What About Europe?

This is the latest blog post from Prof. Paul Krugman -- he is also dismayed by events in Europe -- please follow link to original
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What About Europe?

I defer to nobody in my dismay and disgust over the debt ceiling disaster. America really is a mess.

But I still wonder, looking at news coverage, why our disaster is dominating the headlines to the apparent exclusion of European woes. It’s there if you look for it carefully, and especially if you’re keeping track of the market spreads, but a casual reader might not even realize that the whole eurozone thing is coming apart at the seams.

I really don’t know how this is going to play out; Italy and Spain are too big for extend and pretend, and they’re also too big to save. But this is huge, and just as worrying in its own way as the US crisis of governance.