The United Kingdom today declared to be in recession again. The Dutch are facing losing their triple A status. Francois Hollande threatens to renegotiate the EU fiscal pact. German makes noises about not changing pacts again. The EU is in turmoil again……
Is this the beginning of the end of the Euro?
European politicians seem to be unable to keep their finances in check or bring order in their financial chaos. They were very good at promising heaven in order to be voted into power, but not the chickens have come home to roost, they’re unable to face reality.
The reality is that a country can not overspend without one day having to pay the bill. We all know that from our personal experience with salaries, bills, etc. Very basic stuff, so why can’t politicians grasp this?
Politicians only look towards the next term, so whatever their actions, they most likely won’t see the effects of their actions. Take the former prime minister of the United Kingdom, Tony Blair. He racked up such a deficit in the country’s finances that the UK went nearly bankrupt. Before the crash occurred he jumped ship and now washes his hands off any responsibility, raking in millions in advisory fees. Unlike most former politicians, he keeps a very low profile. Wonder why?
There will be many other politicians who used their countries finances as a way to fill their own coffers, but wasn’t the EU meant to put a stop to that? Was Brussels not meant to control countries overspending?
The European Union will not survive unless countries such as France and Germany are prevented from flouting the rules they imposed on others. The 3% budget rule was lifted when these two got a bit of headwind and were pushed over the limit. Europe needs to have an independent financial body and legal system that is binding in every country, not a system that can be abused by the big boys.
A federal Europe would be the best solution. European nations will have to swallow their national pride and hand over more control to Brussels. But this will only work if there is true democracy in Brussels. A Greek should be able to vote for a Brit and a Pole should be able to vote for a Portuguese. There should not be any ‘local’ boundaries anymore when it comes to the European parliament. Parliament should then be able to hold the European Commission to account, like in any other normal parliament.
The way Europe is currently set up, parliament will only be a club of squabbling, overpaid minnows, who have nothing to do but …. squabbling. Real, unaccontable power will remain in the hands of the European heads of states, who were elected to run their own countries, not Europe! A real recipe for disaster as is now apparent with the imminent disintegration of Europe.
So, what’s next? Civil war in Europe? Nothing is too far fetched!