“(…) the best that centrals banks can do is provide what I call ‘temporary tranquility’ and build bridges for other entities with better tools to use. The ECB cannot deal with the labor market in Spain, the ECB cannot deal with fiscal responsibility and the ECB cannot provide fiscal transfers from Germany to Spain. The best the ECB can do is providing tranquility for these other pieces to be put together (…) Europe is a rich continent and a net creditor. There are lots of European institutions; the EU has lots of mechanisms. But the EU institutions are not yet strong enough, don’t have enough resources and don’t have enough credibility. If it’s recourses, the ECB should be the conductor, but the ECB doesn’t have the right instruments. Now people are looking at whether Germany should be the conductor, but Germans are nervous about being in that role. In the end, he [Pimco CEO Mohamed El-Erian] says, “it will require a high degree of mutual trust and it will require a higher degree of coordination.”, no Wall Street Journal.
Uma entrevista a ler.