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The Euro Crisis and Its Aftermath

Online ISBN:
9780199346400
Print ISBN:
9780199993338
Publisher:
Oxford University Press
Book

The Euro Crisis and Its Aftermath

Jean Pisani-Ferry
Jean Pisani-Ferry

Director of Economic Policy Planning to the Prime Minister of France

Professor of Economics at Universiti Paris-Dauphine, Paris
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Published online:
22 May 2014
Published in print:
1 May 2014
Online ISBN:
9780199346400
Print ISBN:
9780199993338
Publisher:
Oxford University Press

Abstract

This book explores roots, causes, consequences and solutions to the euro crisis that began in late 2009 and has since been affecting the countries of the Eurozone. It discusses the creation of the euro and why its original design paved the way for the sovereign debt crisis. It also explains how economic forces and decisions by Eurozone policymakers turned the crisis that started in Greece into a full-fledged debt, banking, growth and competitiveness crisis. It examines the dynamics of sovereign debt crises, and the measures adopted by the European Central Bank (ECB) and Eurozone policymakers to address the crisis in the Eurozone. The book looks at all of the difficult decisions policymakers were confronted with, starting with whether and how to provide assistance Greece, the pros and cons of a Eurozone breakup, the reform of economic governance in the Eurozone, the role of austerity, involving private creditors in debt restructuring, possible risk-sharing mechanisms for the euro area, the establishment of a banking union, and how to rebuild southern Europe’s economies. Finally, the book takes an in-depth look at the Eurozone’s institutional and economic architecture and proposes solutions to bring it back onto the path of prosperity.

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