A derogatory term for the European Monetary Union that emerged around 2009 in connection with the Greek and Irish crises. It has degenerated into a transfer union and community of guarantors in which rescue parachutes are opened and guarantees are issued to the left and right. It has been shown that a common currency with continued national budgetary policy (central monetary policy in a fiscal-federal order; single currency but fiscal policy in national sovereignty) is degenerating. – This widespread view overlooks the fact that the Stability and Growth Pact should be strengthened and excessive deficits in national budgets avoided. – See bail-out, internal flexibility, blame game, buyer of last resort, deficit financing ban, one-vote principle, European Monetary Union, fundamental error, hegemon, mild, Europayer, ECB sin, ECB independence, financial solidarity, money cow, money multiplication, monetary union internal, Italian method, default, policy clamp, policy default, rescue, rescue Europeans, rescue routine, risk taker, final, shadow state, debt drug, debt-debt prescription, debt drug, debt union, solidarity, financial, stabilization mechanism, european, stability and growth pact, fundamental error, semester, european, southern front, wealth levy, debt-productivity-linkage, treaty fidelity, confidence bubble, growth-debt fact, historical. – Cf. Monthly Report of the Deutsche Bundesbank of October 2012, pp. 13 ff. (deep discussion of the obstacles in EMU; overviews; references), Monthly Report of the Deutsche Bundesbank of November 2012, pp. 22 ff. (government budget deficits in the euro area as a whole and in the problem countries; overviews), Monthly Report of the Deutsche Bundesbank of January 2014, pp. 21 ff. (status of reform measures in the debt countries; many overviews).
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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
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https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
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https://www.gerhardmerk.de/