User:Nick Gardner /Sandbox: Difference between revisions

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Jan 24
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The Bank of England will set up a £50 billion ($69 billion) facility to buy private-sector assets such as corporate bonds and commercial paper.
==Index and Glossary==
The government will also encourage more lending by guaranteeing up to £50 billion in asset-backed securities
There is an index to the topics dealt with in the economics articles [[Economics/Related Articles|here]], and a glossary of economic terms [[Economics/Glossary|here]].
The heart of the Treasury’s package was an “asset-protection scheme”, a euphemism for dealing with the dodgy loans and assets that continue to hinder a return to banking health. Rather than setting up a “bad bank” to take these toxic assets off the banks’ balance-sheets, the Treasury has decided to turn itself, in effect, into a catastrophe insurer. In return for paying a premium—and carrying the first chunk of any loss—banks will pass the buck for 90% of any further write-down to taxpayers.
 
Denmark extended DKr100 billion ($18 billion) in aid to its banks;
See also the [[Politics/Index|'''index to the politics articles ''']].
Feb7
 
It concerns the new president’s plans for the “American Recovery and Reinvestment Plan”, the largest economic stimulus package ever devised: no less than $819 billion over the next two years
[[User:Nick_Gardner#Methodology|methodology]]
The Bank of England reduced interest rates by half a percentage point, to 1%. See article
 
Feb 14
{|align="right" cellpadding="10" style="background-color:#FFFFCC; width:40%; border: 1px solid #aaa; margin:20px; font-size: 92%;"
The French government said it would provide separate €3 billion ($3.9 billion) five-year loans to both Renault and PSA Peugeot-Citroën in return for the companies agreeing to keep factories open in France.
|"''The European Union is something ...
After a lot of bickering in Congress a final compromise stimulus bill, worth $789 billion, seemed to have been agreed on February 11th; it should be only days away from becoming law. The second, and more important, part of the rescue was team Obama’s scheme for fixing the financial mess, laid out in a speech on February 10th by Tim Geithner, the treasury secretary.
very precious, not only for us in Europe, but also for the rest of the world. Because the European Union is, in fact, the result of a project for peace that brought together nations emerging from the ruins of the Second World War. It was the European Union that united them in peace around the values of respect for human dignity, freedom, democracy, justice, rule of law and respect for human rights.''"
Feb 28
 
America’s Treasury released details about the “stress tests” that are being applied under the new Capital Assistance Programme. These gauge the capacity of banks with more than $100 billion in assets to weather a downturn under an adverse scenario in which unemployment rises above 10% next year and house prices fall by 27% over two years.
:Merci Olsson, of Nobel Med, congratulating  President Barroso on the award of The Nobel Peace Prize t the European Union, 12 October 2012.
Denmark’s financial authorities seized control of Fionia Bank. It is the third Danish bank to be nationalised since the autumn
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Mar7
The Bank of England reduced interest rates by half a percentage point, to 0.5%. The central bank also announced the start of its unconventional policy of “quantitative easing”, ie, directly buying gilts as well as some private assets to boost the money supply. See article
America’s Treasury released guidelines to the new “Making Home Affordable” scheme, which helps as many as 9m homeowners restructure their mortgages. The plan provides public money to lenders to reduce a borrower’s monthly payments to possibly as low as 31% of their monthly income. The Federal Reserve, meanwhile, launched a programme to revive securitisation markets by providing cheap financing for up to $1 trillion of non-bank lending, primarily to consumers.
Mar14
The Bank of England’s first action under its quantitative easing programme was deemed a success when its offer to purchase £2 billion ($2.8 billion) of government bonds was five times oversubscribed. The central bank aims to buy back £75 billion of gilts and corporate bonds to boost the supply of credit, in effect creating new money. See article
Mar21
The Federal Reserve said that it would buy up to $300 billion in long-term American treasury bonds and several hundred billions more in mortgage-backed securities in an attempt to see off the threat of deflation. The unanimous decision came at a meeting of the Fed’s Open Market Committee on March 18th. See article
Turning the page
Mar28
Tim Geithner unveiled long-awaited proposals to deal with toxic assets. The American treasury secretary’s plan mixes a little private capital with a lot of public money to buy possibly as much as $1 trillion of the bad assets, which Mr Geithner hopes will “get the securities markets…working again”. Five private funds will be approved by the Treasury to manage the programme.
April4
Spain extended €9 billion ($12 billion) in government loans to Caja Castilla La Mancha. It is the first Spanish bank to be bailed out in 16 years. The governor of the Bank of Spain gave warning that more interventions may be needed. The Spanish economy is struggling more than most from a collapsing property market. See article
April11
communiqué issued by the members of the G20 at the end of their summit in London. The agreement’s main points include a promise of more money for the IMF, taking its funding to $750 billion; an increase in countries’ access to Special Drawing Rights, the IMF’s synthetic currency; a promise to crack down on tax havens; and the establishment of a Financial Stability Board. The G20 members also committed themselves to supporting $250 billion-worth of new global-trade guarantees and gave assurances they would put a freeze on new protectionist measures. See article
May7
The European Central Bank cut its main policy interest rate by a quarter of a percentage point, to 1%, as expected. The Bank of England held its rate at 0.5% but expanded its programme of “quantitative easing”. It said it would increase its bond purchases financed by new central-bank reserves from £75 billion ($113 billion) to £125 billion.
Double trouble
Jun4
General Motors entered bankruptcy protection. Although the recession helped push it under, the company had a long history of mismanagement and union intransigence. GM was once an emblem of America’s industrial might, but its bankruptcy, with debts of $172 billion, is the country’s biggest-ever industrial failure
Jun 11
A significant point was reached in the American Treasury’s bank-rescue plan when it let ten financial companies repay a combined total of $68 billion in loans they had received under the Troubled Asset Relief Programme. The ten include JPMorgan Chase, Goldman Sachs, Morgan Stanley and American Express.
Lloyds Banking Group repaid £2.3 billion ($3.8 billion) of the money it received from the British Treasury after raising fun
The European Central Bank lent €3 billion ($4.2 billion) to Sweden’s central bank as part of an effort to avoid a meltdown in the Baltic region triggered by Latvia’s potential currency devaluation. Swedish banks dominate the Baltic financial sector. See article
Jun27
The European Central Bank provided a record €442 billion ($620 billion) to the euro area’s banking system through its offer of unlimited one-year funds at 1% interest. The measure has been dubbed a “stimulus by stealth”
Aug13
America’s Federal Reserve decided not to increase its $300 billion programme of buying Treasury debt with newly printed money, though it did push back the completion date and left open the option of future purchases. The Bank of England decided recently to expand its plan to purchase assets, mostly gilts, by £50 billion ($83 billion), to £175 billion.

Latest revision as of 04:28, 22 November 2023


The account of this former contributor was not re-activated after the server upgrade of March 2022.


Index and Glossary

There is an index to the topics dealt with in the economics articles here, and a glossary of economic terms here.

See also the index to the politics articles .

methodology

"The European Union is something ... 
very precious, not only for us in Europe, but also for the rest of the world. Because the European Union is, in fact, the result of a project for peace that brought together nations emerging from the ruins of the Second World War. It was the European Union that united them in peace around the values of respect for human dignity, freedom, democracy, justice, rule of law and respect for human rights."
Merci Olsson, of Nobel Med, congratulating President Barroso on the award of The Nobel Peace Prize t the European Union, 12 October 2012.
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