Contagion in Europe: Evidence From the Sovereign Debt Crisis

If Greece defaults, what about Spain, what about the rest of the Eurozone, and what about the rest of Europe? “Contagion” has become a buzzword in international economics. This column asks whether markets are responding irrationally to the nightmare scenario or finally waking up to reality. “Contagion” is today’s buzzword (de Haan and Mink 2012, […]