An American observer comments on French politics.
Nobody disputes that leaving the euro would be very difficult and fraught with peril. Nevertheless, there just aren’t any good alternatives. Without a functioning central bank, the economies of the eurozone countries will continue to decline until they hit bottom and then hopefully rebound somewhat. During the next decade or two, there will be limitless money from the ECB to prop up the bankers and shift the losses from their wild gambling to the middle and working classes (and even the ordinary rich) but nothing for anybody else. Demand will remain stagnant, tax revenues will decline over time and murderous austerity will become a fact of life everywhere, even Germany. So the short to medium term looks bad and without the ability to regulate the worldwide financial casino, Europe’s financial future can be summarized as a decades of economic depression punctuated by periodic crashes similar to that of 2008 but worse. Without its own currency and central bank, France will probably be in a terrible downward spiral for decades. A country without its own currency isn’t really a country. France is at the mercy of whoever controls the ECB. That’s a recipe for disaster, as we are seeing. Why not get out now before France, Spain and Italy experience what Greece is going through or even worse?
@Mitch What you said. Good analysis, especially this: "A country without its own country is not really a country"
OoOps! iPad hiccup. Should read " a country without its own currency is not a country"
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