Wednesday, 12 September 2012

A Smaller Europe and Theories about Destruction

From what I can see in the news, everybody is claiming their 15 minutes of fame to comment on the fate of the Euro. In an interview yesterday, former German Chancellor Helmut Schmidt and former French President Valéry Giscard d'Estaing stated that the EU Member-States should not have been more than 17 while Greece and other nations should not have been admitted to the Union. In another George Soros, the famous investor, stated that Germany should either lead or flee the Eurozone. 

Two points here guys: maybe accepting so many nations in the EU is not necessarily bad. The EU is supposedly aimed at helping nations improve both socially and economically, by providing a strong Union between them. This would mean supporting countries which are in need, advising and enforcing solutions to them if it is necessary. We agree that maybe Greece was not ready to enter the EU when it was accepted. However, after almost 30 years from the country´s induction to the Union, it the first time that something is being done to promote both social and economic sustainability there. 

What this would mean is that from now on, the EU officials should keep a sharp eye every Member-State in order to avoid a repetition of the current Greek tragedy. Thus, better enforcing and better understanding of common policies, both economic and other, exist now rather than any time in the past. Wise men learn from their mistakes, while even wiser men learn from the mistakes of others. This sovereign crisis is an opportunity for us
to reconsider what we have achieved and reevaluate the policies and ideas behind it. 

In essence, through the Crisis, an opportunity to discover what is wrong in the EU has been awarded to us. I am not pro-Greek. I believe that what they are now experiencing is a direct result of the Kleptocracy system they have promoted over the past 10-20 years. Up to a point, they deserve what they are getting. Nevertheless, what I would agree with is d'Estaing´s comment in that interview that the EU is the recipient of a smear campaign. Faith in Europe should not be lost over whether mistakes have been done in the past. If a man was only capable of doing things right he would conquer the world in a fortnight.

As far as Soros is concerned, I am beginning to doubt the "man who broke the Bank of England"´s rationale and way of thinking. Up to six months ago, he was advocating that Greece should be allowed to bankrupt and then deal with the consequences (just like many Americans had thought, alas, those who are on the outside always have a lot of proposals) and now, seeing that not only what he has predicted was wrong but that things are moving to a better place he has changed his tune. A Union does not really need a leader, however. What it needs is trust and mutual understanding. No nation should lead the EU. Europeans should lead it.

The same holds for "Dr Doom", Nouriel Roubini, who has made a living predicting catastrophes whether they occur or not. Greece has not been destroyed yet and the EU is still good. Paul Samuelson, a Nobel laureate in economics, has stated one of the few things to remember about his profession: Economists have correctly predicted nine of the last five recessions

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