Eurozone finance ministers eyed an up to 100-billion-euro ($125 billion) strings-attached rescue of Spain's distressed banks at emergency talks on Saturday.With banks in the eurozone's fourth largest economy hobbled by heavy losses on real estate, finance ministers in the 17-nation Eurogroup held an emergency conference call to outline a rescue deal for Spain."The amount on the table at the moment is as much as up to 100 billion euros but this hasn't been decided yet," a senior EU official told AFP on condition of anonymity.
MADRID (AP) — Euphoria over a lifeline of up to €100 billion ($125 billion) to rescue Spain‘s hurting banks morphed into a financial markets rout in a matter of hours Monday, as investors digested the still-undefined plan and became concerned the country may be unable to repay the new loans.
Today, we're fortunate to have Mark Copelovitch, Assistant Professor of Political Science and Public Affairs at the University of Wisconsin, as a Guest Contributor.
First off, let me thank Menzie for the opportunity to "pinch hit" here at Econbrowser. It's a pleasure to be here.