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Spain's ability to apply fiscal discipline has also come under question because two-thirds of last year's budgetary slippage was attributed by the prime minister to regional governments, whose spending responsibilities include key sectors like health care and education.
Its budget would move into surplus and instead of austerity, the government could apply fiscal stimulus.
That's alarming if, as now seems possible, the ECB's enthusiasm is waning under German pressure, to be replaced by more urgent calls for politicians to apply fiscal remedies and structural reforms.
But with investors increasingly viewing European sovereign debt as a toxic asset, it seems doubtful that the markets will truly calm down until both Italy and Greece do more than apply fiscal bandages and until the European Union can put more firepower in its bailout mechanisms.
Similar(52)
That can still apply today.
The same principles apply today".
None of these objections apply today.
Does this philosophy still apply today?
That brag would no longer apply today.
Does the frustration voiced in Mystique still apply today?
The things I learned here, I still apply today".
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com