The answer to one extreme isn’t going to the other extreme.
Countries destabilize their own economies all the time, and the reason that’s “not a problem” is because we don’t link it to the consequences in terms of side-effects, like migration and regional destabilization.
If you want sovereignty you should be independent from financial markets. There is a reason why Russian state and Chinese state don’t have debt. They drop it on citizens and regional authorities.
As long as countries outside of € zone are doing better than similar ones inside – yes, some change is needed to this system for sure. It can’t be just Deutch Mark for everybody, monetary economy is not as simple as that.
Not so fast Mylady….I’m not willing to gurantee your recklessness…
Eurozone fiscal targets are a joke anyway. Even France was breaking the deficit limit before COVID.
> Under terms of the EU’s Stability and Growth Pact, member states must keep their budget deficits under 3.0 percent and overall debt under 60 percent of GDP, although occasional adjustments are possible.
The rules are essentially unenforced anyway, even before the pandemic.
> In order for the European Union to avoid making the same mistakes of the 2008 financial crisis, “member states must play a leading role in setting their own fiscal targets,” Calviño said.
It can’t be a free for all though, part of the issue of the Eurozone without more fiscal integration for many is that if a country has a spendthrift government then everybody else has to pay so that the currency they share doesn’t become worthless when they go bust, and unequal distribution of public debt is also a big barrier to said integration.
We should move forward to fiscal and tax union.
Spain runs a welfare state on low taxes and makes the other welfare states with high taxes pay for it. Politically completely unsustainable, time to raise taxes.
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The answer to one extreme isn’t going to the other extreme.
Countries destabilize their own economies all the time, and the reason that’s “not a problem” is because we don’t link it to the consequences in terms of side-effects, like migration and regional destabilization.
If you want sovereignty you should be independent from financial markets. There is a reason why Russian state and Chinese state don’t have debt. They drop it on citizens and regional authorities.
As long as countries outside of € zone are doing better than similar ones inside – yes, some change is needed to this system for sure. It can’t be just Deutch Mark for everybody, monetary economy is not as simple as that.
Not so fast Mylady….I’m not willing to gurantee your recklessness…
Eurozone fiscal targets are a joke anyway. Even France was breaking the deficit limit before COVID.
> Under terms of the EU’s Stability and Growth Pact, member states must keep their budget deficits under 3.0 percent and overall debt under 60 percent of GDP, although occasional adjustments are possible.
The rules are essentially unenforced anyway, even before the pandemic.
> In order for the European Union to avoid making the same mistakes of the 2008 financial crisis, “member states must play a leading role in setting their own fiscal targets,” Calviño said.
It can’t be a free for all though, part of the issue of the Eurozone without more fiscal integration for many is that if a country has a spendthrift government then everybody else has to pay so that the currency they share doesn’t become worthless when they go bust, and unequal distribution of public debt is also a big barrier to said integration.
We should move forward to fiscal and tax union.
Spain runs a welfare state on low taxes and makes the other welfare states with high taxes pay for it. Politically completely unsustainable, time to raise taxes.