The United States Of Europe: A Proposed “Economic Government” Would Integrate Europe To A Degree Not Seen Since The Roman Empire
Are you ready for “The United States Of Europe”? The integration of Europe is about to go to another level. As the European debt crisis deepens, there are cries all over the EU for full economic integration in Europe. On Wednesday, French President Nicolas Sarkozy and German Chancellor Angela Merkel sent a letter to European Council President Herman Van Rompuy which stated that they want a new “economic government” for Europe to be formed. According to the letter, Sarkozy and Merkel want the leaders of the eurozone countries to “elect” a president for the new “economic government”. The idea would be that the president would hold twice-yearly summits to address the debt problems that Europe is facing right now. But many pro-EU critics are already howling that Sarkozy and Merkel have not gone nearly far enough. A whole lot of “experts” in Europe are proclaiming that without full economic integration and the creation of “eurobonds”, Europe is doomed. Jennifer McKeown, an economist for Capital Economics, put it this way when asked what would happen if eurobonds are not created fairly soon: “The likely outcome is the eurozone ceases to exist”.
This is often how huge changes occur in our world today. First a huge problem is created, then there is a negative reaction and then a solution is presented to us. Right now in Europe, the problem is the sovereign debt crisis. We are being told that the only way that the eurozone can survive is if all of the countries agree to much deeper economic integration.
In an article for Seeking Alpha, Cliff Wachtel broke down the choices facing the people of Europe in the following manner….
The continued existence of the EZ in its current form in exchange for vastly limited sovereignty. In particular, with limited financial autonomy, with some kind of centralized budget approval and or spending veto power over individual states.
Continued full sovereignty in exchange for a dissolved or radically altered EZ, probably one contracted down to member states with similar needs and reliable fiscal management.
Some choice, eh?