The EU’s €750 billion recovery fund will not be enough to achieve anything close to a convergence...
between southern and northern member states; indeed, it will not even be enough to prevent them from drifting further apart.
Since the EU’s poorer member states are already over-indebted, they cannot borrow much more, particularly if interest rates rise.
Whenever inflation begins to increase again, the European Central Bank’s implicit policy of monetizing member-state debt (through the unlimited purchase of government bonds from poorer countries) will have to end.
Under these conditions, the only remaining way out would be a “transfer union"
Sigmar Gabriel, former federal minister and vice chancellor of Germany, Chairman of Atlantik-Brücke, Project Syndicate 12 July 2021
- Jag vill inte ha en federativ utveckling. Svenska folket har inte gått med i en federation.
- Logiken i det hela rör sig i federativ riktning... Sch! säger Kohl åt mig när jag tar upp det
Prodi, Göran Persson och federalismen
https://englundmacro.blogspot.com/2020/05/prodi-goran-persson-och-federalismen.html
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