The US has a single federal fiscal policy and regulatory oversight.
The surpluses generally are divided and Alabama etc. are subsidized directly, or with things like military bases.
Most US states are too small to have their own currency.
US Monetary Policy also not in the pocket of Cali or NY i.e. the important players, like Euro is in the pocket of Germans.
This is essentially because in order for a currency union to work with different countries, you need a 'hard currency' - not a lot of funny money being printed. Germans are 'extremely scared' of France/Italy/Spain pumping the printing press and filling their economies full of dollars. So the Euro is a fairly hard currency, and when they do more speculative things, Germany has to be ok with it. It just so happens that Germany's economy is more naturally suited to this, while the others are not. So they win big.
The US Fed has been printing a lot of stimulus, which ideally should help the places that need it more, a little more, but in practice that might not be true.
I would argue in the age of digitization, it might be possible for European countries to go back to sovereign currencies and facilitate efficient transfer through exchanges with 0 fees, that kind of stuff.
Sweden and Denmark (Finland/UK/Switzerland) have their own currencies and they do just fine. You could still have the Euro for business transactions.
Nations that have gone bankrupt generally do so because they have to issue debt in a currency they don't control. Portugal does not really control the Euro, which means if there's a crisis, they have to beg France/Germany to help or change Euro policies. Not good.
The surpluses generally are divided and Alabama etc. are subsidized directly, or with things like military bases.
Most US states are too small to have their own currency.
US Monetary Policy also not in the pocket of Cali or NY i.e. the important players, like Euro is in the pocket of Germans.
This is essentially because in order for a currency union to work with different countries, you need a 'hard currency' - not a lot of funny money being printed. Germans are 'extremely scared' of France/Italy/Spain pumping the printing press and filling their economies full of dollars. So the Euro is a fairly hard currency, and when they do more speculative things, Germany has to be ok with it. It just so happens that Germany's economy is more naturally suited to this, while the others are not. So they win big.
The US Fed has been printing a lot of stimulus, which ideally should help the places that need it more, a little more, but in practice that might not be true.
I would argue in the age of digitization, it might be possible for European countries to go back to sovereign currencies and facilitate efficient transfer through exchanges with 0 fees, that kind of stuff.
Sweden and Denmark (Finland/UK/Switzerland) have their own currencies and they do just fine. You could still have the Euro for business transactions.
Nations that have gone bankrupt generally do so because they have to issue debt in a currency they don't control. Portugal does not really control the Euro, which means if there's a crisis, they have to beg France/Germany to help or change Euro policies. Not good.