The Euro Disaster: How the Crisis will Continue – Possible and Probable Scenarios

Matthias Elbers, formerly of the specialist finance publication “Der Neue Kämmerer”, presents his view of the euro crisis. For Elbers the crisis is essentially a balance-of-payments crisis of several European economies, triggered by chronic balance-of-payment deficits that were subsequently exacerbated by capital flight. In his opinion, the chronic balance-of-payments deficits of the crisis states are the direct result of the political project of European currency union. In other words, the euro itself is the cause of the crisis.