Another classic quote from big Ric (aka the RBA's Deputy Governor):
"Well, yeah, the events in Europe really are quite worrying because - one of the problems when you have governments in financial difficulty is there’s nobody there to bail out governments. I mean, if a government gets into trouble, it’s really – you’ve got to look at other governments or the IMF and the capacity – the bigger you are, the less capacity there is for somebody else to bail you out. So the developments in government debt are, I think, a worry because it’s not clear to me that they can be solved certainly any time soon and if they are going to be solved through fiscal tightening, that actually means some quite difficult periods ahead for some of these economies."
Also, Stutchbury over at The Australian delivered up a nice op-ed on some of the GFC ironies.
