|By PR Newswire||
|January 7, 2014 09:28 AM EST|
VADUZ, Liechtenstein, January 7, 2014 /PRNewswire/ --
Taxpayers will no longer be asked to help bail out ailing commercial banks if a new European Union mechanism - the Single Resolution Mechanism (SRM) - is ratified, writes economist Professor Enrico Colombatto in World Review.
The SRM will mean that the EU can count on a new agency which will ensure that bad banks are no longer bailed out at taxpayers' expense but by their stakeholders. Deposits under 100,000 euros are guaranteed by the EU rather than by national governments.
The mechanism has yet to be ratified by the European Parliament, and European authorities are confident that the SRM will be approved before Easter 2014.
Yet, this transfer is not accepted without reservation by all the parties involved and is likely to create tension over the next few months in the European Parliament in Strasbourg.
'The introduction of the SRM could be interpreted as a further step to remove the world of banking from the sphere of political decision-making and assigning it, with minor constraints, to the world of Euro-technocrats,' says Professor Colombatto.
Funding for the SRM - 55 billion euros - is inadequate and will come too late. 'By today's standards, 55 billion euros are just one per cent of the insured deposits, whereas the amount of ammunition required to stop a systemic crisis detonating is about one hundred times that amount,' he says.
'Furthermore, those 55 billion euros would be gradually accumulated by the mid-2020s. What happens if some banks go belly up over the next five years?'
Professor Colombatto believes the SRM reflects the fundamental ambiguities that the EU has been unable to solve since the euro was introduced.
'On the one hand, part of the union applies pressure in order to transform national debts into federal liabilities with guarantees and bailout rules coming from Brussels and Frankfurt,' he says. 'On the other, the German bloc insists on national liability and accountability, according to which the European authorities might contribute only discretionary and limited financial support.'
'In other words, disasters have been averted, but the system's structural failings have not been fixed.'
Information for the editor
About the author
World Review author Professor Enrico Colombatto is a professor of economics at the University of Turin, Italy. He is also Director of the International Centre for Economic Research (ICER) in Turin and Prague and Director of Research, Institut de Recherches Economiques et Fiscales (IREF) in Paris.
About World Review
World Review (http://www.worldreview.info) is a free-to-access website that offers analytical reports provided by a network of leading global experts in geopolitics, economics, defence, security and energy.
World Review has been developed by Geopolitical Information Service AG, which is based in Liechtenstein and is well known for its independent outlook. The website was founded by H.S.H Prince Michael of Liechtenstein.
Prince Michael is a widely recognised entrepreneur and expert in the field of global geopolitics and economics, and is the President of the European Centre of Austrian Economics Foundation (ECAEF), a liberal think-tank based in Liechtenstein.
Please attribute any copyright to © 2013 Geopolitical Information Service, and provide a hyperlink to the http://www.worldreview.info website.
Social Media Editor
Sian Claire Owen
Email: [email protected]
Email: [email protected]
Headquarters: Herrengasse 21, 9490 Vaduz, Liechtenstein
The 19th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Digital Transformation, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportuni...
Aug. 26, 2016 04:00 PM EDT Reads: 3,916
StarNet Communications Corp has announced the addition of three Secure Remote Desktop modules to its flagship X-Win32 PC X server. The new modules enable X-Win32 to safely tunnel the remote desktops from Linux and Unix servers to the user’s PC over encrypted SSH. Traditionally, users of PC X servers deploy the XDMCP protocol to display remote desktop environments such as the Gnome and KDE desktops on Linux servers and the CDE environment on Solaris Unix machines. XDMCP is used primarily on comp...
Aug. 26, 2016 03:45 PM EDT Reads: 520
There is growing need for data-driven applications and the need for digital platforms to build these apps. In his session at 19th Cloud Expo, Muddu Sudhakar, VP and GM of Security & IoT at Splunk, will cover different PaaS solutions and Big Data platforms that are available to build applications. In addition, AI and machine learning are creating new requirements that developers need in the building of next-gen apps. The next-generation digital platforms have some of the past platform needs a...
Aug. 26, 2016 03:15 PM EDT Reads: 378
DevOps at Cloud Expo – being held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA – announces that its Call for Papers is open. Born out of proven success in agile development, cloud computing, and process automation, DevOps is a macro trend you cannot afford to miss. From showcase success stories from early adopters and web-scale businesses, DevOps is expanding to organizations of all sizes, including the world's largest enterprises – and delivering real results. Am...
Aug. 26, 2016 01:30 PM EDT Reads: 3,402
Using new techniques of information modeling, indexing, and processing, new cloud-based systems can support cloud-based workloads previously not possible for high-throughput insurance, banking, and case-based applications. In his session at 18th Cloud Expo, John Newton, CTO, Founder and Chairman of Alfresco, described how to scale cloud-based content management repositories to store, manage, and retrieve billions of documents and related information with fast and linear scalability. He addres...
Aug. 26, 2016 01:00 PM EDT Reads: 1,963
Fact: storage performance problems have only gotten more complicated, as applications not only have become largely virtualized, but also have moved to cloud-based infrastructures. Storage performance in virtualized environments isn’t just about IOPS anymore. Instead, you need to guarantee performance for individual VMs, helping applications maintain performance as the number of VMs continues to go up in real time. In his session at Cloud Expo, Dhiraj Sehgal, Product and Marketing at Tintri, wil...
Aug. 26, 2016 12:30 PM EDT Reads: 617
Aspose.Total for .NET is the most complete package of all file format APIs for .NET as offered by Aspose. It empowers developers to create, edit, render, print and convert between a wide range of popular document formats within any .NET, C#, ASP.NET and VB.NET applications. Aspose compiles all .NET APIs on a daily basis to ensure that it contains the most up to date versions of each of Aspose .NET APIs. If a new .NET API or a new version of existing APIs is released during the subscription peri...
Aug. 26, 2016 12:00 PM EDT Reads: 1,901
SYS-CON Events announced today that eCube Systems, a leading provider of middleware modernization, integration, and management solutions, will exhibit at @DevOpsSummit at 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. eCube Systems offers a family of middleware evolution products and services that maximize return on technology investment by leveraging existing technical equity to meet evolving business needs. ...
Aug. 26, 2016 11:45 AM EDT Reads: 575
Enterprises have forever faced challenges surrounding the sharing of their intellectual property. Emerging cloud adoption has made it more compelling for enterprises to digitize their content, making them available over a wide variety of devices across the Internet. In his session at 19th Cloud Expo, Santosh Ahuja, Director of Architecture at Impiger Technologies, will introduce various mechanisms provided by cloud service providers today to manage and share digital content in a secure manner....
Aug. 26, 2016 11:45 AM EDT Reads: 650
Pulzze Systems was happy to participate in such a premier event and thankful to be receiving the winning investment and global network support from G-Startup Worldwide. It is an exciting time for Pulzze to showcase the effectiveness of innovative technologies and enable them to make the world smarter and better. The reputable contest is held to identify promising startups around the globe that are assured to change the world through their innovative products and disruptive technologies. There w...
Aug. 26, 2016 11:30 AM EDT Reads: 557
Traditional on-premises data centers have long been the domain of modern data platforms like Apache Hadoop, meaning companies who build their business on public cloud were challenged to run Big Data processing and analytics at scale. But recent advancements in Hadoop performance, security, and most importantly cloud-native integrations, are giving organizations the ability to truly gain value from all their data. In his session at 19th Cloud Expo, David Tishgart, Director of Product Marketing ...
Aug. 26, 2016 11:20 AM EDT Reads: 332
Ixia (Nasdaq: XXIA) has announced that NoviFlow Inc.has deployed IxNetwork® to validate the company’s designs and accelerate the delivery of its proven, reliable products. Based in Montréal, NoviFlow Inc. supports network carriers, hyperscale data center operators, and enterprises seeking greater network control and flexibility, network scalability, and the capacity to handle extremely large numbers of flows, while maintaining maximum network performance. To meet these requirements, NoviFlow in...
Aug. 26, 2016 11:15 AM EDT Reads: 1,863
SYS-CON Events announced today that Hitrons Solutions will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Hitrons Solutions Inc. is distributor in the North American market for unique products and services of small and medium-size businesses, including cloud services and solutions, SEO marketing platforms, and mobile applications.
Aug. 26, 2016 10:45 AM EDT Reads: 527
To leverage Continuous Delivery, enterprises must consider impacts that span functional silos, as well as applications that touch older, slower moving components. Managing the many dependencies can cause slowdowns. See how to achieve continuous delivery in the enterprise.
Aug. 26, 2016 10:30 AM EDT Reads: 1,580
Internet of @ThingsExpo, taking place November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 19th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devices - comp...
Aug. 26, 2016 10:15 AM EDT Reads: 3,574