A Nobel Laureate speaks out.

In fact, the most recent Nobel Laureate in economics speaks out:

How does Spain get out of this? No devaluation is possible — and no, I don’t think exiting the euro is feasible. So it has to do it with relative deflation, hard enough in normal times, when at least costs and prices elsewhere are rising a few percent a year. In the face of a depressed and possibly deflationary European economy … this is going to be ugly.

Because Spain is in the euro they face years, if not decades, of grinding deflation.

That’s what we’ve avoided by not joining the euro ourselves. Worth remembering.