A View From Europe On How To Deal With The Failure Of Current Policies

Charles Wyplosz, an economist from Geneva, explains why procyclical fiscal policy is failing in the eurozone. He offers some suggestions for restructuring the eurozone that make it workable until it is possible to have greater fiscal integration in the eurozone. He also raises a flag about the potential banking crisis that is on the horizon. They hold large amounts of sovereign debt that is at risk.