The European Monetary Union (EMU) is obviously on the brink. It’s the year of decision whether this ambitious project will fail or succed. One fatal factor of the EMU crisis is indeed the bahaviour of European leaders, who tend to play the crisis down and gloss over all problems.
Barry Eichengreen writes on Eurointelligence that there were two alternatives: “European leaders can allow countries like Greece and Ireland to write down their already heavy debts…Alternatively, the EU can re-think the terms of its rescue packages.”
According to Barry Eichengreen both alternatives were unappealing.