When we really want to advance towards a political union, we have to acknowledge that this is a completely new setting and that means that we would all have to give up substantial national sovereignty. It means that you have a central level that can interfere directly with your budget, your taxes, to enforce the agreements.
The incidents of September 11 taught us many lessons relating to central banking and financial stability. First and foremost, they reinforced the importance of the Federal Reserve’s role as lender of last resort.