Will the euro be destroyed by ideologues?


An end to the Eurozone would mean a wave of bank collapses and a recession that would affect the world for a decade.

If the European Central Bank does not write down debt in countries like Greece and Italy, it could result in a double-dip recession in the eurozone that spills over into the rest of the world [GALLO/GETTY]

We could be living through the last days of the euro. That is not a happy thought. While there were many negative aspects to the rules governing the European Central Bank (ECB) and the eurozone economies, no one can want to see the economic chaos that will almost certainly follow the collapse of the euro.

There will likely be a wave of bank collapses as banks are forced to write down much of the debt they hold in Italy, Ireland and other heavily indebted countries. This would bring about another Lehman-type situation where finance freezes up. Banks would stop lending to each other and even healthy businesses would find it difficult to obtain credit. Συνέχεια