On the Record

A Plan to Save the Eurozone

Following months of financial instability, European leaders have worked out a deal in which nations will work toward a new intergovernmental treaty that leaders say will strengthen fiscal integration and stave off a collapse of the eurozone. The pact requires member states to cede power of their individual budgets to a central European authority, help shore up the IMF and adhere to new austerity measures. Domenico Lombardi says that with this plan, European leaders are on the right path but they should make sure that they finalize and implement the various provisions of the agreement sooner rather than later.