chapter  14
17 Pages

The eurozone crisis

Growing pains or doomed from the start?
WithMatthias Matthijs

The euro crisis holds valuable lessons for the global governance of finance and money. This chapter analyses the multiple narratives informing Europe's response to its sovereign debt woes. Central to understanding the various ad hoc solutions cobbled together by the various European players is recognizing which explanations of the causes of the crisis eventually won out or proved more influential. The chapter provides a brief overview of the main decisions that were taken during the multiple summits that took place over three years between late 2009 and late 2012. It analyses those decisions from interest-based (players), institutional (power) and ideational (paradigmatic) points of view. The chapter looks at the future of the eurozone, assesses the viability of a more permanent solution and outlines the main lessons of the euro crisis for the global governance of finance and money.