The eurozone has not yet collapsed and all countries not in the zone must hope that it will survive. If it did fall apart and new currencies were established, there would be serious threats not only to international trade but also to economic growth and prosperity. Competitive devaluations would exacerbate international tensions and high inflation, which might follow, could lead to the collapse of democratic governments.
Fortunately there is not yet a revolutionary situation in eurozone countries, but there have been waves of protests in those worst affected by austerity.
In Greece, which has suffered a fall in GDP of over 25 percent, there have been riots and rightwing anti-immigrant extremists pose a threat to democracy and the rule of law. In Spain, where unemployment is over 25 percent and one in three young people cannot find work, efforts have been made to organize general strikes. Spanish banks and Spanish regions have real difficulty in covering their liabilities, In Portugal and Italy protests against austerity have been vociferous. In France Francois Hollande, the socialist president elected earlier this year, has been forced to modify his promises to reduce cuts in expenditure.