by George Soros :The euro crisis has already transformed the European Union from a voluntary association of equal states into a creditor-debtor relationship from which there is no easy escape. The creditors stand to lose large sums should a member state exit the union, yet debtors are subjected to policies that deepen their depression, aggravate their debt bur
The causes of the crisis are so complicated that they boggle the mind. They cannot be properly understood without realising the crucial role that mistakes and misconceptions have played in creating them.The fatal flaw of the euro is that by creating an independent central bank, member countries have become indebted in a currency that they don't control. The risk of default relegates some member countries to the status of third world countries that became over-indebted in a foreign currency. This feature of the euro was ignored both by the authorities and market participants until the Greek crisis and it is still not properly understood today.
den and perpetuate their subordinate position. As a result, the crisis is now threatening to destroy the European Union. That would be a tragedy of historic proportions which can only be prevented with German leadership.
read more : http://www.guardian.co.uk/business/2013/apr/09/eurozone-crisis-germany-eurobonds
