The Euro's 1 in 5 Chance to Survive
Notice he says "European politicians" and not "such a strong piece of monetary engineering"... it's actually pretty flawed, they'll let anyone in these days.
“The euro might break up at this point, though European politicians are normally able to respond to a crisis,” said CEBR Chief Executive Douglas McWilliams in a list of 10 forecasts for 2011.
“We give it only a one in five chance of surviving in its present form for 10 years. If the euro doesn’t break up, this could be the year when it weakens substantially toward parity with the dollar,” he added.
In possibly related news, Estonia celebrated 2011 by ditching its kroon and embracing the euro, which seems like a questionable move to me but I can't possibly understand what Estonia is thinking.
“We are at sea in a small boat tied to an ocean liner,” Finance Minister Jurgen Ligi said by e-mail. “In a storm or otherwise, we’d feel better being on board.”
It's always sketchy when you get referred to as an "Ireland follower".
Anyway, some loyal subjects in Estonia didn't like this idea and that's for a good reason, it'd be like the United Soviet States of America buying the idea of a single currency between us, Canada and Mexico. Or Canada feeling the same.
Some Estonians say the country should continue focusing on its own economic development instead of relying on the debt- ridden euro area.
The currency switch may lead to “massive” price increases and its “one-size-fits-all” monetary policy, which “mimics Soviet imperial illusions” are wrong for the country, Anti Poolamets, a lawyer who organized an anti-euro movement, wrote Nov. 21 on the website Delfi owned by AS Ekspress Grupp, the only publicly traded media company in the Baltic region.
A poll commissioned by Poolamets in October showed that 52.8 percent of the 1,524 respondents in the survey opposed euro adoption. While the government asked people if they wanted to adopt the euro, the competing poll also highlighted the loss of the kroon, Poolamets said.
Yes "Anti Poolamets" is a real dude, therefore I say we rename the euro to "Poolamets" from here on out. Maybe a rebranding is exactly what the euro needs since nothing else appears to have worked up to this point.
I wish those European politicians the best of luck in persuading the shit not to hit the fan over there.