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All EU member states, but in particular the eurozone, should subject themselves to uniform debt limits. I already have a waiting list for our in-house spaces as all spots are provisionally booked out with 5 people waiting to see if any spots free up. A nation state is a country in which the majority shares, if not necessarily common ancestry and religion, at least a common language and culture. Yet voters have just let forth a primordial scream against any further transfers of power. In some northern European capitals, policymakers are beginning to understand that the Greek programme has been an unmitigated failure. Otmar Issing, the former chief economist of the European Central Bank and the German Bundesbank, is a genial number-cruncher who believes in the overall benefits of European integration has turned virulently pessimistic over the European single currency. ACE Övre raden från vänster:

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The eurozone deal will fail because it offers no explanation of how, precisely, the German current account surplus will be recycled if the southern European nations head down the path of fiscal righteousness.

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De euroländer som idag är i kris är de som skulle ha behövt en mycket stramare penningpolitik under valutaunionens första årtionde. Plus ca change, plus c'est la meme chose: Hans Werner Sinn, the man who raised the Target 2 debate, writes in Frankfurter Allgemeine about how to fix the Target 2 imbalances. Italian spreads reached a horrendous 5. Det lär vi i så fall få ångra i generationer framåt. Origins of the Euro Crisis The key point here is that countries within the euro zone have no policy tools with which to manage their balance of payments Paul Krugman, NYT September 23, It will screw down too hard on ordinary Greeks, with new taxes, spending cuts and a rushed privatisation scheme.

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