The Euro crisis: Orderly default or Euro exit?

This paper forms part of a series of working papers on the euro crisis by leading Irish commentators.

In 2012 the euro area will be faced with two broad strategies on which to secure the survival of the single currency: either a restructuring of the debt of euro area states on the periphery, in which measures are adopted to help alleviate their debt burdens; or facilitating the exit of one or more peripheral states from the euro area. This paper by Peadar o Broin, associate research fellow at the Centre for European Policy Studies, analyses the issues.