We should not suppose that we are watching the death throes of the Euro. Those who have been kind enough to read this part of our excellent Newsletter over the past two years will know that I hold that collapse of the Euro is certain. But we must not underestimate the mental disposition of all those who still preside over its attempted maintenance and preservation.
It is the nature of wholly undemocratic bureaucracies that the control they exercise over the instruments of government and the economy is reinforced at the very moment when they are shown to be at their most destructive of prosperity. This terrible phenomenon was vividly depicted in 1989 with the shocking contrast between the quality of life in Eastern Germany and in that of its democratic sister state. It is a truism that such elites have the means to become self perpetuating unless restrained by military force or by the ultimate residue of power – the People.
The adoption of the Euro was possible because the EU elite imposed it on its peoples by deception. The paramount deception was the wilful denial that political union was an indispensable pre-condition for economic and monetary union. Thereby were two further deceptions laid over the peoples of the Eurozone namely that the Euro was purely an extension of the benefits of the single market and also that it was not a step to full political union. Those who knew the economic truth concealed it and those who intended political union denied it.
There is no democratic means by which the EU elite may be removed. Indeed the process of democracy in the Eurozone nation states has withered so that in many countries there is no means of voicing national discontent through the ballot box. Yet it is now becoming to be widely recognised by the peoples of the EU that business – particularly the small business – is suffocated by restrictions originating in the EU and that their governments have no power to free this vital source of employment and wealth. It is also now realised that it is the EU that is in steep decline in wealth creation and global GDP. It embodies the withering paralysis that all self perpetuation bureaucracies inflict on enterprise, efficiency and prosperity. It truly has all the essential and stultifying characteristics of the totalitarian ideal and maintains itself – as do all such regimes – by mendacity, deceit and patronage.
It will only be by some convulsion that all this is brought to an end. It will come about – as is always when freedom is claimed by peoples long denied a voice – through a deep tremor shaking the very base and foundation of this edifice. Such an event is approaching. The collapse of the Euro cannot be prevented by fixing rates on bonds or by the ECB buying discredited debts of failed economies or by creating massive fictitious deposits. But such delusions and devices, by postponing the true reckoning, will render it devastating.