Employment Reports in the U.S. continue to be weak, as is to be expected after the Worst Recession (both in Depth and Duration)–since “The Big One”, some 80 years ago. The International Monetary Fund GDP Projections for 2012, in both Developed and Developing Economies, Around-the-World, were dropped and the Debt Crisis in Europe hasn’t improved at all in what has been going on for some 30 months now.

Last week, Mario Draghi, President of the European Central Bank, said that the ECB would do whatever was needed to Save the EURO. To me, this was nothing more than good old-fashioned Jawboning. And, yet, the Dow Jones Industrial Average gained more than 600 points from, last Wednesday through Friday.

Paul Krugman, Nobel Laureate in Economics (2010) and Professor at Princeton University, has written the linked column for today’s NY Times,, which provides and interesting viewpoint on the situation in the EuroZone.

As Prof. Krugman notes, a real solution cannot occur without Germany, which would cause an increase in Inflation in that Country. There are two points to consider, however: Germany is still recovering from the Tremendous Bail-Out of East Germany after the Berlin Wall fell in November 1989; and Germany still bears the anguish of the Hyper-Inflation that it suffered in 1925.


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