Archive for October 19th, 2010

Tuesday, October 19, 2010

“Consensus” – but that would only be France and Germany

French President Nicolas Sarkozy and German Chancellor Angela Merkel announced on Monday their consensus on the necessity to impose sanctions against eurozone members that violate the European safe standard of budget deficit,

writes People’s Daily Online, and adds, three paragraphs on:

The European Council “should take brief and efficient procedures” and “should play a central role in making the sanctions in place rapidly,” said the joint declaration.

That’s exactly the problem. This consensus between Merkel (who originally advocated a much more effective approach) and Sarkozy means that there will be no quasi-automatic sanctions against persistent [fiscal] transgressions of EU member states. The European Council which will have to “take brief and efficient pr0cedures” has never agreed to sanctions in the past, according to a Tagesschau correspondent last night, and a commenter on the BBC’s website on June 8 this year.

What Sarkozy and Merkel came up with on Monday may be a consensus, but at Sarkozy’s terms. Sure – French-German cooperation is worth some compromise – but this bilateral agreement goes against the interests of all member states which act in a fiscally responsible way – and against the interests of all who share the Euro as a currency.

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