THE EUROZONE AS NON-OPTIMUM CURRENCY AREA

In WSJ, Vaclav Klaus, the president of Czech Republic, draw important conclusions from the long-term economic sustainability of the Eurozone (link), arguing that the eurozone is not an optimum currency area as suggested by the famous four criteria from economic theory. In a puzzling essay, Mr. Klaus demarks the eurozone as a monetary union of particular economic viability and, based on the assessment of growth dynamics in Europe, suggests that the eurozone will face a deepening problem in the future.

SLOW GROWTH AND PUBLIC DEBT IN EUROPE

Gary Becker (link) and Richard Posner (link) have initiated an interesting debate on low economic growth as the main macroeconomic concern of European economies in overcoming the increasing burden of public debt.