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Ecb 'can't Do Everything For Everyone', Says Mario Draghi

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http://www.telegraph.co.uk/finance/financialcrisis/9998656/ECB-cant-do-everything-for-everyone-says-Mario-Draghi.html

The European Central Bank, in charge of monetary policy for 17 different countries, "can't do everything for everyone at any time," ECB chief Mario Draghi has said.

Responding to questions at the European Parliament in Strasbourg, Mr Draghi said that while the ECB's raft of anti-crisis measures had "avoided major disasters", the full positive effects were still not feeding through into the real economy just yet.

And even though interest rates were at historic lows and the ECB had pumped unprecedented amounts of liquidity into banks, credit was still not flowing freely to small and medium-sized enterprises, the ECB chief said.

There were three reasons why this might be the case: banks might lack funding, they might lack capital, or - if they had both capital and funding - "they're fearful of lending because they're afraid they won't be repaid", he said.

As a central bank, the ECB could tackle the first problem, which it had done via its emergency liquidity operations. But it was not in its jurisdiction to solve the other two problems, he said.

"We're not in the business of cleaning up struggling banks," Mr Draghi insisted.

A single interest rate policy for a diverse group of countries was never going to work.

Still I'm sure a few more sticking plasters can keep it all together and the ECB only makes decisions for Germany.

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He was going to do whatever it takes.....except when he doesnt.

these guys are just super talented on the CV...exceptionally ordinary in the task.

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Responding to questions at the European Parliament in Strasbourg, Mr Draghi said that while the ECB's raft of anti-crisis measures had "avoided major disasters".

Why are these ******ing money scammers never pulled up on the fact that there were largely responsible for encouraging the debt that has mired countries in the first place. It was policy, low rates get everybody borrowing to massage the figures. That policy alone has misallocated trillions in capital and the resulting inflation has destroyed competitiveness and jobs.

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Unemployment at almost 30% in Greece (and heading that way in the rest of southern Europe) isn't a "major [economic] disaster"? If that's not, what is?

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Unemployment at almost 30% in Greece (and heading that way in the rest of southern Europe) isn't a "major [economic] disaster"? If that's not, what is?

Unemployment benefits running out and Greeks not being able to buy any more g-wagens?

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Unemployment at almost 30% in Greece (and heading that way in the rest of southern Europe) isn't a "major [economic] disaster"? If that's not, what is?

To answer my own question, I should have realised that the only thing today's central bankers would think of as "a major disaster" would be a contraction in the financial sector. The rest of the economy no longer matters.

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There were three reasons why this might be the case: banks might lack funding, they might lack capital, or - if they had both capital and funding - "they're fearful of lending because they're afraid they won't be repaid", he said

So he didn't notice the global economic collapse and the bankrupt banks?

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  • 243 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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