Requantizing Europe

An interesting discussion at Martin Wolf's site. It is this tendency toward a production line that haunts Europe.

The problem is universal in information theory. If there is a Europe, then there are likely seven things Europeans react to about Europe. But there are about nine things Europe wants to say. The production line solves the mismatch, allowing excess information to be aggregated, producing the same pleasant outcome with lower transaction rates and larger lot sizes. The round off error tends to roll around the peripheral countries in normal times.