European Union Debt Crisis

Former Czech Republic President Vaclav Klaus and Carnegie’s Uri Dadush talked with C-SPAN about the economic and political challenges facing the European monetary union. While President Klaus referred to European integration as a historical “accident,”  Dadush suggested that, although the enactment of the monetary union may have been premature, greater institution building and structural reforms will help alleviate the crisis. Furthermore, Dadush argued that even though there are shortcomings to the establishment and the euro crisis is far from over, the only rational way to overcome the crisis is to move forward and undertake more steps in the integration process, as disassembling the eurozone was not rational given the costs.