Bericht
Debt restructuring in the Euro area: A necessary but manageable evil?
There are two possible responses to the Greek debt crisis: 'Plan A', continued official lending, for as long as needed, with possible voluntary private sector involvement, and 'Plan B', coercive pre-emptive or post-default restructuring with significant face value reduction. Both options have risks, but it is necessary to move to Plan B sooner or later. The impact on Greece could be mitigated by foreign bank ownership and proper liquidity support measures. The direct spillover impact on the rest of the euro area seems small. But there is the risk of contagion, which is a serious concern. There is a cautious case for delaying somewhat Plan B in order to prepare for it.
- Language
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Englisch
- Bibliographic citation
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Series: Bruegel Policy Contribution ; No. 2011/07
- Classification
-
Wirtschaft
- Subject
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Öffentliche Schulden
Debt Management
Eurozone
Griechenland
- Event
-
Geistige Schöpfung
- (who)
-
Darvas, Zsolt
- Event
-
Veröffentlichung
- (who)
-
Bruegel
- (where)
-
Brussels
- (when)
-
2011
- Handle
- Last update
-
10.03.2025, 11:44 AM CET
Data provider
This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Bericht
Associated
- Darvas, Zsolt
- Bruegel
Time of origin
- 2011
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Oberpolizeiliche Vorschriften vom 7. April 1897 über die Fleischbeschau für den Regierungsbezirk Mittelfranken
Sovereign debt and its restructuring framework in the euro area
Tackling Europe’s crisis legacy: a comprehensive strategy for bad loans and debt restructuring
Carving out legacy assets: a successful tool for bank restructuring?
Risk reduction through Europe's distressed debt market
The Greek debt trap: An escape plan
Testimony on the European debt and financial crisis
The risks from climate change to sovereign debt in Europe
Are advanced economies at risk of falling into debt traps?
High public debt in euro-area countries: Comparing Belgium and Italy
Is recent bank stress really driven by the sovereign debt crisis?
The euro area's tightrope walk: Debt and competitiveness in Italy and Spain