Wednesday, August 29, 2012

So it was just a German racket

European Central Bank President Mario Draghi writing in Die Zeit today --

The debate is taking place because the euro area has not yet fully succeeded as a polity. Currencies ultimately depend on the institutions that stand behind them. When the euro was first proposed, there were those who said it would have to be preceded by a long process of political integration. This was because sharing a currency would imply a high degree of joint decision-making. Member countries would be a “Schicksalsgemeinschaft” and would need strong common democratic underpinnings.

Who amongst us could have forgotten those times in 1990s when we were assured that the single currency would work because after all it was a Schicksalsgemeinschaft?

Incidentally, the phrase means "community of fate."

Further incidentally, does it seem like we need more German capabilities lately?