Joe Stiglitz On Eurozone Crisis

As usual, Joseph Stiglitz provides a unique perspective on the Euro crisis. He shows that the origins of excessive debt are different in the affected states and that a single explanation is not possible. For example, Spain did not have a debt problem until the housing bubble burst. It probably could have prevented the problem by regulating the flow of capital into the economy but that would have been in violation of the basic concept behind the eurozone that private capital should flow freely between nations. Ireland has left a debt burden for future generations that could be solved by the migration of workers from Ireland to states that do not have to repay huge debts that have been assumed by rescuing their banks. Those who migrate do not have to pay back the debt but free migration would be bad for Ireland.