Lack of euro treasury key to crisis and to recovery

THE architects of the euro knew that it was incomplete when they designed it.

The euro had a common central bank but no common treasury. This was unavoidable, because the Maastricht Treaty was meant to bring about a monetary union without a political union.

European authorities were confident, however, that if and when the euro ran into a crisis, they would be able to overcome it. After all, that is how the EU was created, taking one step at a time, knowing full well that additional steps would be required.