It will take some time to enter the EU, and thereafter the eurozone, so we do not have an alternative. The central bank will not allow excessive daily fluctuations either way, but the rate is being increasingly determined by the market!
In the US, such risk sharing has been shown to be far more important than federal budget transfers. Some final reflections Talking about flaws in EMU’s design is a bit reductive. It certainly doesn’t capture the depth of the “repair work” going on in Europe and the euro area in particular.