Is Europe capable of saving itself?

Even faced with a dire financial crisis and a looming recession, European leaders are balking at signing off on a plan that would address -- marginally at best -- some of the problems facing the euro-zone. Financial Times: Eurozone leaders were struggling on Tuesday to reach agreement on a much-anticipated deal to reverse their spiralling debt crisis amid mounting signals a definitive agreement would not be reached at a key summit on Wednesday night. According to officials briefed on deliberations, talks between European government negotiators and representatives of Greek bondholders remained inconclusive, putting at risk one of the three key pillars of a deal: a final resolution on Greece's second bail-out. A draft of the summit communiqué circulated to national capitals late on Tuesday and described to the FT does not include any wording on a completed deal on Greek bondholder haircuts, and instead refers only to a second bail-out being concluded sometime in the future. No...(Read Full Post)