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A Cypriot Nobelist Is 'Appalled' by the Proposed Bailout Bank Tax

Pissarides was awarded the Nobel Prize in economics, jointly with Peter A. Diamond and Dale Mortensen, for his contributions to the theory of search frictions and macroeconomics

Pissarides was awarded the Nobel Prize in economics, jointly with Peter A. Diamond and Dale Mortensen, for his contributions to the theory of search frictions and macroeconomics Photograph by Graziano Arici/eyevine/Redux

Christopher Pissarides, who shared a Nobel Prize in economics in 2010, told Bloomberg Businessweek in an e-mail today that he is “appalled” by Europe’s plan to impose a tax on deposits in Cypriot banks to help pay for a $13 billion bailout. Pissarides was born and raised in Cyprus. As a child, he recalled in his Nobel biography, “I used to spend the time with my cousins, fishing in Kyrenia (mostly unsuccessfully) or playing in the riverbeds and springs of Agros.” He has professorships at both the London School of Economics and the University of Cyprus. Last month he was named to head an economic policy council that will advise President Nicos Anastasiades. He is traveling in China and provided the following responses to questions e-mailed to him by Bloomberg Businessweek Economics Editor Peter Coy.

As a native of Cyprus, how does this episode make you feel?