How Sovereign Debt Default Will Be Kicked a Little Further Down the Road

From Open Europe news summary of December 19, 2012:

Cyprus announced yesterday that it would not default on any payments as the pension funds for the public electricity and telecoms firms as well as the Ports Authority have agreed to provide the state with a cash injection to meet costs in December. Kathimerini

Kick-The-CanFor many countries, robbing pension funds in order to avoid default will be more palatable than practicing sound budget discipline.  Patrick Barron

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