Whether you like it or not, but the euro zone will fall apart, and the days are numbered euro. Euro came into existence more than 12 years ago, it seemed that his time has come. He was supposed to be a single currency for all European Union countries, which will significantly simplify the management of business and travel between Spain, Italy, France, Germany, Belgium and other countries. The ultimate goal of the creators of the euro was to improve the competitiveness of the EU countries about the U.S. and other countries. But the currency from the first day of life was one drawback. The first eleven participants completed the so-called Eurozone convergence criteria, ensuring the necessary levels of inflation, public deficits, debt and long-term rates. But the mechanism that would regulate these relationships and the criteria were not. There was no single fiscal policy for the group. This is the fundamental ugliness euros. You can not have one currency for a few politically independent countries with different cultures and different economic policies. Those wishing to join the single currency must sacrifice part of their sovereignty in favor of centralized government with power to legislate and dictate the countries a common fiscal and monetary policy. In the euro zone has never been a centralized authority, there is now. We need to create the United States of Europe, who will collect taxes, issue bonds and to countries in need of temporary assistance. Such a formation is to replace current arrangements confusing about who to help and whom to leave in the lurch. As long as this does not happen, problems remain in Greece only the tip of the iceberg. Behind it all lined up in other countries such as Portugal, Italy and Spain. The so-called PIGS countries for many years lived beyond their means and now it's time to pay the bills. PIGS can not defer payments on its bonds and thus endanger not only their own banks, but banks and financial institutions in other countries. Worse, the more powerful members of the euro area financial markets, together with Greece and forced her to take similar tough measures to consolidate and reduce the deficit, which hit in the first place to the public. Close demise euro does not go unnoticed by the foreign exchange market. This is evidenced by long-term downtrend. Do not be surprised if he continues his ignominious fall, because now the question is not whether a collapse Eurozone, and how soon it will happen.Irwin Kellner,Prepared Forexpf.ru Materials MarketWatch
