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ON EUROPE

Much of the blame for the recent global economic malaise has been firmly laid, somewhat unfairly, at the door of Europe and its institutions.

Policy response has been slow and piecemeal. Decisions have been largely reactive and there is a pervading sense of a lack of leadership, a sense that events have to be taken to the brink before politicians will act. However, other factors, such as slowing Chinese economic growth, have played their part too. Nevertheless, economic momentum in the eurozone remains poor but, despite this, governments have been unable to provide adequate fiscal or monetary stimulus. Domestic political expediency is hampering unified action across the eurozone to protect the single currency and fiscal room f...