Time for a PIGS Dollar?

later12

Bunching all of the European economies together like one happy family, whose idea was it anyway? Not mine, I hear you say. In fact I wonder who would own up to it at all.

I don't know who said it on these boards, but sometimes these glib statements can prove unexpectedly accurate - as one poster remarked yesterday, 'Europeans just don't get along, never have, never will'.

Now it isn't quite as simple as that, but when you have a union with its individual idiosyncracies and its philosophies as diverging as that of the European Single Currency Union, then you are perhaps looking at some problems.

Headlines this week included “Anger at Germany boils over” as well as headlines from the other side about anger directed at the rogue states of the union (the PIIGS, or is that PIG? Of Europe). Forecasters and economists peering into their crystal balls are expecting an eventual breakup of the Union, it could be 2011, or it could be 2013, but they’re pretty sure it’s happening; personally I don’t feel convinced enough to disagree.

So, ultimately, my question is whether or not it is about time that we started a Union of peripheral, rogue states, with whose economic and banking interests we can largely sympathise. As the financial times put it today, is it time that Ireland became an “honourary southerner”, and joined a currency union more suited to our financial and social identity – one with Portugal, Spain, Greece and Italy?

Bob_Latchford

Not sure I would be interested in joining spain, portugal and greece. If their governance is as ropey as the Irish have been, :eek: guess it would be a rollercoaster. Think I would take a punt on the punt instead.

But staying in euro would be best if at all possible

later12

Absolutely, we should of course try to stay in the Eurozone, the issue is whether or not we, and the other peripherals, will be allowed to remain or for how long.

WIZE

ArtSmart

'snort'

not.

Dirk Gently

I dont think joining a new single currency is the cure for crashing our way out of a single currency. Imagine the likes of Ireland, Greece and Portugal trying to keep some sort of an equilibrium between themselves. I'd actually rate our own corrupt politics slightly better than some of the other countries believe it or not. Imagine a single currency where Ireland could actually be one of the better nations.

If we're going to crash, might as well have full control over our currency rather than tie ourselves to other rouges as well. No reason why post euro and post default we cant dramatically increase trade and solidarity within the PIGS area but I'd stop short of a euro light currency.

ArtSmart

clown bag wrote: »

No reason why post euro and post default we cant dramatically increase trade and solidarity within the PIGS area but I'd stop short of a euro light currency.

Yes. Remember what happened to Guinness Light?