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Why are you happy and i mean that very serious.

"The fundamental problem is that the economies of the "Germanic" members have diverged so far from those of the "Latin" bloc that the single interest rate set by the European Central Bank (ECB) is becoming a huge political liability. "

The main argument of the article is not only old but simply not true. Following this argumentation the US should not have a single currency given the fact that the diversity in the US is bigger as within the euro zone. Every study shows that. So i doubt that many people or companies in the US want 50 currencies with all the negative effects because of the economic diversity within the US.

germany should not have a single currency because in the middle of the 19th century the same arguments (sovereignty and diversity) were used to keep the huge numbers of currencies existing in the different german states.

A single currency makes trade cheaper, easier and less risky and not only the history of the US or germany shows that but also the trade growth numbers within the euro zone.

To believe the euro will fail might be a wonderful dream for EU skeptics ( especially in the UK) but as always in the last decades it will remain just that a dream because the facts will not be in favor of the EU critics and as you joined the EU ( despite all your wining and anger) you will join the Euro or you will pack your currency to the Euro as the french and all the others did with the german mark.

It is just a question of time. The british companies and the economic elite will guide the way and you should be happy about that if you use your brain and not just showing irrational fears.

Unified currency leads to unified laws. Unified laws lead to unified government. Unified government leads, over time, to ... well ... to what monopolies always lead to.

And it ain't pleasant.

France's problem with the Euro is that there are regional ups and downs with a single currency and France wants to always be on the up side of the EU. That just isn't going to happen for the long haul. France is just not as strong as it would like others to believe.

Blah blah blah. The point is that a one-size fits all monetary policy doesn't work, particularly given how the economies of the Euro nations have varying methods of how they are run. This is why France and Italy are in deep trouble. I am not interested in hearing this nonsensical mantra about how wonderful it is, when it is proven to be problematic. I am bloody happy we avoided it and bloody happy that we didn't listen to this nonsense that we have to be part of some other larger group in order to be a successful nation.

Ivan

Very good point. The euro is not the cause of Europe's problems. As I recall, many on the pre-euro national currencies (especially the lira) were essentially worthless next to the mark and dollar.

The French are upset because they realized that the European economic integration they have been pushing for decades means that the French welfare economy will be fully exposed to competition from places such as Poland and Denmark. That is why French voters rejected the EU constitution, and that is why the French are thinking about going back to the franc.

From my point of view in America, it is better for us to deal economically with one big jurisdiction in Europe (one currency, one set of regulations, one set of tariffs, etc) than with 30 smaller separate ones.

......The main argument of the article is not only old but simply not true.....

For once, I read the thread before commenting. Your analysis reflects my thoughts but probably with greater eloquence. In America we somehow get by even though there is uneven pain. The current political unrest in Ohio and Michigan and California are examples. Loss of industry and fantastic housing inflation are both being muddled through.

If we view history, especially economic history, as a flow or ongoing process, the current French pain must be accomodated by the union with some favorable adjustment. Trashing the system makes good campaign rhetoric but is not really a solution. The question is political will. Should the politics be short or long term when considering a solution. That will be determined by the character of the leaders.

Meanwhile here in America, we'll be working overtime with full employment enjoying the Dollar Euro disparity.