Maastricht Treaty revisions needed?

[kandrathe]

With the impending potential implosion of one after another of EU countries, following Greece's lead, is it time to revisit the Maastricht Treaty to plug the holes, or rethink how common currency works? For how long will the more productive nations be able or willing to carry the ones that spend more than they produce? What happens in Spain, Portugal, and Ireland now? Germany and Italy are facing recession, and others will follow (including the US getting their double dip).

According to CNN, "Greece is already in major breach of eurozone rules on deficit management and with the financial markets betting the country will default on its debts, this reflects badly on the credibility of the euro. There are also fears that financial doubts will infect other nations at the low end of Europe's economic scale, with Portugal and the Republic of Ireland coming under scrutiny. If Europe needs to resort to rescue packages involving bodies such as the International Monetary Fund, this would further damage the euro's reputation and could lead to a substantial fall against other key currencies."

Can you share a common currency without having common practices in how other countries run their finances? What penalties should exist for a nation like Greece who breaks the rules, and juggles the books to hide their cheating or mismanagement? Nay sayers, like Ambrose Evans-Pritchard, look pretty prescient about now.