Is the euro headed for extinction?

Even after a $1 trillion bailout, Europe's unified currency has continued to plunge in value. Could the euro go the way of the dodo bird?

Euro
(Image credit: Wikicommons)

The euro is facing its first major crisis. Even after a 750 billion euro bailout for Greece and other troubled euro zone members, the currency has fallen to its lowest level against the dollar in four years. Many analysts say the euro has much further to fall — with some hardcore pessimists predicting it could disappear entirely. Does the euro really face extinction? (Watch an Al Jazeera report about the euro's collapse)

No, this is just a healthy correction: The euro has long been overvalued against the dollar, say Paul Betts and Peter Smith in the Financial Times, and a weaker currency could actually help save the eurozone economy. Not only will it "bring down European government debt ratios," it will also "help exporters of goods and services" and could even "stem the steady trend of industrial groups" moving offshore to "lower cost countries."

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