YOU'RE ALL EXCUSED YOUR 'ECONOMICS' HOMEWORK.

When the author was at school some decades ago, if we were found to be wrong doing, we would be detained after school to do extra work, or write a hundred times ones misdemeanour. The European Union, however, seems to operate a different system; if you can't comply within the specified period to be economically viable, don't be concerned, we'll extend the time. Is it any wonder that the 'single currency' is collapsing at a rapid pace of knots?

Brussels will make any kind of decision to preserve the very thing that will kill off the European project over time. The problem within the Eurozone is not just the southern European states, but many of the northern members. Not only are their national budgets under severe pressure, but they will have guaranteed backing for the likes of Greece, Spain, Portugal, Italy and Ireland. Lord only knows what kind of bill that will turn out to be.

Nevertheless, the system has to survive at all costs. That cost is, as yet, an unknown, but one thing for sure, it will be vast. Who, therefore, will pick up the tab? Perhaps future generations; but how can they afford to keep their various welfare systems well funded, simultaneously paying off our debt? Something has to give. Discipline is a practice best swept under the carpet by the commissioners at Brussels HQ.


LIVING FOR TODAY APPEARS TO BE THE CURRENT MAXIM.

COULD ANGELA BE GETTING A LITTLE FRUSTRATED?

It would appear that Chancellor Merkel is getting more than annoyed with President Hollande, the French socialist; the one that promised the great Shangri-La, by taking from the worker and giving to the waster. The standard left wing remedy, which naturally gathers plenty of votes from that section of society. Angela must know that the game is up, as the French economy drowns in its own stupidity of scaring the wealth makers to death, many fleeing the country for calmer havens. The nonsense is the theory, that if socialism is given the authority to run the national economy, everything becomes fair. This is, of course, total bunkum.

Interestingly, we had considered a river cruise down the Rhone this year. I felt, however, that a veto needed to be put on the suggestion, as, should the bubble burst, the French will all 'down tools', and I would never forgive myself for being so stupid as to be caught in the middle of their disputes, which could be catastrophic for Europe.

The author would like to think that such things can be avoided; debt however, is a very serious problem.

IT'S THE PAYING IT BACK.

THE WOODWORK MUST BE LOADED WITH THEM.

During the last week or so, a number of declared europhiles have confessed to a Damacene conversion, by 'coming out', declaring their changes of heart, and are now of a sceptic persuasion. The first one of note was Oskar Lafountaine, the German politician, who was a forerunner in the creation of the failed currency, the Euro, which is strangling any possibility of growth within the member states, and holding up progress throughout the global economy. Next out of the blocks was Nigel Lawson, he now sits in the House of Lords in Westminster; he was a former Chancellor of the Exchequer under Margaret Thatcher. Finally, and refreshingly so, Denis Healy, another Chancellor from the past, a socialist no less; probably one of the few brighter ones. All three, along with much of the electorate, realise that the game is well and truly up; which implies some serious thinking.

Naturally, we have the usual career politicians, none more so than the Deputy Prime Minister Nick Clegg, who sees his future as an EU commissioner going up in smoke. So what does he do? He tries to make out that any kind of break with Europe would cost Britain millions of jobs here at home. Firstly, let us put such misleading scaremongering to bed by pointing out a few home truths. Much of Europe is bust, which means they are purchasing fewer goods. Previously, we in Britain were buying far more of their goods than they ours. We are hamstrung by not being allowed to make our own export deals with potential customers outside the European Union; and on top of all this, we pay handsomely to this crooked outfit for such privileges.

The near future is almost bound to produce some seismic shocks throughout the global economy.

PRETTY WON'T FEATURE IN THE OUTCOME.

THE FDP AND THE FRENCH ECONOMY.

The Free Democratic Party in Germany is making noises, quite rightly, about the parlous state of the French economy. Although a minority party, the FDP generally find themselves in a fairly powerful position in the German Parliament, due to proportional representation. Our man in Berlin informs me that they are not making UKIP type waves, but waves even so.

What therefore is the problem? We have highlighted previously in these columns, that the French are vulnerable should the Euro collapse, a possibility which must be considered, indeed, one could suspect that the FDP are being pragmatic, and 'ahead of the game'. Like any clear thinker, they are aware that the socialist regime in Paris is making a total 'pig's ear' of the situation. Many of the high earners in France are fleeing to more acceptable tax havens, due to tax hikes. What is probably the most serious problem, is the fact that the French economy is exposed to serious Euro debt, which won't be picked up by some German 'white knight' rushing to the rescue; it will be too vast.

Naturally, the dire situation will be fudged for as long as possible, unfortunately, by which time we shall be beyond any reasonable chance of recovery.


LORD KNOWS WHAT WILL HAPPEN THEN.