Thursday, 17 May 2012

Ever closer union

The promoters of the Common Market always saw the endgame as being the formation of a European political union.  The creation of the eurozone was a staging post towards this goal.  Unfortunately, the cart was put before the horse: a common currency cannot work without fiscal and political union. The ECB is a central bank in name only.  Now the German Finance Minister is calling for an elected EU president and the creation of a political union.  One can understand his logic, without union the eurozone will not work.  Germany has set against any form of capital transfers between states or eurobonds, but would be amenable to such provision should a eurostate be created.

However, would the citizens of European states be amenable to such a development?


Wolfgang Schäuble, Germany’s finance minister, called separately for a decisive move towards political union in the EU in the wake of the eurozone crisis, with a directly elected president in Brussels and greater common economic and financial policy.
“We must create a political union now,” he said in a pro-European speech in Aachen, where he was awarded the annual Charlemagne prize.
Mr Schäuble said it would not mean the creation of a “United States of Europe” or a European superstate.

No comments:

Post a Comment