THE inter-war French foreign minister Georges Bonnet is little remembered. But there was one remark of his that echoes through the ages. When discussing the gold standard, he asked
Who would be prepared to lend with the fear of being paid in depreciated currencies always before his eyes?
It is a good question. We often hear the idea that Britain and America are in a privileged position, relative to the euro-zone nations. The Anglo-Saxons can borrow in their own currencies and can let their currencies depreciate in order to help their exporters.
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