Marketplace Whiteboard: Putting Italy's 7% Problem in Perspective

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Paddy Hirsch likens Italy to a mountain climber who has been able to survive high altitudes and, therefore, may be less scared of the "Death Zone" than others.  In 1993 the yield on Italy's ten-year bonds was nearly 13%, and the economy survived.  So why are we concerned about the future of the Italy after rates went past 7% last week?  Well, to carry out the metaphor, Italy is no longer climbing alone.  Hirsch explains in this Marketplace Whiteboard:

The root of Italy's problems from Marketplace on Vimeo.


Posted 11-14-2011 8:10 AM by Graham Griffith
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