The Fateful Decision to Tighten ECB Monetary Policy
November 28, 2011 at 13:19 PM EST
Paul Krugman notes that the Eurozone crisis began rearing its ugly head again back in April, the very time the ECB decided to tighten monetary policy. Krugman thinks these two developments are probably related: By itself, that rate hike — although it was obviously, obviously a big mistake — should not have mattered that much. [...]