August is supposed to be a languorous month, but fevered economic worries have dispelled the illusion of ease. Eurozone finance
ministers will meet tomorrow to discuss the single currency, again. The luxurious coffee tables at the summit venue will be sullied by an article authored by global finance ministers, including George Osborne, who insist that the Eurozone take
decisive political action to reassure the markets. The answer to this crisis, the ministers argue, is political integration.
There are indications that the Eurozone agrees: dramatic gestures are required. Last week, the European Commission abandoned numerous sacrosanct policies: freedom of movement across borders was suspended in Spain and the CAP is to be reformed. More importantly, Nicolas Sarkozy has declared his support for Eurobonds, a scheme backed by Italy and several other peripheral countries. Angela Merkel, meanwhile, opposes Eurobonds on grounds that they would destabilise the German economy.
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