One-Pager No. 19 | November 2011
The Future of the Eurozone Does Not Lie with Enlargement
The European Union’s survival depends on its ability to reform, either through enlargement—greater economic and fiscal coordination in the direction of some sort of federal state—or by getting smaller, with the eurozone becoming a true optimum currency area. Most analysts support the former proposition. But the rush to strengthen and expand the Union is precisely what led to the current crisis in the eurozone.
C. J. Polychroniou
Central bank policy European Central Bank (ECB) European Union (EU) Eurozone Eurozone debt crisis Optimum currency areas