The euro still needs fixing

THE BIRTHEU of the euro on January 1st 1999 was at once unifying and divisive. It united Europe’s leaders, who hailed a new era of tighter integration, easier trade and faster growth, thinking they were building a currency to rival the dollar. But the euro divided economists, some of whom warned that binding Europe’s disparate economies to a single monetary policy was an act of historic folly. They preferred a comparison with emerging markets, whose dependence on distant central banks fosters frequent crises. Milton Friedman predicted that a downturn in the global economy could pull the new currency apart.For years the sovereign-debt crisis that engulfed Europe after 2010 seemed close to fulfilling Friedman’s prediction. But the euro did not collapse. It stumbled on, often thanks to last-minute fixes by leaders who, though deeply divided, showed a steely commitment to saving the single currency. Public support for the project remains strong. Over three in five euro-zone residents say the single currency is good for their country. Three-quarters say it is good for the .