The outlook for the Eurozone in 2011 – five top credit investors speak out

Mohamed El-Erian
Chief executive officer and co-chief investment officer
Pimco, Newport Beach, California

What will be the cost if Europe continues to muddle through and postpone trouble rather than deal with its problem debts?

There are three possible costs to Europe continuing with a liquidity approach for the solvency issues facing peripheral economies. First, the market and economic dislocations will migrate up the sovereign credit quality curve as private investors seek to defensively reduc