Failed Election of Euro Passive Political Correctness


By JINewsNet
May 9, 2010
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Here we are-two days after the election with no real leadership and with world financial markets teetering in the most volatile way.

As a relatively minor story in today’s media, we are told that even though we are not in the Euro, Britain must pay several Billion pounds into a new European fund to prop up countries that are in the Euro.

When is Cameron going to act like a man and realise that the nouveau Conservative policy of political correctness on European integration is what has actually stopped the Conservatives getting that all important overall majority.

The Conservatives should not be wasting time talking about Proportional Representation and doing deals with the anti-zionist Liberals. Cameron should act resolutely and should be preparing a Queens Speech that proposes that we should give up our Euro-enthusiast legal obligations under the Lisbon Treaty so as to prevent the UK Taxpayer from being even more in debt to support this failed currency and the failed European federal model.

I suspect that this would be voted down by Labour and Libdems –which will then mean we have another election. Cameron will be free to go to the Election with a less politically correct Euro passive agenda . The Conservatives have it within their grasp to step back from this failed European project NOW and look after British and anglo-jewish/israel interests.

http://www.jinewsnet.com -the “New Voice for pro-Jewish and pro-Israel points of view”, has been established as a platform to encourage pro-active comment in support of Jewish Communities in the Diaspora and the State of Israel.

COMMENTS

Jonathan Hoffman

Sun, 05/09/2010 - 13:19

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No it is not the case that the UK "must" pay into any "euro stabilisation fund". Under the Treaty, contributing to such a fund cannot be mandatory, just as membership of the euro itself is not mandatory for all countries (eg the UK which has an opt-out).

On the other hand the Conservatives cannot renege on any Treaty obligations since a Treaty is an obligation which binds governments - of whatever political complexion - for all time.


JINewsNet

Sun, 05/09/2010 - 13:36

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Jonathan

this is an extract from the Telegraph

“When the markets reopen Monday we will have in place a mechanism to defend the euro,” said President Sarkozy yesterday. “This is a full-scale mobilisation.”
Euro-zone leaders are attempting to get round objections from countries such as Britain by invoking Article 122 of the Lisbon Treaty, intended to enable a collective response to natural disasters. This does not need unanimous agreement.
By doing so, Mr Sarkozy has ensured a speedy confrontation with a new British prime minister and other leaders of non-euro currency countries. All 27 EU finance ministers must be present, but because decision will be taken by qualified majority vote, the 16 euro zone leaders can ensure its passage.
British exposure to liabilities created by a bail-out under the scheme would amount to around 10 per cent of the total loan. If a country failed to repay, the cost to Britain would be ¤10 billion (£8.6 billion) for every ¤100 billion on which it defaulted."

My point is-we should not have to shore up the Euro at all-we are not in it.

All this will do is make the pound even weaker-driving up petrol prices even more.
The UK has gone too far with the Lisbon treaty, and the Conservatives have suffered as a result. To regain an overall majority they must react now.


Jonathan Hoffman

Sun, 05/09/2010 - 14:07

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To invoke Article 22 shows how desperate the Eurozone members are. Article 22 was meant to cover natural didaters such as an earthquake. You will have heard Alastair Darling today saying that the UK will not back any "euro stabilisation fund".

The fact is that the convergence criteria for eurozone entry were in practice fudged. That let in Greece and other economies which had not converged. If the eurozone was a full political union such as the USA there would not be a problem. But it is a halfway house. It is a currency area of sovereign states.

The Greece problem must be addressed by the eurozone and the IMF. The UK - and other EU members not in the euro area ( ..) - have no obligation to step in.

The following EU countries are not in the eurozone: Bulgaria, the Czech Republic, Denmark, Estonia, Hungary, Latvia, Lithuania, Poland, Romania, Sweden, United Kingdom.

The countries that joined the EU after 2004 (all the above except the UK, Denmark and Sweden) have an obligation to join the euro when their economies have converged. The UK, Denmark and Sweden can stay out indefinitely.


JINewsNet

Sun, 05/09/2010 - 14:19

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I agree they are completely desperate.

I believe that we are seeing the beginning of the end of the Euro.


Jonathan Hoffman

Sun, 05/09/2010 - 14:43

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"...the beginning of the end of the Euro"

It's hard to argue against that view. And I speak as a big supporter of the concept of the euro when it was first planned. A 'core' euro of Germany, France and BeNeLux would work. The problem when it was being formed was Italy. It was thought impossible to omit Italy, as a founder member of the European Community. Once Italy was included, it became impossible to exclude Ireland, Spain and Portugal. And Greece.

However it is horrendously difficult - impossible to all intents and purposes - to expel a country from the eurozone. How would you redenominate notes and coin in the hands of Greek residents? And the balance sheets of Greek banks? And what about the currency mismatch within Greek banks' accounts?

The way forward looks like a combination of euro depreciation and massive loans to Greece, principally from Germany.

The UK is well out of it.


JINewsNet

Sun, 05/09/2010 - 14:55

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I fear that this week may be extremely ugly in the markets


Jonathan Hoffman

Sun, 05/09/2010 - 15:18

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I agree

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