7% Interest on 10 year Bonds = Economic Meltdown. It wasn't always the case you know...

And another thing on the Vicky Pryce graph...

For lots of good reasons, it is now generally accepted that if the markets want you to pay more then 7% interest on 10 year sovereign bonds when you try and sell them, you're screwed. Hence the point of no return when Ireland and Portugal asked for bail outs, and the panic ensuing since Italy hovered around that mark (which it still is by the way...)

But as this chart shows (click to enlarge) - pre the 2008 recession, all the countries of The Eurozone were paying more than that - even Germany.



Of course a lot else has changed since. But shows the danger of thinking a 'golden rule' is always, and always will be, a'golden rule'...