Final Word from Tuesday, May 15, 2012

Can a single Nobel laureate start a run on the euro? Not unless the conditions are ripe for one anyway. And it just so happens that Paul Krugman has been preaching big-borrowing policies that create the ideal conditions. So even if you aren't a Krugman fan, you should pay attention when he talks about the exit of Greece from the euro, huge withdrawals from Spanish and Italian banks, currency controls, and the possible end of the euro within a matter of months. This is a frightening-enough scenario if you are a eurozone citizen, because currency controls could mean that you lose access to your bank accounts, but it should be doubly scary for non-eurozone citizens who hold the common currency. Who is to say they would enjoy even the meager rights to access their money that eurozone citizens might have? Should they convert instead to crowns? We have the questions, but the answers are up to you.[Czech Republic Prize Economics Spain Italy monetary]

Glossary of difficult words

ripe for - at the appropriate time or in the appropriate condition for;

currency controls - limits on the access and use of money;

meager - lacking in quantity or quality; limited.


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