Hacker News new | past | comments | ask | show | jobs | submit login

A monetary union without a fiscal union doesn't really make sense, imo. The US (mostly) works because states run balanced budgets(if you ignore underfunded pensions) and the federal govt corrects trade imbalances by taking money from some states and sending it to others.

Economists in the EU must have understood this and if I had to guess they assumed a fiscal union would develop at some point?




> A monetary union without a fiscal union doesn't really make sense [..] Economists in the EU must have understood this [..]

They almost certainly did, there are two other groups who may not have done - European politicians ... and European voters.

Although it's more likely that politicians did understand it, but were reluctant to talk about, at least in front of the voters.




Join us for AI Startup School this June 16-17 in San Francisco!

Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact

Search: