FT: The European Union in deep trouble

Discussion in 'Politics & Religion' started by sar420, Apr 17, 2011.

  1. #1
    April 17, 2011 8:19 pm by Gideon Rachman

    What do the following stories have in common?

    1. France has started to block trains from Italy to intercept illegal migrants from North Africa.

    2. A Eurosceptic party has made big gains in the Finnish general election.

    3. Political squabbling in Portugal is raising doubt about the country’s ability to negotiate a bail-out.

    4. There are growing demands in Greece for the country to default on its debts.

    Answer: These are all symptoms of the same problem. The political understandings that underpin the EU are beginning to unravel.

    The Franco-Italian argument is the only one that doesn’t relate directly to the European single currency. Instead, it strikes directly at another of the main manifestations of European unity – the free movement of people between European countries and, in particular, within the Schengen border-free area. The Italians argue that other Europeans are giving them precious little help in dealing with the flow of migrants from North Africa. The French feel that the Italians are deliberately directing French-speaking immigrants from Tunisia northwards. Actually, both sides are right.

    Read more...

    What do you think? Will the EU disintegrate?
     
    sar420, Apr 17, 2011 IP
  2. ApocalypseXL

    ApocalypseXL Notable Member

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    #2
    I hope not . I've got to collect a whole crate of Sauvignon Blanc in 2012 from a liberal neighbor I've made with back in 2009 on this subject .
     
    Last edited: Apr 17, 2011
    ApocalypseXL, Apr 17, 2011 IP
  3. Breeze Wood

    Breeze Wood Peon

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    #3


    They would not have far to fall if the Union does fail, may be a reason for the present bickering - to easy for each to chose their own destiny.

    Without outside pressure it is bound to continue to weaken....better for the US: may be what will keep it together.
     
    Breeze Wood, Apr 17, 2011 IP
  4. sar420

    sar420 Notable Member

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    #4
    Hmm you're right. But I guess that single currency system would create problems if they were to fall
     
    sar420, Apr 17, 2011 IP
  5. Provenzano

    Provenzano Active Member

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    #5
    Countries with bad debt-ratios should be excluded from the Euro monetary system, such as Greece, Portugal, Ireland, Spain, Italy that are known as PIIGS. There isnt any sensible point in keeping these countries included. Because they will be threating the Euro system, at every turn, topics about these countries going-worse fiscal policies come at the top of agenda. This is bringing into disrepute on Euro, the second major reserve currency in the world, as well as they are threatening the global system. For all these reasons, other EU countries with well-supported economic structures, should provide the protection of value of Euro currency.
     
    Provenzano, Apr 24, 2011 IP
  6. JamesColin

    JamesColin Prominent Member

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    #6
    I think people from europe are very slow to react. They could have reacted at least 20 years ago against this stupid EU stupidity, european countries don't even share the same language.
     
    JamesColin, Apr 24, 2011 IP
  7. sar420

    sar420 Notable Member

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    #7
    Interesting point. What do you think about Malta, Bulgaria, Romania etc. Should they be part of EU?

    I think the common currency thing took it a tad too far
     
    sar420, Apr 24, 2011 IP
  8. Obamanation

    Obamanation Well-Known Member

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    #8
    Regarding the currency, I can only compare to the US, where certain states are starting to look more and more likely to default on their sovereign debts. In California, we are closing public schools in order to continue to pay govt. employee pensions. Outside of the federal debt, I have a hard time seeing how a state like California going BK would not be extremely damaging to the currency as a whole, yet the US could never open the conversation as to how to dump us from the Union.

    The euro seems more like a pre-cursor to a one world currency, joining countries that have large cultural and language differences. My first inclination, as a total layman to the issues involved, would be to bundle countries into classes in a similar way we bundle investments by risk rating. Countries that maintain a certain level of immigration and debt control fall into a grouping that allows free and open borders and share a currency. Countries with higher levels of corruption, bad fiscal policy, and poor immigration controls fall into another grouping. Countries of the second group should most definitely not have open borders with those of the first group, and probably should not even have open borders with each other. Why should crap ass governments be allowed to export their poverty?
     
    Obamanation, Apr 25, 2011 IP
  9. sar420

    sar420 Notable Member

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    #9
    Obamanation, I understand where you're getting to. The reason I said this: "I think the common currency thing took it a tad too far "

    was because there are vast differences of income and prosperity between some EU countries. Poland or Romania are nowhere near the standards of Germany or Switzerland. When I was studying in the UK I realized that immigrants from Poland were despised quite a lot, because they were coming down in huge numbers taking advantage of the open borders for EU countries and most of them never bothered to learn English. You're right, only those countries with similar standards of living and wealth should have such arrangements.

    The one world currency is an ideal scenario but way too far off!
     
    sar420, Apr 25, 2011 IP