Reverting to national currencies won’t save the euro

It’s often assumed by those listening to critics of the euro, that we desire a return to national currencies, such as the franc or deutschmark. Certainly, some do, but from the perspective of the Austrian school of economics, they are both as bad as each other.

Johnathan Pearce at Samizdata responds to Ambrose Evans-Pritchard writing in the Telegraph on this very point. Both the euro and its predecessors are fiat currencies, controlled by central banks and subject to inflation, business cycles and political manipulations.

The sustainable solution is to return to market based money, likely some form of gold standard, and to end the ECB, and all its national predecessors.

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