In reality, the United States is more financially fragile than the euro zone

It is often believed that the euro zone is more fragile than the United States, which helps explain the lower valuation of financial assets in the euro zone. But in reality, the United States is more financially fragile than the euro zone, since: A deterioration in the credit market in the United States leads to a marked deterioration in the economy: funding problems for companies, end of share buybacks, leading to a falling equity market, and a decline in domestic demand due to wealth effects linked to the value of equities; The United States has a chronic external deficit and growing external debt, while the euro zone has an external surplus; a decline in the dollar's reserve currency role would therefore have a catastrophic impact on the US economy; The euro will not break up since the euro-zone countries have massive gross external debt, mainly in euros.