(more benign)
Government debt is a crisis of capitalism?
wow. I think its quite the opposite.
I agree with AEP that the only possibility the EZ countries have of rescuing their currency is for Germany (mainly) to allow the Germans to spend, and to earn. But in all likelihood they won't. In that case the second best solution would be for Germany to leave the eurozone. That will probably not happen either. The third solution would then be for the PIIGS (all or some) to leave the Euro. However, they will probably not be allowed to. And so, just like in the 30s we will have the worst of all situations.
Unfortunately this paragraph is prophetical I fear:
The North-South divide within EMU has been allowed to go so far that any solution must now be offensive to either side, and therefore will be resisted. The euro is becoming an engine of intra-European tribal hatred. Brilliant work, Monsieur Delors.
Let us not forget Yugoslavia. She was to all intents and purposes a (failed) currency union. Look what happened when the rich and the poor states were not allowed to secede from each other.
Capitalism? In the EU?
LOL