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Dawn of a New Day for Europe? The Merkel-Sarkozy Promise to End the Eurozone Crisis

C. J. Polychroniou

Economics One-Pager Archive from Levy Economics Institute

Abstract: Failure on the part of EU leaders to address the eurozone crisis is in large part due to the fact that Germany and France are at opposite poles—politically, economically, and culturally. In this context, the announcement by Germany's Angela Merkel and French President Nicolas Sarkozy that they've agreed to a comprehensive package of proposals to solve the eurozone debt crisis is definitely a positive development. It indicates that they have set aside their disagreements—surely no small feat, since domestic political concerns have been pulling the two in completely opposite directions—in order to provide the leadership necessary for euro stability.

Date: 2011-10
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