The European project stands at the precipice of collapse, with its fundamental contradictions exposed by accelerating economic deterioration across core member states.
I actually picked up on the eurobonds thing listening to the duran guys. They harp on this a lot, and surprisingly I haven’t seen it discussed much by other people. But the problems are obvious when you start to think about the mechanics of it. In theory nations that haven’t adapted the Euro yet would have more space to maneuver, but in practice I don’t think they’re in a position to take advantage of that. For example, Romania doesn’t really have any industry to speak of, so it’s not like they have exports they can boost by devaluing their currency. These smaller members also tend to be the ones that get EU funds distributed to them, creating a dependence. So, they’re unlikely to try to leave until the gravy train stops.
The real crisis would be if AfD in Germany or RN in France got in power and tried to leave the union. I completely agree that the EU will pull out all the stops to prevent that from happening, but at the same time their power is going to collapse if there is a financial crisis in Eurozone. This is related to the point I note that EU technically is just an administrative organization. It doesn’t have its own funds, and if countries start withholding funds because they need to save their own economies, the whole thing will start to unravel.
I actually picked up on the eurobonds thing listening to the duran guys. They harp on this a lot, and surprisingly I haven’t seen it discussed much by other people. But the problems are obvious when you start to think about the mechanics of it. In theory nations that haven’t adapted the Euro yet would have more space to maneuver, but in practice I don’t think they’re in a position to take advantage of that. For example, Romania doesn’t really have any industry to speak of, so it’s not like they have exports they can boost by devaluing their currency. These smaller members also tend to be the ones that get EU funds distributed to them, creating a dependence. So, they’re unlikely to try to leave until the gravy train stops.
The real crisis would be if AfD in Germany or RN in France got in power and tried to leave the union. I completely agree that the EU will pull out all the stops to prevent that from happening, but at the same time their power is going to collapse if there is a financial crisis in Eurozone. This is related to the point I note that EU technically is just an administrative organization. It doesn’t have its own funds, and if countries start withholding funds because they need to save their own economies, the whole thing will start to unravel.