Country Quote by Athanasios Orphanides
“In my min,d there is arguably a greater risk of a default on the debt of a U.S. state than there is on the debt of a euro-area member. I consider it unthinkable that a euro-area country would default.”
About This Quote
Source Speech: Economic Forum, 2023
U.S. state debt defaults are more likely than euro-area defaults, contrary to common belief.
In simple terms: U.S. states more likely to default than Europe.
Key Takeaway
Reassess risk assumptions on sovereign debt.
Themes
economics
risk assessment
sovereign debt
policy
comparative analysis
Mood
cautious
analytical
Type
policy
economic
When to use this quote
- government budgeting
- investment decisions
- policy planning
Key Concepts
default risk
fiscal health
regional stability
Questions to Reflect On
- How do fiscal structures differ between U.S. states and euro-area members?
- What safeguards could reduce U.S. state default risk?
A Different Perspective
Euro-area defaults, possible under extreme crises.
![“That country [Carthage] was rapidly sinking into the state of barbarism from whence it had been raised by the Phoenician colonies and Roman laws; and every step of intestine discord was marked by some deplorable victory of savage man over civilized society.” quote by Edward Gibbon](https://sms4smile.com/quotes/img-quotes/70c/edward-gibbon-710_barbarism_that-country-carthage-was-rapidly-sinkin_393.jpg)
