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Trouble is, once again, brewing in the eurozone, and politicians, journalist and bureaucrats are doing their best to provide commentary and solutions to the ongoing crisis. Yet it seems that very few understand the root of the problem.
Hasnain says:
" This disaster was entirely avoidable if the Euro bureaucrats had bothered to read Robert Mundall and Marcus Flemming’s seminal paper from 1962 which stated that according to well established macro economic models it was impossible to have domestic fiscal autonomy, fixed exchange rates, and free capital flows: no more than two of those objectives could be met. They won the nobel prize in economics for this in 1992, so it’s not exactly an obscure crackpot theory."
Posted on 2015-02-21T01:21:35+0000