Under questioning from MPs on the Treasury Select Committee, Stephen Nickell, a member of the Office for Budget Responsibility (OBR) and a former Bank of England rate-setter, said a collapse of the single currency was "a possibility".
the euro didn't exist til the early 90's isn't it.
what is the point of the euro? cause the currencies of these small bankrupt countries like greek and ireland are weak currencies.
the economies of these countries are too small to even trade their currency.
the exchange rates between euro countries don't trade much is mostly fixed rates.
why would foreign entitye lend money to a country whose currency is worth less after repaid..
Quote from ASusilovic:
Under questioning from MPs on the Treasury Select Committee, Stephen Nickell, a member of the Office for Budget Responsibility (OBR) and a former Bank of England rate-setter, said a collapse of the single currency was "a possibility".
The Euro is currently pegged to currencies used in some parts of Africa and Eastern Europe. If this can be done with much weaker economies in Africa then why not in Ireland and Greece if things get even worse. In other words, the Euro could be phased out in certain countries and not others. But still, some tinkering will be necessary to get through this.
