The Nobel Prize–winning economist and best-selling author explains why saving Europe may mean abandoning the euro.
When Nobel Prize–winning economist Joseph E. Stiglitz posed this question in the original edition of The Euro, he lent much-needed clarity to a global debate that continues to this day. The euro was supposed to unify Europe and promote prosperity; in fact, it has done just the opposite. To save the European project, the euro may have to be abandoned. Since 2010, many of the 19 countries of Europe that share the euro currencythe eurozonehave been rocked by debt crises and mired in lasting stagnation, and the divergence between stronger and weaker economies has accelerated. In The Euro, Joseph E. Stiglitz explains precisely why the eurozone has performed so poorly, so different from the expectations at its launch: at the core of the failure is the structure of the eurozone itself, the rules by which it is governed. Stiglitz reveals three potential paths forward: drastic structural reforms, not of the individual countries, but of the eurozone; a well-managed dissolution of the euro; or a bold new system dubbed the “flexible euro.” With trenchant analysisand brand new material on BrexitThe Euro is urgent and timely reading.
|Publisher:||Norton, W. W. & Company, Inc.|
|Product dimensions:||5.40(w) x 8.20(h) x 1.00(d)|
About the Author
Joseph E. Stiglitz is a Nobel Prize–winning economist and the best-selling author of Globalization and its Discontents Revisited: Anti-Globalization in the Age of Trump, The Price of Inequality, and Freefall. He was chairman of the Council of Economic Advisers under President Clinton, chief economist of the World Bank, named by Time as one of the 100 most influential individuals in the world, and now teaches at Columbia University and is chief economist of the Roosevelt Institute.
Table of Contents
Introduction to the Paperback Edition xi
Part I Europe in Crisis
1 The Euro Crisis 3
2 The Euro: The Hope and the Reality 34
3 Europe's Dismal Performance 63
Part II Flawed from the Start
4 When can a Single Currency Ever Work? 85
5 The Euro: A Divergent System 124
6 Monetary Policy and the European Central Bank 145
Part III Misconceived Policies
7 Crises Policies: How the Troika Ensured Depression 177
8 Structural Reforms that Further Compounded Failure 214
Part IV A Way Forward?
9 Creating a Eurozone that Works 239
10 Can There be an Amicable Divorce? 272
11 Toward a Flexible Euro 296
12 The Way Forward 306
Afterword: Brexit and its Aftermath 327