I never paid much attention to the euro, and now having thoughts of trading it after spending a summer working in Europe. It makes travelling easier, not having to convert currency between euro countries. While looking at all the never-ending turmoil in Europe, I am beginning to wonder about the longevity of the euro.
I want to know the history of the euro, what was the incentive for all these countries to join? They must have been coerced and were too lazy to fight it. If I was a economic leader of a country, I wouldn’t even field the idea. The UK and Switzerland were wise to stay away. The problems shouldn’t even need to be explained… And I can’t imagine any logical reason to join the eurozone.
Why, as a fiscally responsible nation, would you trust any other nation to maintain responsible monetary behavior? Even if you could trust them, markets are unpredictable and shockwaves are already easily enough spread around the world. This system only leads to the irresponsible leaders getting lax about business and deceptive about their accounting. They are sat in a comfort zone and soon expecting the others to carry them in times of trouble. And then once those lazy countries are dependent on the support, they won’t want to leave like children boomeranging back to their parents’ house after deciding life was too tough off the nipple.
The incentive to succeed is erased as well as the fear of failure. Where is the energy in this system? The euro may be the most un-money idea ever to have ever been brought to money.
I’d like to be wrong about this, maybe I am missing something. Either way, am going to switch this currency into greenbacks as soon as my feet touch sweet American soil.