Debt

collapse in only few years. When the problems started, they refused to admit them. They thought that they were under cover of the same economic crisis than the Latin American one because they were not face to large budget deficits, or to the burden public debt or to the rapid monetary expansion. And Asian countries have started to seriously take care of their problems too late. The causes of the Asian crisis have been clearly identified. First, substantial amounts of foreigners’ funds found themselves

What would the USD/EUR exchange rate be without the euro-zone sovereign debt crisis? The sovereign debt crisis in the euro zone has clearly weakened the euro’s exchange rate, with fluctuations resulting from the varying level of investor concern with regards to the outcome of this crisis. Yet many factors should contribute to a weakening of the dollar: - excessive monetary creation in the United States; substantial fiscal deficit in the United States and the prospect of a sharp rise in

-- Investors should buy emerging- market debt rather than bonds of developed countries because advanced economies are poised for a period of slower growth, according to Pacific Investment Management Co. Increased taxation, regulation and government intervention in business combined with financial companies’ efforts to reduce risk after the credit crisis will drive investors from developed economies, Brian Baker, Pimco Asia Ltd.’s chief executive officer, said in Hong Kong yesterday. “This all leads

more than industrialised countries on the central bank t o finance their budget deficits. 3.1 Sources of Financing There are four sources of financing the government deficit: voluntary purchases of government debt in the domestic market, foreign borrowing, forced placement of government debt and central bank credit to government. Among these four alternatives, the first two are the most preferred ones, as they limit the negative repercussions of deficit financing such as inflation and weakening of

exchange for extra budget cuts of €30 bn over 3 years May 18 - Greece receives a € 14.5 bn loan from the EU and can now repay its immediate debt 1200 1000 October 4 Papandreou's Panhellenic Socialist Movement (PASOK) party wins power. At this stage, the government expects the 2009 deficit to reach 6% of GDP December 22 - Moody’s cuts Greek debt to A2 from A1 800 December 16 - S&P cuts Greece’s rating to BBB+ from A- February 2 Government extends a public sector wage freeze to

„ Ce chiffre sera révisé une deuxième fois, le 22 avril 2010, pour atteindre 13.6%. La spirale BPs November 5 – The new government pledges to save Greece from banruptcy by cutting the budget deficit 1400 1200 December 22 - Moody’s cuts Greek debt to A2 from A1 1000 800 600 October 4 Papandreou's Panhellenic Socialist Movement (PASOK) party wins power. At this stage, the government expects the 2009 deficit to reach 6% of GDP 400 March 5 - New package of public sector pay cuts and tax increases

de l’État: − Fincke B. et Greiner A., «Debt Sustainability in Selected Euro Area Countries. Empirical Evidence Estimating Time-Varying Parameters», Studies in Nonlinear Dynamics & Econometrics, 15, n° 3, article 2, 2011. − Greiner A. et Fincke B., Public Debt and Economic Growth, Berlin, 2009, éd. Springer. Sur le rapport empirique entre croissance économique et endettement de l’État: − Checherita C. et Rother P., The Impact of High and Growing Debt on Economic Growth. An Empirical Investigation

the weakest level since May, amid speculation central banks in Europe and the U.S. may curtail stimulus measures. Crude oil rose 0.8 percent to $104.79 a barrel, breaking a three-day losing streak. Home Depot Inc. rallied after selling $2 billion in debt to help fund stock buybacks, while Schlumberger Ltd. helped lead energy stocks higher as oil rose and Baker Hughes Inc. Chief Executive Officer Chad Deaton said Saudi Arabia will deploy more drilling rigs. Equities climbed three days before a government

| | | | Asset rotation | 2,2 | 2,2 | 2,5 | 4,3 | 3,9 | 9,8 | Economic profitability | 10% | 11% | 16% | 26% | 37% | 67% | Financial profitability | 9% | 17% | 23% | 47% | 45% | -206% | Debt | | | | | |   | Leverage, Financial Debt / Equity | 1,8 | 1,1 | 1,0 | 2,0 | 0,9 | -5,8 | Debt duration, Debts / independence | 5,2 | 3,5 | 1,5 | 1,3 | 0,9 | -18,7 | NB: underlined ratios are not significant because in 2009 Boeing had an 8 bn $ adjustment to reevaluate the cost of its pension

révisé une deuxième fois, le 22 avril 2010, pour atteindre 13.6%. 2 La spirale BPs November 5 – The new government pledges to save Greece from banruptcy by cutting the budget deficit 1400 1200 December 22 - Moody’s cuts Greek debt to A2 from A1 1000 800 600 October 4 Papandreou's Panhellenic Socialist Movement (PASOK) party wins power. At this stage, the government expects the 2009 deficit to reach 6% of GDP 400 March 5 - New package of public sector