“European redemption” – such a pact is proposed to Europe by the German Council of Economic Experts. Unnoticed in Poland, the document was published on November 9th and captures the essence of the German thinking on how to get out of the crisis. Woe to those who are not experts in economy and deal with politics, because today they have to speak about economical issues…
This is how I understand the German proposal:
Not so long ago mom (France) and daddy (Germany) decided to start an everlasting relationship. The got attached to each other by a common currency – euro. A bid later, some hard-working cousins, but also some revellers, joined the family. The time was passing. Daddy worked hard and some kids, when they were out of money, borrowed it. Obviously, not from their father, but from friends. When the truth came out, daddy got pissed, slammed his fist on the table, but mother stood on defence of the revellers. Because the kids’ debts must be paid.
And at that moment daddy suggested the same thing as the German Council. I will help you to pay off but on the condition that you will stop incuring more debts (no more that 60% of the annual income), and you will pay everything over that amount within the next 25 years. Of course, the plan was realistic. Germany demanded the influence on the indebted countries’ budgets, tax systems, investments, so that the bankrupts finally start earning money and paying off the debts.
A few days ago the chancellor Merkel presented such a stance. There will be no empty money and we need a new treaty in order to control each other. And this is what the next summit will be about.Author : Marek Siwiec MEP