Herr Nein: The Bull in the Euro Zone's China Shop

[unhappycamper]

http://www.spiegel.de/international/europe/bundesbank-president-weidmann-stands-opposed-to-euro-rescue-measures-a-945348.html



German Central Bank head Jens Weidmann has developed a reputation in Europe for saying no to everything. He is skeptical of efforts to save the euro and isn't shy about saying so. But is he right?

Herr Nein: The Bull in the Euro Zone's China Shop
By Ullrich Fichtner
January 24, 2014 – 04:40 PM

In Jens Weidmann's world, the cup is almost always half-empty. As much as he doesn't like hearing about it, he is a man who can even find fault with a rare moment of winter sun shining through his office window in Frankfurt.

~snip~

Weidmann is a man of duty. He's Europe's fiercest advocate of price stability and of a rock hard common currency. And who knows? It's possible he may be the last one.

Since the people of Europe began to express doubts about the European project, since their governments began to seem incapable of producing anything more than wishy-washy compromises, the power of the money men -- the heads of central banks in the euro zone and European Central Bank board members -- has increased. Those following press conferences with ECB President Mario Draghi in recent months could be forgiven for believing that the gathered journalists were asking questions of the Continent's true president, the only one who seems to have the power necessary to make decisions for Europe.

Indeed, by merely uttering a single sentence, Draghi can move markets to the tune of billions of euros, drive prices, change interest rates, bring down entire countries, topple governments -- irrespective of whether the statement is erroneous or deliberate. The power of the ECB and its president, a man who doesn't have to answer to parliaments, governments or voters, has increased massively during the euro crisis. That has also put Jens Weidmann, as president of the ECB's largest member bank, in the uncomfortable position of being a constant watchdog.