by Calculated Risk on 11/24/2010 12:43:00 PM

From the Irish Times: 'No group sheltered' as €15 billion savings plan unveiled

[S]pending on social welfare cut by €2.8 billion primarily through cuts in unemployment benefits and child income supports ... new levies on property and a hike in the basic rate of income tax ...

And the WSJ reports obtaining a copy of Germany's proposal for a permanent resolution mechanism that would take effect after the EFSF expires in 2013. According to the WSJ, the proposal would create a

"permanent, intergovernmental crisis-management mechanism" in which euro-zone members, private investors and the International Monetary Fund would all play a role.

This is the widely discussed "haircut" for bondholders.

Spanish 10-year bond yields have pushed above 5%, the Portugal 10-year yield is at 7%, and Ireland is up to 8.89%.

Note: Right now this is a European problem and I see little impact on the U.S. in the short term.