If Buiter's current views are an indication of current bankster concerns, banksters are very scared by Brexit and the entire stability of the European Union.
He told the Epoch Times:
Brexit was a reminder of the fragility of the European Union, including the eurozone. If Brexit can happen then Frexit could happen. That immediately affects the cross-border banks, the banks that have had significant exposure in different parts of the euro area. They could be suddenly subject to wild currency fluctuations as new currencies are created out of nothing...His concern extends to the EU banking sector
The Italian banks are at risk now. There is worry about the German banks.And he is calling for creditors of these banks to take a hit on what they are owed:
The right solution from an incentive perspective is clearly to bail-in the unsecured creditors whoever they may be. The institutional investors, the wholesale investors, will take a hit and that is right. That is what the Lord made them for.After doing the Lord's work and giving creditors haircuts, he wants the European Central Bank to dump mad helicopter money:
Helicopter money is a coordinated monetary and fiscal stimulus. It is a fiscal stimulus funded permanently by the Central Bank.
There are obvious win-win situations that we could have. Restructuring of debt if possible, haircuts if necessary, and then a well-targeted fiscal stimulus funded ultimately through the European Central Bank (ECB), people’s helicopter money.-RW