Ulf Habermann on banking
From Mosler, Habermann and Bagus: Questions & Answers | Conclusions. The Crossroads Workshop 1 in Zurich · · TheCrossroadsFact
“Banks are not constrained by reserves when operating under a floating exchange rate system like the Euro; this is often misunderstood by European policymakers.”
On , Ulf Habermann, Controller, Treasurer & Principal Accounting Officer at CIRRUS LOGIC INC, spoke about banking during Mosler, Habermann and Bagus: Questions & Answers | Conclusions. The Crossroads Workshop 1 in Zurich on TheCrossroadsFact.
About Ulf Habermann
Ulf Habermann participated in a panel discussion at the Crossroads Workshop in Zurich on September 17, 2013, alongside Warren Mosler and Philipp Bagus. During the Q&A session, Habermann expressed respect for Warren Buffett's business acumen, describing him as a good long-term investor who understands value and insurance cycles. He argued that banks are not constrained by reserves under a floating exchange rate system like the Euro, a point he said is often misunderstood by European policymakers. Habermann attributed the cause of the economic crisis to a misalignment in production structure, such as overbuilding houses that do not meet consumer demand, rather than a lack of demand. He stated that government spending takes resources from the private sector, and that increasing such spending during structural adjustments can slow recovery. He also commented that total labor costs in countries like Italy are too high due to taxation, impacting competitiveness, and criticized the European Central Bank's Emergency Liquidity Assistance program as a moral hazard. Habermann advocated for full employment through government job offers at minimum wage as transition jobs, but noted that optimizing real standards of living is a political choice.