The future of the eurozone depends crucially on whether Europe’s financial markets “renationalize” or become fully integrated. But either outcome would be preferable to partial integration – which is where the eurozone appears to be headed.
BRUSSELS – The purpose of the euro was to create fully integrated financial markets; but, since the start of the global financial crisis in 2008, markets have been renationalizing. So the future of the eurozone depends crucially on whether that trend continues or Europe’s financial markets become fully integrated. But either outcome would be preferable to something in between – neither fish nor fowl. Unfortunately, that is where the eurozone appears to be headed.
BRUSSELS – The purpose of the euro was to create fully integrated financial markets; but, since the start of the global financial crisis in 2008, markets have been renationalizing. So the future of the eurozone depends crucially on whether that trend continues or Europe’s financial markets become fully integrated. But either outcome would be preferable to something in between – neither fish nor fowl. Unfortunately, that is where the eurozone appears to be headed.