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Monday, May 14, 2012

Monetary

News                                                                                                                             
Bloomberg | Euro Officials Begin to Weigh Greek Exit as Euro Weakens (Update 1)
Greece’s possible exit from the euro moved to the center of Europe’s financial-crisis debate, rattling markets as authorities in Athens struggled to form a government.
CNN Money | China's central bank eases
The People's Bank of China is cutting the amount of money banks are required to hold on the sidelines, freeing up those funds instead to boost investment and growth.

Econ Comments & Analysis                                                                                            
Fortune | Why it's time for higher interest rates
Progressives, led by Paul Krugman, believe that we can fix our economic woes with more consumer debt and higher inflation. The reality is that near zero interest rates encourage speculation, discourage savings, weaken pension funds, and put millions of baby boomers at risk.