Wednesday, May 30, 2012

No State is a (Greek) Island

My take on the European rumblings about fiscal union came out today in the WSJ:  unions

Basically, the Greman take on fiscal union is the opposite of what the U.S. fiscal union has done for the last hundred years.  Ours serves as a way to ease adjustments that the lack of a flexible exchange rate between states makes problematic.  The discipline based fiscal union just makes those worse.