HOW TO SAVE THE EURO
by Stefan Collignon
The financial crisis risks destroying half a century of European integration. It is primarily a political and not an economic crisis and only a different political solution can solve it. The problem is the intergovernmental system of governance: Member states’ governments take decisions jointly, but each government pursues its own partial interests. Hence, political integration is the missing complement to an integrated economy. Intergovernmental policy decisions never represent more than the smallest common denominator and the collective interests of all European citizens are neglected.