Democracy versus the eurozone

But it should now be apparent to everyone that the eurozone was designed with a very different institutional arrangement in mind. Indeed, that design gap has turned out to be a major source of the monetary union's current crisis.

Last October, Greece's then-prime minister, George Papandreou, proposed a popular referendum on the second rescue package that had just been agreed at the EU's summit in Brussels. He was quickly told off by German Chancellor Angela Merkel and former French president Nicolas Sarkozy, and Greeks never voted on it. But, less than a year later, the referendum is de facto taking place anyway. In a union of democracies, it is impossible to force sovereign countries to adhere to rules if their citizens do not accept them anymore.