Apocalyps soon

Paul Krugman :

"Suddenly, it has become easy to see how the euro — that grand, flawed experiment in monetary union without political union — could come apart at the seams. We’re not talking about a distant prospect, either. Things could fall apart with stunning speed, in a matter of months, not years. And the costs — both economic and, arguably even more important, political — could be huge.

This doesn’t have to happen; the euro (or at least most of it) could still be saved. But this will require that European leaders, especially in Germany and at the European Central Bank, start acting very differently from the way they’ve acted these past few years. They need to stop moralizing and deal with reality; they need to stop temporizing and, for once, get ahead of the curve.

I wish I could say that I was optimistic."

Read : http://www.nytimes.com/2012/05/18/opinion/krugman-apocalypse-fairly-soon.html?_r=1&partner=rssnyt&emc=rss.

Optimism requires two miracles : a German Saulus/Paulus conversion and a halt to moralizing and temporizing. I do not believe that our European hot air producers are capable of that. Not after five years of messing around.