Comment & Debate
Joseph Gokhale. “Forget The European Monetary Fund.” Forbes. March 2010: “The debt crisis in Greece has European economists befuddled–and clutching at ideas like establishing a European Monetary Fund, which is likely to undermine, not enhance, the stability of the European Union.” The reasons provided are that it would siphon off capital and increase borrowing costs, and that it would create a morale hazard that encourages further reckless spending. All of this, he argues, would ultimately burden, stress, and jeopardize the EU, rather than strengthen it.