The Euro Trap: On Bursting Bubbles, Budgets, and Beliefs
By Hans-Werner Sinn
(2014, Oxford University Press)
"The European Union has freed Europeans from the yoke of nationalism and greatly contributed to freedom and prosperity in the continent. Its stability lies in the voluntary, mutually advantageous cohesion of its peoples. This stability, however, is being threatened by the euro crisis, which has given rise to a great deal of contention and resentment between these peoples and has resurrected many old ghosts that had long since been presumed dead and buried. As great as the beneficial effect of the European Union is, just as destructive has been the impact of the common currency on the cohesion of Europe."
So begins the new book from respected German economist Hans-Werner Sinn. While international policymakers assume that Europe is suffering a Keynesian crisis that...