Winter is coming: QE is coming to an end… and Spain will have to face reality

I’m sure you’ve heard many people say we’re on the verge of a new recession; it may take some months, even a year, but things are starting to get weird out there… and for good reason. After the Great Recession of 2008 (whose wrath we’re still suffering in some countries), the European Central Bank decided to start a measure called “Quantitative Easing” (QE) to help the countries recover and get back on the track of economic growth and employment. Continue reading “Winter is coming: QE is coming to an end… and Spain will have to face reality”

Understanding economic bubbles: Where are we heading?

Economic cycles are one of the most, if not the most, important things we need to know when studying all kinds of economic phenomena. They lead our behavior and our expectations, and can help us make important decisions in advance. Right now, we’re trying to get out of the “Great Recession” via expansive monetary policy and budgetary austerity. What should come after the end of the recession is… well, another 10 years of expansion! Does it sound easy? It isn’t 🙁 Continue reading “Understanding economic bubbles: Where are we heading?”