" wrote in
:

On 20 Apr 2012 00:33:32 GMT, Han wrote:

Kurt Ullman wrote in
:

In article ,
Han wrote:



We appear to live in
times where the easy way to combat deficits isn't feasible anymore,
due to the interrelatedness of the world's economies. That used to
be devaluation of one's currency, a much used tactic in the past.
When I was a teenager, the French franc had devalued so much that
"new" francs were issued, valued at 1:1000 I believe ...

Not really. It has been working OK for the US, at least so
far.
The Euro is another kettle of fish since it is more than one
sovereign nation with more than one goal. Euro members really can't
inflate their way out of the problems... at least until Germany
and/or France run into stormy weather, then we'll see.
We'd be having the same problems as Europe is Mississippi was
trying to have a different monetary policy then California or
Nevada. It is really hard (and I am leaning personally toward
impossible) to have a situation where you have a single currency yet
multiple soverign nations with multiple monetary needs.

That's what the Europeans are finding out.

Soverignty without monetary control was a stupid idea; doomed to
failure. If the Europeons weren't so toothless, a war wouldn't be
surprising. History, and all that...

If I remember correctly, the US was designed in stages. The current
concept is one of the US overriding the individual states (in many
aspects - we'll see about health care grin). This followed the failure
of condfederated state envisioned by the original articles of
confederation. The process leading to the Constitution didn't make the
US a failure. Similarly, it was abominable nonsense for the Europeans to
think that a common currency would work without a common and top-down
fiscal and economical policy. That is what almost no state in Europe is
willing to confront, yet. The US Constitution turned out much better,
despite the continuing fights about "states' rights", and Eurpe
will/should follow in those footsteps. I just hope that there will not
be anything like what some here call the recent unpleasantness ...

--
Best regards
Han
email address is invalid