The Euro: How a Common Currency Threatens the Future of Europe

Joseph Stiglitz argues that the eurozone’s economic stagnation stems from the structural flaws of a single currency shared by divergent economies. He details how the removal of national mechanisms—such as adjusting interest rates or devaluing currency—trapped weaker nations like Greece and Spain in cycles of austerity and unemployment. The text examines the mandate of the European Central Bank, which focuses on inflation rather than growth, and explains why fiscal integration or a flexible "dual euro" system is necessary to prevent the collapse of the European project.

Economists, policymakers, and students of international finance read this analysis to understand the friction between monetary union and national sovereignty. Readers finish the book with a technical grasp of how the convergence criteria failed to create stability across the continent. It provides a framework for evaluating current geopolitical tensions and the specific institutional reforms required to decouple economic recovery from political instability. The work offers a roadmap for those seeking alternatives to current neoliberal fiscal policies.