1. Has the ‘greenest government ever’ given up on carbon budgets? (Left Foot Forward)

Reg Platt reveals that there is a 50gCO2/kWh gap in the government’s ambitions that must be explained if we are to believe it is committed to meeting the carbon budgets.

2. Papademos, Grexit, and catastrophe blackmail (Telegraph)

Papandreou was clueless. Papademos was complicit. Where does blame really lie, asks Ambrose Evans-Pritchard

3. Government becomes banker to the private sector (BBC News)

Robert Peston examines the phenomoenon of the private sector paying the government to look after their money.

4. Fiscal cliffs, multipliers, and the myth of central bank independence (Free Exchange | Economist)

Ryan Avent addresses the fiscal cliff.

5. What Bagehot said… (FT Alphaville)

Cardiff Garcia has lovely historical (if very wonkish) discussion of the history.