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1. Briefly describe the doom loop or deadly embrace between banks and governments, why it is a problem in a monetary union and how

 

1. Briefly describe the "doom loop" or "deadly embrace" between banks and governments, why it is a problem in a monetary union and how it can be addressed. 2. Briefly explain if monetary unions lead to more or less fiscal discipline and why.

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1 The doom loop or deadly embrace refers to a problematic relationship between banks and governments particularly observed in a monetary union In this loop banks hold a significant amount of their own ... blur-text-image

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