Fifth, if people do not realise how close they are to the abyss, and thus do not support the adoption of the unpalatable decisions, policy-makers have to make them aware of the risks by appealing directly to them, which may in turn frighten and unsettle the markets.
For example, in May 2010 the claim that the euro was at risk, which was made in countries like Germany to justify the creation of the European Financial Stability Facility, added to market turbulence and may, over time, cause citizens to lose confidence in their currency. These outcomes are mutually reinforcing and can lead to a perverse spiral.