From Hayek's Point of View, the Economic and Monetary Union (EMU) Focused Too Much on Macroeconomics as Developed or Understood by the Keynesians

From Hayek’s point of view we can say that the EMU [Economic and Monetary Union] focused too much on ‘‘macroeconomics’’ as developed or understood by the Keynesians. The interpreters of Keynes, and perhaps Keynes himself, believed that an all-powerful central authority can perform fiscal and monetary policy to increase employment and income at practically no cost. Hayek opposed that view on microeconomic grounds, based on the subtle operations of credit expansion and monetary policy through the channels of the economy. In a sense, the Keynesian arguments call for a ‘‘quick and dirty’’ dealing with the recession whereas the more subtle Hayekian arguments deal with the causes of the depression which can be traced back to credit expansion and monetary policy before the recession. Of course, the all-powerful central authority of Keynes materializes in the modern Bureaucracy of the EU and the roots of the Keynesian idea, in that respect, can be traced back to the Soviet paradigm of the early 1920s.

--Efthymios G. Tsionas, The Euro and International Financial Stability, Financial and Monetary Policy Studies 37 (Cham, CH: Springer International Publishing, 2014), 47.