Systemic coupling round-up

"Time to count up the systemic implications of the Irish crisis, following up on some of today’s links and other news.

First, the usual contagion to Portugal and Spain is now in full swing, propelled by another barrage of bumbling Euroannouncements:

Weber announced that if necessary, the EU would increase the ceiling of the EFSF (to a level that looked intended to accommodate a Spanish bailout); the EU and German government immediately denied any such intention.

Second, there is the coupling to the UK, both financial, as mentioned here en passant, and economic.

Third, there is the shadowy shadow banking connection to Germany and elsewhere, set out here.

Fourth, the “elsewhere” may include not only France and the UK, but also the States..."

at http://www.nakedcapitalism.com/2010/11/systemic-coupling-round-up.html