Thomas Mayer, chief economist at Deutsche Bank AG in Frankfurt, expects the debate about European Central Bank intervention to settle the sovereign-debt crisis to continue even after last night’s “fiscal compact” accord by political leaders in Brussels.
Greece faces the risk of a disorderly bankruptcy if it drops its commitment to reform and the austerity plan after the elections, former Deutsche Bank AG chief economist Thomas Mayer told Rheinische Post in an interview.
There is an old saying among central bankers that credibility is earned in years of hard work, but can be lost overnight. On Sunday night, the European Central Bank may have said goodbye to its credibility when it agreed to buy the government bonds of euro nations in trouble.
The introduction of a financial- transaction tax in Europe is “likely,” Thomas Mayer, chief economist and head of research at Deutsche Bank AG in Frankfurt said in an interview on Deutschlandradio today.