Bloomberg View: Germany's Banks Must Assist in Europe's Cleanup
Note to Angela Merkel: Your banks have been bailed out too
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In the millions of words written on Europe’s debt crisis, Germany is typically cast as the wise adult to Greece’s profligate child. Prudent Germany, the narrative goes, is loath to bail out freeloading Greece, which borrowed more than it could afford and should face the music.
Would it surprise you to know that Europe’s taxpayers have provided as much financial support to Germany as they have to Greece? An examination of European money flows and central bank balance sheets suggests so.