Saving in the land of good cheer and better beer

Abstract

Belgium was already mired in a web of political crises for nearly a year when the full force of the bursting American credit bubble struck its seemingly robust financial system. Not surprisingly, the shockwaves from across the ocean did nothing to resolve the political stalemate. On the contrary, they set in motion a process of government intervention in the financial sector that last week resulted in another major political crisis and the resignation of the government. This came about because of the near-collapse of one of the major banks, Fortis.

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