Decoding the Euro Crisis: Its Past and Future
The crisis in the Eurozone is fed by a complex and intertwined mix of economic, financial and political problems. There are a number of plausible scenarios ahead, ranging from muddling through to disaster, and it is difficult to predict which one will become reality. What we know, however, is that the path Europe follows will have powerful ramifications for the United States and the world.
On October 19, the Center on the United States and Europe (CUSE) and Economic Studies at Brookings hosted a discussion on the crisis. Panelists presented distinct views of the causes of the crisis and the scenarios for what happens next. Brookings Nonresident Senior Fellow Carlo Bastasin is a noted Italian columnist specializing in the nexus of government, economics and finance, especially in Europe. His forthcoming book Saving Europe (Brookings Press, 2012) provides a detailed explanation of how Europe went from global financial crisis to its current situation. Brookings Fellow Douglas Elliott is a former investment banker focusing on the financial sector around the world. Edwin Truman, a senior fellow at the Peterson Institute for International Economics, is a former Federal Reserve System and U.S. Treasury official.
Senior Fellow and CUSE Director of Research Justin Vaïsse provided introductory remarks and moderate the discussion. After the program, panelists took audience questions.
“The 21st century has revalued these small geographies. That’s what the 21st century demands,” Katz said, noting that these days, “[w]e aren’t innovating in isolated business parks” in the suburbs.