The Invisible European Central Bank: A Missing Part of the Euro Zone Crisis

The NYT had a mostly good piece discussing the gap in competitiveness between the northern and southern European countries that lays at the heart of the debt crisis in the euro zone. One item that would have been worth adding is the fact that European Central Bank is making any potential adjustment process far more difficult by not having more expansionary policies and by refusing to act as a lender of last resort.

Forcing heavily indebted countries to meet tough deficit targets, at the same ...