I also stressed the particularly important role of solid public ﬁnances in the context of the euro area, as its institutional architecture is quite different from that of countries that issue their own currency, such as the US. [31]  4 Reforms in Europe Indeed, the Member States of the euro area agreed to have a common currency.
But when it comes to ﬁscal and economic policy, decision-making continues to reside largely with the national governments. Such an asymmetric setup may create additional incentives to take on debt, particularly if a Member State has the prospect of shifting the cost of its debt, at least in part, to its peers or a higher level.