Leaving eurozone would create many losers

WITH every week that passes it is becoming unfortunately clearer that, under present arrangements, the euro cannot continue.

We have seen political dithering of the worst kind, persistently, with the resulting vacuum in terms of policy being taken up by the European Central Bank. It is to its credit that it has at least stepped into the breach.

However, of all of the European institutions it is probably the least democratic, as independent central banks have to be. Every ECB action, no matter how well-meaning, in the absence of political and therefore democratic-based, approaches further undermines the democratic legitimacy of the euro. In any case, ECB intervention in bond markets has at best only a temporary effect, and it is ultimately up to governments to implement policies that restore fiscal discipline.