THE DENOUEMENT OF THE DEBT CRISIS
It became increasingly clear last week how the debt crisis will end - and it is not going to be comfortable.
The latest phony solution is for the large, "responsible" countries to demand more fiscal responsibility from the smaller and purportedly "less responsible" countries. In Europe, Germany's Angela Merkel and France's Nicolas Sarkozy are demanding that other European states give up some of their sovereignty and agree to strict limits on their deficit spending.
President Obama and Treasury Secretary Timothy F. Geithner, as well as British Prime Minister David Cameron, have been lecturing the European Union about being more fiscally responsible. How odd and hypocritical, based on their own behavior.
The simple fact is that most democracies are unable to police their own fiscal behavior, let alone the behavior of other countries. As a result, the denouement of the debt crisis is upon us. Here is what we are facing.
