Problems stemming from poor social and macroeconomic policy, which has recently been implemented on European level, have been given consideration in the recent weeks. However, my opinion is that response to social imbalances, i.e. job creation, as well as the maintenance of a sustained growth, are just one little (but of course, still very important) part of the problems' list, which seems to revolutionize the nowadays European Union. More important for me at this stage is how European institutions have recently been promoting very unpopular, monopolistic and contradictory moves of a hegemonic political character, which seem to shake even more the fragile confidence balances not only among the EU member states, but externally as well, considering the international markets' recent highly sensitive volatility towards EU obscure policy signals, lacking well-grounded and long-term strategy.
The European Union risks turning into a territory of speculations. Do really the nowadays decisions work for the development of the EU? We are to consider that latest politics proclamations and the involvement of the IMF are to create still more tensions, imbalances, unrest, growing Member states indebtedness treated with hybrid measures may create everything else but not a Union where investors’ interests shall bring wealth and prosperity. And this is quite obvious in downgrade ratings, which seem to spread much wider.
What I read in recent articles, positions, speeches, proclamations gives me grounds to consider the overwhelming demonstration of political and financial power by European Union authorities, which is now not only internally consolidated with strange and implausible decisions dictations between formally independent authorities, including the participation of a powerful monetary authority in the face of the ECB, but also to be implemented through the formal introduction of the IMF in European Union economic and politics affairs.
This really seems like the introduction of a new domination, which on the uncertain grounds of the crisis climate in recent years is to put the European Union members in a position of total dependence and under the geopolitical demagogy of pan-European and transcontinental powers and interests.
And while balances seem already too thin and fragile on all levels of European Union internal interaction, the new monetary-political strategies seem to transmit shocks in different directions and with a considerable multiplication effect. The introduction of the centralized models for the economic and political future of Europe nowadays might really turn to be a good anti-crisis plan only if we are to consider in our analysis that European authorities will prove stable enough and ready to undertake all systemic consequences of the shocks, which, as we see, are not only of different nature, but already they are to be piled up from all EU member states, and transmitted back to the top of the centralized EU steering model. And we are to monitor the following two ways process: (i) centralized action plans and sophisticated EU level rescue-packages, the effects of which are to multiply on a multilateral and divergent national basis and in the highly probable lagging drawbacks manifestation, (ii) shocks are to be either (scenario “a”) solved by the centralized European authorities, or (scenario “b”) in the case of the politics failure of the latter – by EU authorities and the ECB recently formalized counterparty – the International Monetary Fund (The IMF). However, should the IMF be actively involved in the process, negotiations shall already not be in the context of the European Union membership grounds, but they would rather be on a bilateral basis, where EU central authorities will be too insignificant and will have little influence.
Should this scenario materialize this will be followed by further conflicts and tensions.
Because EU member states will realize they have been mislead, considering they have not signed EU accession treaties, which formulated and gave path to the recent foreign institutions influence (i.e. The IMF), but have, somehow, been involved into salvation packages consumption, which transposed big portions of their sovereignty onto the balance sheets of big, transatlantic interests with the honorable and respected guidance of the EU leaders.
Another question is the involvement of the IMF on European Union level and this is to be carefully analyzed. Does this mean the European Union, and in particular the European Commission and the European Central Bank like institutions and within their agreed upon mandates for policy making and actions give a signal of failure? And they ask in their turn for a political bail-out agreement? Definitely, in accordance to my opinion the involvement of the IMF makes European Union members’ interconnectedness, balances and formal relations fragile, unstable and poses further vulnerabilities on the future political and economic development of the European Union. Because the European Union is not just a pre-defined fiction, it is build up by its Member states, and it will prolong its existence as far as it succeeds in its mission to defend EU Member states interests, and bring value to all members through the promotion of peaceful, prosperous, wealthy, and transparent future. Should there be a real failure here, I put under question the existence of the European Union in its current form.
Last, but not least, we have to consider carefully the recent social tensions and political imbalances. They might be just a normal and temporal policy transmission side-effect. However, they could be just an indication for a stronger resistance, which may change the grounds upon which politics is now being build upon in Europe. And without the necessary public confidence and support, based on transparency and open dialogue, the innovative salvation packages, the officially proclaimed crisis-times monetary and policy transmission mechanisms and strategies, bail-outs plans, and etc. will be doomed to failure.
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