The solution lies in accepting inflation and the creation of a Europe-wide Nama, writes John Teeling
Like the emperor's clothes, the answers to Europe's problems are known but no one will accept them -- at the moment. But I do not believe that fiscal integration is the answer. I have to admit that I don't know what is going to happen in Europe but people should be aware.
A possible solution is as follows:
1. Create a massive European-wide bank, or Nama Mor, which takes on all of the European banks bad debts. This agency issues bonds -- call them eurobonds, namabonds, anything you like. They have a coupon and a very long term -- 30 years. Trillions of euro have been lost. They are gone forever. The losses must be realised before we can move on.