Italians voice discontent with euro
While new economic figures showing a decline in Italy’s service sector even as the sector grew in the wider eurozone were released Friday, Roberto Maroni, Italy’s welfare minister called for a vote to bring back the lira as Italy’s currency.
He did not call for his country to abandon the euro altogether, but instead for dual circulation of the two currencies. He referred to the example of Britain to justify his idea. Mr. Maroni said that the euro and those who support it are at fault in the weak economic conditions Italy is currently suffering, echoing the Italian prime minister’s accusations that the high exchange rate of the euro in relation to the dollar is to blame for Italy’s recession.
However, economists are of the opinion that Italy’s economy would only suffer further damage should the country abandon the euro because interest payments on its national debt would skyrocket, canceling out any advantage that would be given by a competitive devaluation. Mr. Maroni’s statements do not represent government policy, but they do point out issues that the European Union will be dealing with now that both France and the Netherlands have voted down the EU constitution.

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