All this is not new and revives memories of the 1970s. Were the spectacular policy mistakes of that unfortunate decade due to poor economic theory, poor policy or a biased representation of the economy? It was probably a blend of all of these factors, with the last one carrying substantial weight.
2  The euro – political project and prosperity promise  Whenever the topic of conversation turns to economics and Europe, the euro normally takes centre stage – today more than ever. But it is worth remembering that the euro was also a political project from the very outset.