Euro-area leaders announced yet another agreement with Greece in mid-July. However, the survival of the euro area has never been about the fate of Greece. Instead, it is whether the Europeans will implement the reforms necessary to keep the euro area together.
All this has raised enormously the political stakes involved in sustaining the eurozone and European economic advancement. How can the needed sustained political heavy-lifting be accomplished if members no longer share a vision of political union in the long term?
EMU leaders are running out of time in their efforts to save the euro. Only decisive action can work -- and there still would be no guarantee of success. In the United States, it took a Civil War to settle that monetary union once and for all.
I am currently reminded, in the these times of sustained concern about the Euro, that I used to say "It's an unstable equilibrium." It is like balancing a marble on top of an upside down bowl; once it starts to move it accelerates downward.