The Eurozone comprises a ‘’ comprises a currency and a central bank without a government’’ said Paul Mason in this New Statesman article in 2010. When I mentioned it to someone, they said ‘yeah, and no reserve’.
We are now way beyond the ‘door marked austerity’. In the UK, the political consensus demanding completely unnecessary austerity was consolidated extraordinarily easily in Westminster the year that article was written, and two whole years after RBS telephoned Alistair Darling to tell him it was over. A political media establishment of bumbling nasty PR boys have laid waste to our economy and may not be pretending to be utterly gobsmacked that entirely expected effects occurred.
In Europe we are seeing nothing less than a struggle to define a nation state in a global economy which will not run the way it has for over half a century, as familiar crisis threaten to burden Europe with the type of debt which upheld US hegemony for not very long really.
They are in a struggle to rectify the flaws in their original union, while dealing with the crisis those flaws exposed them to. There needs to a democratic check and balance to the power of finance and those lines have to be drawn in response to a crisis resulting from its. Angela Merkel’s Germany, is the only thing giving ‘democratic’ legitimacy to discredited austerity.
Democratic recovery does not look likely in a US run by Wall Street and everyone is grossly underestimating the vulnerability of the US economy, ,who are desperate we see Europe as our biggest problem and London as our biggest risk. Austerity a net trawling from Wall Street on it’s last haul. I thought the Jamie Dimon tribute hearing was a lovely break from Eurogeddon …