Managing Risks in the European Periphery Debt Crisis, 2015 Lessons from the Trade-off between Economics, Politics and the Financial Markets

The European Periphery Debt Crisis (EPDC) has its roots in the structural characteristics of the individual economies affected. This book offers a full diagnosis of the EPDC, its association to the national and international structural characteristics and a full analysis from a risk management point of view of the available policy options.

Part I: Genesis of the Crisis, Use and Abuse of Economic Policies 1 The Genesis of the Eurozone Sovereign Debt Crisis: Philippe d'Arvisenet 2 The Trade-Off between Fiscal and Competitiveness Adjustments: Daniel Gros with Cinzia Alcidi 3 Ireland and Greece: A Tale of Two Fiscal Adjustments: Jeffrey D. Anderson and Jessica Stallings 4 Rating Agencies vs. Sovereign Debt Markets: A Tale of Interacting Risk Preferences: George Christodoulakis 5 The 2012 Greek Debt Restructuring and its Aftermath: Miranda Xafa 6 Economic Theories that Influenced the Judges of Karlsruhe: Paul De Grauwe 7 Privatization of State Assets in the Presence of Crisis: George Christodoulakis Part II: Crisis Resolution, Prospect and Retrospect 8 How to Manage Public Debts in the Euro Area?: Catherine Mathieu and Henri Sterdyniak 9 Fiscal Risk Sharing and Stabilization in the EMU: Kerstin Bernoth and Philipp Engler 10 Sovereign Debt and its Restructuring Framework in the Eurozone: Ashoka Mody 11 Funding Risks for Corporates in the Periphery: Disintermediation to the Rescue for the Larger Ones, Challenges for the Others: Blaise Ganguin 12 On Solving Europe's Financial Issues to Promote Sustainable Growth: Adrian Blundell-Wignall and Caroline Roulet 13 European Banking Union as a Response to the Fragmentation of the Internal Market Resulting from the Financial and Sovereign Debt Crisis: Dimitris Tsibanoulis with Gerry Kounadis

Philippe D'Arvisenet, BNP Paribas, France Daniel Gros, Centre for European Policy Studies, Belgium Cinzia Alcidi, Centre for European Policy Studies, Belgium Jeffrey Anderson, Institute of International Finance, USA Jessica Stallings, Institute of International Finance, USA Miranda Xafa, E. F. Consulting, Greece Paul De Grauwe, London School of Economics, UK Catherine Mathieu, OFCE (Observatoire français des conjonctures économiques), France Henri Sterdyniak, OFCE (Observatoire français des conjonctures économiques), France Kerstin Bernoth, Hertie School of Governance, Germany Philipp Engler, Freie Universität Berlin, Germany Ashoka Mody, Princeton University, USA Blaise Ganguin, Standard & Poor's, France Adrian Blundell-Wignall, OECD, France Caroline Roulet, OECD, France Dimitris Tsibanoulis, Tsibanoulis & Partners, Greece Gerry Kounadis, Tsibanoulis & Partners, Greece