The Euro Zone of Denial Hits the Wall

The Eurozone's efforts to fence in Greece's debt problems have consistently lagged events. Last week's summit -- the latest in a long series -- addresses many key issues, but skeptics say few critical details were resolved and potential pitfalls still lie immediately ahead. The agreement also falls short of addressing longer-term root issues -- underlying trade imbalances and an ultimate "backstop" role for the European Central Bank, some critics argue.Another big worry: Creditors could lose all confidence in Europe's ability to fix these problems, creating a self-fulfilling prophecy that leads to a collapse in Europe's banking system and other parts of the global economy, including U.S. financial markets. So, does the summit offer a sustainable path to stability or another "muddle-through" solution, as many expect?

📂 Finance & Accounting