Europe Must Not Die!
Good Morning to the New Normal.
Italy has voted to remain in a political deadlock and to protest against the ugly truth of necessary reforms. Austria and the shatters of the European old guard are celebrating the defeat of the Austrian (Far-)Right with a convincing (?) 53-47 score, while the country itself remains hugely divided. In the mean-time the RealDonald has decided to save on the US diplomatic corps and to solve all urgent international matters by President-elect Tweets. But no worry, if things turn sour, the European Central Bank is ready to drown us in ever more money and to punish any type of cash hoarding or positive bank balances.
Stock and Currency markets take account of this new normalcy, major stock indices and the Euro rise. One is inclined to keep calm and think “So What?”. In reality we are witnessing the rapid dissolution of the European Union, and if politicians do not find fast any common and stable ground to put the European institutions onto, the noble-prize of peace awarded project will soon be history, blown away in an ugly, and un-controlled way. Of course there is rightfully some “Angst” going around, but things might in the end turn out much better than what they look like, and this is perhaps what financial markets already predict. An old wisdom is saying, “You have to face reality, before you can shape the future”.
Political leaders in line with an un-critical media/press (in Europe often still state financed), both in the US and in Europe, have lived in denial over major realities for a very long time and branded everybody either populist or extremist, who was naming these realities. However, the broader population has a very sensitive feeling for these realities, and is turning more and more to the people who name these realities, although in most cases they have no answers to these realities, too. Let us share at least some of these Lord Voldemort type of realities (“You Know Which realities”), that have been systematically denied over the last 10-15 years:
- Some countries cannot survive in the Euro, their countries suffer. Italy is the most prominent example.
- Europeans do not want more economic or political integration, they want to stay in charge of their own countries. There is no wish for a United States of Europe.
- Greece without other tax payers bleeding, is bankrupt.
- The economic spread is rising and fast and the chill factor is enormous: poor and rich people are not paying taxes at all (see football leak), our Governments are accepting it. Middle income clusters are strangled and cannot build any long-term wealth.
- Pensions are not safe at all. When generations of people live until 90years+ and young people do not reproduce, we cannot go into retirement with 60-65 years. We need to increase age of entry into retirement and decrease pension payments, and drastically, or: create other source of tax income to pay for it.
- The Central Banks have created the mother of all bubbles. They have no idea how to come back to normal interest rates and state financing.
- We have too many immigrants and we do not want more. We will not be able to integrate the immigrants smoothly into our labor markets.
- Interventionism and change of regime activities for the sake of democracy and human rights have led to a complete Middle East chaos, instability and rise of global terrorism.
- Transgender toilets and adoption rights for gay couples are not burning issues for most of the people.
- Whoever tells a truth, is not a populist or an extremist.
Once the ugly truths are digested and acknowledged, we will realize that the future is bright. First, Europe is much more than the European Union, and the friendship and respect and interrelations between the countries are enormous and lasting, and that vast diversity is the real asset of the continent. Second, there is a real chance, that we re-discuss the areas in which more integration is needed (like defense, fight of terrorism, border protection, climate control), and the areas where less integration can do a lot of good (daily life, monetary policy, taxation).
Let us not forget, that Europe is not the European Union, it is the European idea of peace, friendship and diversity, stability of borders and human rights that make up Europe.