But to turn into Latvia so that we can show our jansenist selves that HEY, is the biggest recession in 70 years all you've got, nah we won't have more than 3% deficit for even a minute... That would be truly awful. Earth provides enough to satisfy every man's need, but not every man's greed. Gandhi
Thinking about this in a larger context, it's implied in a global market that there will be convergence between certain sets of workers between countries, rather than convergence between, say, a blue-collar worker and an elite worker in that country.
Falling real income is already implied by the economic model. But if the elites don't keep things stable with an INCREASE in social spending, then things will devolve rapidly.
Check out this article this morning:
http://euobserver.com/19/30089
Part of the discord appears to stem from a demand from Berlin that German parliamentary approval be granted before countries can tap the support package, with German finance minister Wolfgang Schauble citing national constitutional requirements. Mr Schauble also raised the prospect of mimicking Germany's constitutional spending brake across the eurozone. Last year, the country enshrined in its constitution a law forbidding the federal government from running a deficit of more than 0.35 percent of GDP by 2016.
Mr Schauble also raised the prospect of mimicking Germany's constitutional spending brake across the eurozone. Last year, the country enshrined in its constitution a law forbidding the federal government from running a deficit of more than 0.35 percent of GDP by 2016.
Germany seems to be channeling California. Straitjackets, get your straitjackets here!
Part of the discord appears to stem from a demand from Berlin that German parliamentary approval be granted before countries can tap the support package, with German finance minister Wolfgang Schauble citing national constitutional requirements.
If they want the EU Parliament to control the tapping of an EU-wide fund that's a different matter.
There is no evidence that the current German political class has any willingness to work with the rest of the EU. By laying out pros and cons we risk inducing people to join the debate, and losing control of a process that only we fully understand. - Alan Greenspan
Asked whether he felt these comments were helpful, Mr Juncker said: "In my opinion, certain people would do better to think before they speak ...sometimes they would do better to keep their mouths shut." An aide to the long-serving politician later insisted to AFP that the comments were directed at Deutsche Bank chairman Josef Ackermann, German central bank head Axel Weber and ECB chief economist Juergen Stark, all of which have recently spoken out against aspects of the extraordinary measures taken to shore up the finances of Greece and the rest of the eurozone. His frustration appears to be shared by the caretaker Belgian prime minister, Yves Leterme. "We finalised an agreement to defend the euro. We cannot, like Madame Merkel, put into question its feasibility," Mr Leterme said on Monday.
Asked whether he felt these comments were helpful, Mr Juncker said: "In my opinion, certain people would do better to think before they speak ...sometimes they would do better to keep their mouths shut."
An aide to the long-serving politician later insisted to AFP that the comments were directed at Deutsche Bank chairman Josef Ackermann, German central bank head Axel Weber and ECB chief economist Juergen Stark, all of which have recently spoken out against aspects of the extraordinary measures taken to shore up the finances of Greece and the rest of the eurozone.
His frustration appears to be shared by the caretaker Belgian prime minister, Yves Leterme. "We finalised an agreement to defend the euro. We cannot, like Madame Merkel, put into question its feasibility," Mr Leterme said on Monday.
