Money quote(s):
"The best chance for some sort of orderly outcome is to divide the Eurozone into two new currencies (Euro 1 - based on the deep logic of the old Hanseatic League which did well for 402 years! - and Euro 2), letting those countries which need a devaluation boost join Euro 2. If Germany heads Euro 1 and France Euro 2, the Franco-German axis can have a fine new job."
It reminds me of the Cold War story of some national leader or another saying he liked Germany so much he wanted two of them.
"What do we Europeans basically want? To get richer, live nicely and not fight.
There is no reason why this should not be achieved through a network of several smaller regional European Unions with customised levels of integration and mutually reinforcing basic trading and security relationships. This arrangement would also make further enlargement much easier - Turkey might become the core of a new Regional Union.
All the expensive and annoying central bureaucracy could be scaled back or even abolished - farewell, European Parliament. Legitimacy and public accountability within each Regional Union would soar, as the governing arrangements would be much less remote.
Above all such a scheme would not be brittle, subject to horrible institutional contortions as one sprawling Union tries to accommodate quite different needs, policies and cultures."