Time for Germany to Pay the Piper
As I’ve been unsuccessfully arguing since 1992, as a grad student at Columbia University when professor Robert Mundell, the “father of the Euro”, was conducting his work on “optimal currency areas”…the Eurozone is NOT an optimal currency area and never has been! I remember being blasted for my position on an Econ final by an Irish professor blinded by Europhoria.
Finally, after 23 years of ignoring reality, the Greek crisis has brought the issue front and center, like a festering, now life-threatening wound.
This is not about Greece…it’s about the fundamentally flawed Eurozone experiment. Greece is not the only “lesser-developed” Eurozone country hamstrung by the currency union.
I won’t go through the economics again…if you want to see that, refer to earlier commentaries.
The Eurozone was created primarily to benefit German exporters, and Germany has benefitted greatly from the system. It’s now time for Germany to pay the piper. Either bailout Greece and keep your captive PIIGS export market intact, or allow a North/South Euro split…the more natural state of affairs.
SUSTAINABLE GREECE / EUROZONE SOLUTION:
PIIGS, not just Greece, should exit the Euro asap and create a Southern Euro currency union, w/ France as anchor member of the Southern Eurozone and Germany anchoring the Northern Euro.
Expect a quick economic explosion in Southern Europe, as a devalued currency attracts global investment and tourism. France especially, would reap an economic windfall previously dominated by the Germans.
PIIGS sovereignty, self-determination, and higher economic growth potential. Back to the drachma, peseta, lira, franc, etc…
Let’s see if the French wake up…
9 Jul 2015
Iran Deal Warning
An Iranian Shiite theocracy is, and will always be, a significant national security threat to the US, the West, and every non-Shiite society in the Middle East / North Africa. One of their key, long term stated objectives is to wipe the US (the debauched, sinful, “Great Satan”) from the face of the earth by any and all means possible. Obama’s naïve deal attempts to insert Iran into the role of a rational, regional peacekeeper counterweight vs. ISIS and militant Sunni’s in the Middle East. Theocracies, and nations driven by Islam, unhinged from the rational thought process / M.A.D. which underpinned peaceful coexistence in the Cold War, will start a nuclear arms race and nuclear war will soon follow. This deal is naïve ivory tower arrogance at its finest, completely disconnected from the reality of “Twelfth Imam / apocalyptic thinking” that drives these Iranian leaders at their core. Iran’s leaders have publicly stated their intention to facilitate the final battle of Armageddon. Quoting Iran’s supreme leader Ayatollah Ali Khamenei in 2012: “We must study and remind ourselves of the end of times and Imam Mahdi’s era…We must prepare the environment for the coming so that the great leader will come.”. Bueller?? Bueller?? Hello?? Obama, following the Neocons, has dismantled the ugly but somewhat effective realpolitik solution that has kept militant Islam at bay for centuries. A dangerous genie is about to be let out of the bottle, and the world is about to pay an extraordinary price for this ivory tower insanity.
As I’ve said it would over the years on this blog, the Middle East / North Africa is exploding into chaos as a direct result of naïve US decisions to pursue dismantling of the old system, albeit ugly, broken, and hypocritical as it was. George W. Bush tipped the first domino, and Barack H. Obama wiped the table clean. I predict every generation of Americans in the future will deeply regret that we did this…that our arrogance brought us to this depth of foolish thinking. We cannot forcefully shape the world into our own image, and it is foolish to bankrupt the country, destabilize the world, and alienate ourselves from most countries of the earth in pursuit of this psychopathic folly. Would God want the US to shape the world into its image? If we’re on the wrong side of that answer, watch out.
Winston Churchill to Neville Chamberlain: “You were given the choice between war and dishonor. You chose dishonor and you will have war.” Substitute “we” for “you”.
7 Apr 2015
No matter who you are, or where you live, evil will oppose the light of truth and your world will be a darker place with no Snowdens; therefore I #standwithsnowden @couragefound.org
12 June 2014