Ashoka Mody: Groupthink lies at the heart of the euro’s woes
"Low growth and inflation are likely to continue in the eurozone"
Are the eurozone’s continuing woes the result of its incomplete construction, or because of policy errors in responding to the crisis? The eurozone member states gave up monetary policies for countering economic adversities, but the founding fathers lacked political will to compensate with pooled resources for helping each other. This incompleteness is surely made worse by wrong-headed policies, delays, and half measures. That said, the distinction is overstated: the incomplete monetary union and repeated policy...
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