A New Architecture for the Single Currency: How to Solve the Euro Crisis

9 Pages Posted: 19 Dec 2011

See all articles by Abel M. Mateus

Abel M. Mateus

University College of London (UCL)

Date Written: November 29, 2011

Abstract

The crisis in the Euro Zone is due to two factors: over-borrowing by some states and credit booms in others. The architecture of the Euro remains incomplete, due to lack of enforcement of fiscal discipline and an integrated bank supervision. The paper proposes a staged and comprehensive approach to complete the architecture with four pillars. The relaunch of the Euro needs once more a transition phase with a gradual fiscal and asymmetric adjustment with a decisive intervention by central institutions.

Keywords: Euro, financial crisis, bank regulatory reform, monetary union, European integration

JEL Classification: F33, F36, G28, H60

Suggested Citation

Mateus, Abel M., A New Architecture for the Single Currency: How to Solve the Euro Crisis (November 29, 2011). Available at SSRN: https://ssrn.com/abstract=1974676 or http://dx.doi.org/10.2139/ssrn.1974676

Abel M. Mateus (Contact Author)

University College of London (UCL) ( email )

Gower St
London WC1E OEG, WC1E 6BT
United Kingdom

Register to save articles to
your library

Register

Paper statistics

Downloads
96
Abstract Views
499
rank
272,049
PlumX Metrics