Germany's Finance minister, Wolfgang Schäuble, has an uncanny ability to tread a very narrow line on formation of an EU banking union. He frequently crosses over the line in both directions but never very far, and never for long.
Every time he gives an inch to solidarity, he quickly takes it back, and vice versa. And here we go again.
The head of Austria's central bank, Ewald Nowotny, and German finance minister Wolfgang Schaeuble have both made statements over this weekend that affect bailout options for Spain.
In particular, Nowotny says Spain must seek help before ECB buys bonds.
Spain would have to apply for a rescue package before qualifying for inclusion in the European Central Bank's plan to buy debt of struggling euro zone members, ECB policymaker Ewald Nowotny said.
Please consider this humorous video of Margaret Thatcher's last House of Commons Speech on November 22, 1990. What Thatcher said then about the Euro, European politics, socialism and wealth creation makes as much sense today as it did then, when she made fools of the opposition in Parliament to much laughter from the conservatives.
German chancellor Angela Merkel and French President Nicolas Sarkozy proposed a "quick new stability pact" that allegedly will bypass the need for treaties. However, there is already disagreement over the role of the ECB.
Please consider Germany, France plan quick new Stability Pact
BRUSSELS—European officials proposed an overhaul of euro-zone institutions that would create a common budget for the 17 nations using the common currency and, ultimately, grant powers to issue debt collectively ...