I noticed this on FT Alphaville earlier and failed to post it. It’s a post that paints a fairly grim picture of trends in the German economy and discussed the implications for some of the Eastern European countries. A little dry but with some useful data.

This goes along with a theme that I’ve written about before. I think that we may well have the situation with the credit markets and banks under some sort of manageable control. How successfully the new administration can revive the general economy is a question yet to be answered but the real sleeper in my mind is the state of a lot of mid-sized economies like Ireland, Hungary, Turkey etc. The potential for some serious serial failures is very real and if it would to occur could truly take down the whole house.