World » Europe
Author`s name Dmitriy Sudakov

Euro may collapse to dollar’s laughter

The future of the European currency is challenged. The euro, which appeared as a result of the political decision, has only several years left to live. Many European officials believe that the continent needs to return to national currencies against the background of the ongoing economic crisis. However, the euro may collapse for economic reasons too, no matter how strange it may seem to sound nowadays.

Jim Rogers, the president of Rogers Holdings, stated two months ago that the euro would last for 15 or 20 years. He emphasized that no other currency similar to that of the European Union had ever had a significant life expectancy. The governments of many European countries, Rogers said, blame the euro for many financial problems that they have to face at the moment.

The governments of the EU member-countries will either decide to pull out from the euro zone or will ask for abatements from Brussels, he added. It is worthy of note that Rogers already predicted Russia’s collapse into several independent states.

Nobel Prize winner, a professor with the University of Chicago, Milton Friedman, sticks to the same opinion. He also believes that the joint European currency will become history in 5-15 years. Such large European countries as Germany, France and Italy will soon find that the creation of the euro zone was a mistake, Friedman believes. There are considerable political discrepancies inside this zone, which will eventually result in the collapse of the system. The only thing that can save the system is the creation of the unified state between the United States and Europe, the economist believes.

The establishment of the joint European state against the background of unsuccessful attempts to ratify the European Constitution seems to be absolutely unreal. Weak members of the euro zone will inevitably pull the leaders to the bottom.

The current economic crisis has weakened the European currency against its major rival, the US dollar, which has not died contrary to all forecasts. The dollar has gained 24 percent against the euro since the middle of 2008. Euro lost 4.4 percent of its value during 2008 and then became 8.4 percent cheaper in January 2009.

George Soros said during the recent forum in Davos that the euro may not survive the current crisis if the EU does not take adequate measures to relieve European banks of toxic assets. The EU does not even think about establishing a bad bank. Quite on the contrary, European banks continue to conceal the information about their problems, which may lead to unpredictable consequences in the future. The European Central Bank, which is responsible for the euro zone, is a supernational structure, which makes only recommendatory decisions.

Lyubov Lulko

Representatives of the North Korean administration issued a statement saying that the United States and its allies have lost the "political and military confrontation" to the DPRK

North Korea declares victory over USA

Putin made his first public comment on the subject of the recent decision of US President Donald Trump to recognise Jerusalem as the capital of Israel

Putin makes first comment on Trump's Jerusalem decision
Comments
Turkey's Erdogan urges others to recognise Jerusalem as capital of Palestine
Turkish President Erdogan issues ultimatum to Washington and Brussels
Turkey's Erdogan urges others to recognise Jerusalem as capital of Palestine
USA no longer wants Bashar Assad to go
From Cast Lead to Schabas's defeat: The collective punishment repeats
Pentagon can not accept Russia's victory over terrorists in Syria
Turkey's Erdogan urges others to recognise Jerusalem as capital of Palestine
Russia leaves Syria, but USA stays, to spend some more
Russia leaves Syria, but USA stays, to spend some more
The need for a Global Political Agenda 2018
The need for a Global Political Agenda 2018
The need for a Global Political Agenda 2018
Putin makes first comment on Trump's Jerusalem decision
Putin in Egypt: Who's the big player in the Middle East?
Pentagon can not accept Russia's victory over terrorists in Syria
The Netherlands classifies mystery of MH17 crash
Turkish President Erdogan issues ultimatum to Washington and Brussels
North Korea declares victory over USA
India does not want to cooperate with Russia on 5th generation aircraft
Some ideas about North Korea
Boriska: Martian boy on Earth is still mystery