“The question of the Euro” isn’t an economic question, no more so than the current global systemic crisis for that matter. They are complex events involving geopolitical, political, social, financial… and also economic phenomena (but certainly not in more than 20% of these fundamental causes). The “economists” approach is thus at least 80% blind to the causes of the crisis.
By its multi-disciplinary nature and its anchorage in political decision making, the method of political anticipation has shown very good predictive capability up to now, contrary to the economists who didn’t see the crisis coming, nor anticipated its march forward.
Besides economics is an art not a science. Economic theories are all founded on generally unexplained ideological assumptions which are disguised in fact as “visions of the world” in the guise of the “scientific” approach.
To return to the Euro, it was a currency without a country until now … which made it vulnerable since a currency is the product of a political will first of all. With Euroland’s emergence, the European currency finally has a political base (and thus step by step tax, financial, regulatory,…) which was its big handicap.
In addition, contrary to Anglo-Saxon expectations, far from breaking up the Eurozone shows a savage will to adapt. The remainder will be written by the years to come; but as we said in the GEAB N°60, when one has Europe’s economic, financial, commercial and demographic power, it’s then the willpower which makes the difference.
In this crisis of historical proportions, the economists’ analyses thus have practically no interest. Moreover, take another look at their pronouncements since 2006… and you will see: it’s an eye opener!
(translation: Ian Shaw)
* Originally at: http://www.leap2020.eu/downloads/MAP-in-English_t12046.html