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Europe, the Crisis and Spending

The seriousness of the situation must not be underestimated.

The financial markets no longer have any confidence in the ability of some European States to pay back their debts.

The present financial crisis is primarily one of public indebtedness. It culminates in 78.7% in the euro area - i.e., every European who is born today already owes 21,585 euros. 

The main reason for this is the addiction for public spending on the part of European societies which devote more than half of their wealth to it.

Before looking legitimately into the means the European Union might and must implement in such circumstances we must agree to break with the vicious circle of spending. 

It kills creativity, it weakens the economy and in the end acts like a drug which the Europeans - and they are not the only ones - use and abuse. 

We know the outcome of this: general impoverishment, firstly of the poorest, and then unemployment.

This is far from the academic debate on the content of the Stability Pact which was supposedly over-restrictive. 

Temporary deficits, which are now free of their own discipline, are facing the full front of the market, and even speculation. 

The cicada has to change into an ant, if it can in fact do that.

The only real remedy is an appeal for the responsibility of all economic and social players, who must rally to establish more economical national budgets, and more balanced social and retirement systems which are negotiated around the European table so that we can put an end to the downward spiral that has been set in motion.

It should not be so difficult to agree on some main goals together and discuss our budgets. 

To survive in the multi-polar competition and to protect their model, which it deserves, Europeans should try harder, work more and longer. 

They know this and are expecting clear, fair, loyal rules. 

If the European States could already agree on these goals the present crisis would easily be overcome and speculators would go and seek their fortunes elsewhere. 

The lack of agreement is the real reason behind the Greek crisis and all those to come.