15 Feb 2010

Crisis in the eurozone and how to deal with it

Paul De Grauwe

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In concise, non-technical terms, Paul De Grauwe, Professor of Economics at Leuven University and Senior Associate Research Fellow at CEPS, explains how the current financial crisis in the eurozone developed, distinguishing in turn the three main actors that have played a major role: Greece, the financial markets (including the rating agencies) and the eurozone authorities. While acknowledging that a grand plan for more intense political union in the eurozone does not seem possible, he further outlines smaller, but focused steps that could be taken towards such a future union.

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