Euro crisis: no systemic solution in sight

Check out this insightful report on the Eu summit of the 9th July on the Financial Times Alphaville blog.  Despite announcements to the contrary from Europe top technobureaucrats every time they have a summit, it’s clear that we are a long way from a systemic solution to the economic and fiscal crisis in the Eurozone. European technocracy’s gradualist approach runs the danger of not being effective and quick enough if market turmoil continues, as it already happened in 2008. On the other hand, technocrats are thriving on crisis: until we live in a state of permanent economic emergency, we need them, this seems to be the gist of the argument. As long as they keep on managing the edges of financial chaos ‘just’, we won’t come out of the emergency, and any democratic process to deal with the underlying structural problems will continue to be de facto suspended, until further notice. Tough times ahead, no light at the end of the tunnel for now.

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One response to “Euro crisis: no systemic solution in sight

  1. Chaos economies create more money making opportunities. A press for more regulation is likely to be resisted, and if insisted on, is likely to result in more layoffs, capital flight to tax havens, and the breaking up of large firms into ambiguously interconnected entities that transfer costs and liabilities to even more chaotic economies.

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