Financial markets ... resent any kind of government interference but they hold a belief deep down that if conditions get really rough the authorities will step in.

China could easily emerge as the great winner if the Chinese leaders handle the situation well. On the other hand, they could also turn out to be the biggest losers if they handle it poorly. If the management turns out be wrong, this could lead to a political crisis in China.

There is no question that a breakup of the euro would be very damaging, very costly, both financially and politically. And the biggest loss would be incurred by Germany. Germans have to bear in mind that, effectively, they have suffered practically no losses so far. Transfers have all been in the form of loans, and it is only when the loans are not repaid that real losses will be incurred.

I think there's a lot of merit in an international economy and global markets, but they're not sufficient because markets don't look after social needs.

The ultimate asset bubble is gold.

Of course, speculation will always make a crisis worse. If there is a weak point, it will expose it.

The integration of Europe was very much led by a Germany that was always willing to pay a little bit extra to reach a compromise that everybody accepted, because Germany was so eager to get European support for reunification. That was called the "farsighted vision," which created the European Union.