro area exit could be intense. The establishment and likely large exchange rate changes of the new national currencies could imply large losses for debt and asset holders, including banks that could become insolvent. Such turbulence in Europe, with the massive wealth destruction, bankruptcies and a collapse in confidence in European integration and cooperation, would most likely result in a deep depression in both the exiting and remaining euro area countries as well as in the world economy.
In the OECD's opinion, there is only a small probability of this occurring. Actually, I would have thought this is fast becoming the most likely scenario, since there is zero evidence of Continental policymakers grasping the true enormity of the danger they are in.
Who needs Ambrose amymore?