A continuous manifold of inequivalent spin configuration minimize the energ
y of the square planar rotator model when the spins are coupled by dipolar
interactions. This continuous degeneracy is accidental in nature and causes
a soft mode at q=(2 pi/a)(1/2,1/2) in the simple spin-wave spectrum. Conse
quently no long-range order is obtained in simple spin-wave approximation i
n contrast with the expectation based on Monte Carlo simulation. The soluti
on of the puzzle is found going beyond the harmonic approximation. Indeed a
careful treatment of the magnon-magnon interaction replaces the accidental
soft mode by a temperature-dependent gap so that long-range order is resto
red. Satisfactory agreement between renormalized spin-wave theory and Monte
Carlo simulation is obtained in the low-temperature regime. Critical prope
rties investigated by finite size scaling of Monte Carlo data differ from b
oth mean-field and two-dimensional Ising model critical behavior.