Sunday, June 26, 2011

Soros Sour on the EMU

Soros reiterated his view in a panel discussion in Vienna that the euro had a basic flaw from the start in that the currency was not backed by political union or a joint treasury.
"The euro had no provision for correction. There was no arrangement for any country leaving the euro, which in the current circumstances is probably inevitable," he said.
While he called survival of the European Union a "vital interest to all," he said the EU needed structural changes to halt a process of disintegration.

This has been the MMT view since the inception of the EMU.


googleheim said...

There was a recent run on the banks in Greece.

Many Greeks who have money opened up accounts abroad in surrounding countries.

If the Germans get their way, they will find the accounts and have them taxed, just like Merkle went after all the Germans who have Swiss bank accounts off the German tax system.

Senexx said...

GoogleHeim, that's pretty smart of the Greeks. Pretty bad if they opened them in the EMU though.

As for Soros he's a pretty smart guy, maybe he gets it now. I knew about Soros long before I ever heard the term MMT