Forum Message

Topic: For Guy: France, Germany and the stability pact
Posted by: Fraser Pearce
Date/Time: 12/07/07 11:19:00

On 27th June Guy wrote:

“What ‘ructions between the Germans and French on this very issue’ do you refer to? I have had a look through various media and can find no reference…”  

- Last month's EU 'mandate' for a Constitution granted France an amendment on free competition (in the process overturning one of the key principles of that quaint old Common Market). This caused more than a few eyebrows to be raised, especially in Berlin.

On Monday night President Sarkozy broke EU convention by attending the latest meeting of the 'Eurogroup', usually made up of the finance ministers from countries with the Euro.
                        
France's economy has deep structural problems. Mr Sarkozy knows this and was elected on a pledge for reform. As a result, on Monday night he broke ranks by hinting he'll put France's fortunes ahead of the EU's.

How so?
  
The Euro rests on the concept of economic stability, the so-called 'stability pact', where the Euro countries set common economic targets for the good of the currency. Sarkozy has signalled he will cut taxes in France by €15 billion. This will break a key commitment of the stability pact, i.e. bringing deficits to zero by 2010.

So, Sarkozy has a choice - put France's economy first or stick to the common good. He's siding with the people who elected him.

The problem is, Germany gave up the Deutschmark on the tacit agreement of a strong Euro. France's latest moves could undermine this. Berlin ain't happy, believing Paris is weakening the European Central Bank and, in the process, damaging the Euro zone's credibility.

Sarkozy upset the applecart further by pushing for a former French finance minister - Dominique Strauss-Kahn - as the next head of the International Monetary Fund (France already hit the trifecta via Pascal Lamy heading the World Trade Organization, Jean-Claude Trichet as president of the European Central Bank and Jean Lemierre running the European Bank for Reconstruction and Development).

Monday was a very public manifestation of cracks in the Euro zone and the Franco-German relationship. If the 'one size fits all' constraints of the Euro can compromise France when things are relatively stable, imagine what could happen when the recession comes.

This brings up a wider issue too - should a national leader put their country's interests before the EU?

If the EU proposed constitution goes through, elected leaders will be obliged to show primary loyalty to the EU. On Monday night, Monsieur le President anticipated this change by getting his retaliation in first.


Entire Thread
TopicDate PostedPosted By
Ireland to hold Refendum on new EU Treaty - should the UK ?23/06/07 18:27:00 David Giles
   Re:Ireland to hold Refendum on new EU Treaty - should the UK ?23/06/07 18:42:00 Jerry Makides
   Re:Ireland to hold Refendum on new EU Treaty - should the UK ?23/06/07 18:46:00 Jan Jarvis
      Re:Re:Ireland to hold Referendum on new EU Treaty - should the UK ?23/06/07 18:49:00 David Giles
         Re:Re:Re:Ireland to hold Referendum on new EU Treaty - should the UK ?23/06/07 19:06:00 Helen Fogarth
         Re:Re:Re:Ireland to hold Referendum on new EU Treaty - should the UK ?23/06/07 19:10:00 Jan Jarvis
            Re:Re:Re:Re:Ireland to hold Referendum on new EU Treaty - should the UK ?23/06/07 19:17:00 David Giles
               Re:Re:Re:Re:Re:Ireland to hold Referendum on new EU Treaty - should the UK ?23/06/07 22:02:00 Jan Jarvis
                  media manipulation23/06/07 22:18:00 Jerry Makides
                     Re:media manipulation25/06/07 11:18:00 David Giles
                  Re:Re:Re:Re:Re:Re:Ireland to hold Referendum on new EU Treaty - should the UK ?25/06/07 12:23:00 David Giles
   Re:Ireland to hold Refendum on new EU Treaty - should the UK ?24/06/07 09:24:00 Peter G Boardman
      Re:Re:Ireland to hold Refendum on new EU Treaty - should the UK ?24/06/07 10:21:00 Peter John
         Re:Re:Re:Ireland to hold Refendum on new EU Treaty - should the UK ?24/06/07 22:03:00 Richard Greenhough
   Re:Ireland to hold Refendum on new EU Treaty - should the UK ?25/06/07 12:36:00 Will Watson
      Re:Re:Ireland to hold Refendum on new EU Treaty - should the UK ?25/06/07 13:46:00 Richard Greenhough
      Re:Re:Ireland to hold Refendum on new EU Treaty - should the UK ?25/06/07 13:54:00 Helen Fogarth
         After Iraq, can we trust Blair anymore ?25/06/07 14:28:00 David Giles
            Re:After Iraq, can we trust Blair anymore ?25/06/07 14:49:00 Jonathan Bingham
               Re:Re:After Iraq, can we trust Blair anymore ?25/06/07 17:09:00 David Giles
                  Re:Re:Re:After Iraq, can we trust Blair anymore ?25/06/07 17:24:00 Will Watson
                     Re:A form of democracy25/06/07 17:44:00 Richard Greenhough
                        Re:Re:A form of democracy25/06/07 17:56:00 Will Watson
            Re:After Iraq, can we trust Blair anymore ?25/06/07 17:50:00 John Mc Cann
               Re:Re:After Iraq, can we trust Blair anymore ?25/06/07 17:53:00 Richard Greenhough
         Re:Re:Re:Ireland to hold Refendum on new EU Treaty - should the UK ?25/06/07 14:31:00 Will Watson
            Re:Re:Re:Re:Ireland to hold Refendum on new EU Treaty - should the UK ?25/06/07 14:37:00 Fraser Pearce
               A shift in sovereignty25/06/07 14:54:00 Fraser Pearce
                  “The proposals that we dare not present to them directly”25/06/07 15:11:00 Fraser Pearce
                     “Psychological terrorists” and the “new form of democracy”25/06/07 15:29:00 Fraser Pearce
                        Britain has not had a Referendum on Europe since 6th June 197525/06/07 18:12:00 David Giles
                           Re:Britain has not had a Referendum on Europe since 6th June 197525/06/07 19:53:00 Guy Lambert
                              Same old conservatives26/06/07 09:15:00 Stephen Thornton
                                 It's not about the Conservatives26/06/07 11:27:00 Fraser Pearce
                                 Re:Same old conservatives26/06/07 13:19:00 David Giles
                                    Re:Re:Same old conservatives26/06/07 14:00:00 Stephen Thornton
                                       Re:Re:Re:Same old conservatives26/06/07 16:53:00 David Giles
                           Re:What we voted on in 197526/06/07 14:19:00 Richard Greenhough
                              The devil's in the detail26/06/07 16:40:00 Fraser Pearce
                                 It maybe called a Treaty but its the same Constitution26/06/07 20:38:00 David Giles
                                    Re:It maybe called a Treaty but its the same Constitution26/06/07 21:56:00 John Mc Cann
                                       Re:Re:It maybe called a Treaty but its the same Constitution26/06/07 22:20:00 David Giles
                                          Re:Re:Re:It maybe called a Treaty but its the same Constitution26/06/07 23:01:00 Jerry Makides
                                    Re:It maybe called a Treaty but its the same Constitution27/06/07 08:57:00 Guy Lambert
                                       Responding to Jerry: “The end of democracy”27/06/07 12:17:00 Fraser Pearce
                                          Responding to Jerry: “totalitarianism”27/06/07 12:27:00 Fraser Pearce
                                             Responding to Jerry: “Loss of freedom”27/06/07 12:36:00 Fraser Pearce
                                                Responding to Jerry: The EU, prosperity and peace in Europe27/06/07 12:54:00 Fraser Pearce
                                       Re:Re:It maybe called a Treaty but its the same Constitution27/06/07 12:59:00 David Giles
                                          Re:Re:Re:It maybe called a Treaty but its the same Constitution27/06/07 13:17:00 Fraser Pearce
                                             Re:Re:Re:Re:It maybe called a Treaty but its the same Constitution27/06/07 15:55:00 Guy Lambert
                                                Re:Re:Re:Re:Re:It maybe called a Treaty but its the same Constitution27/06/07 18:02:00 David Giles
                                                   Re:Re:Re:Re:Re:Re:It maybe called a Treaty but its the same Constitution27/06/07 18:53:00 Fraser Pearce
                                                      Re:Re:Re:Re:Re:Re:Re:It maybe called a Treaty but its the same Constitution27/06/07 21:39:00 Guy Lambert
                                                         Re:Re:Re:Re:Re:Re:Re:Re:It maybe called a Treaty but its the same Constitution27/06/07 21:47:00 John Mc Cann
                                                         Re:Re:Re:Re:Re:Re:Re:Re:It maybe called a Treaty but its the same Constitution27/06/07 21:52:00 David Giles
                                                            Re:Re:Re:Re:Re:Re:Re:Re:Re:It maybe called a Treaty but its the same Constitution27/06/07 22:03:00 John Mc Cann
                                                            Re:Re:Re:Re:Re:Re:Re:Re:Re:It maybe called a Treaty but its the same Constitution27/06/07 22:54:00 Guy Lambert
                                                               Legal opinion wanted27/06/07 23:16:00 Peter John
                                                                  Re:Legal opinion wanted27/06/07 23:40:00 John Mc Cann
                                                                     Re:Re:Legal opinion wanted28/06/07 09:57:00 Fraser Pearce
                                                                        Re:Re:Re:Legal opinion wanted28/06/07 10:52:00 Fraser Pearce
                                                                           Re:Re:Re:Re:Legal opinion wanted28/06/07 12:36:00 Colin Jordan
                                                                              The threat to the British Constitution and Parliament28/06/07 17:46:00 David Giles
                                                                                 Re:The threat to the British Constitution and Parliament28/06/07 22:33:00 Guy Lambert
                                                                                    Re:Re:The threat to the British Constitution and Parliament29/06/07 00:05:00 David Giles
                                                                              Re:Re:Re:Re:Re:Legal opinion wanted29/06/07 11:08:00 David Giles
                                                                                 Re:Re:Re:Re:Re:Re:Legal opinion wanted29/06/07 12:22:00 Fraser Pearce
                                                                                    A Good Week to Bury Really Bad News29/06/07 17:59:00 David Giles
                                                                                       Labour Party calls for Referendum30/06/07 17:22:00 David Giles
                                                                                          Trade Union calls for Referendum11/07/07 20:24:00 David Giles
                                                                                             Re:Trade Union calls for Referendum16/10/07 22:02:00 David Giles
   Re:Ireland to hold Refendum on new EU Treaty - should the UK ?04/07/07 19:35:00 Peter G Boardman
      Re:Re:Ireland to hold Refendum on new EU Treaty - should the UK ?04/07/07 20:36:00 Helen Fogarth
      Re:Re:Ireland to hold Refendum on new EU Treaty - should the UK ?04/07/07 22:25:00 Will Watson
      Re:Re:Ireland to hold Refendum on new EU Treaty - should the UK ?05/07/07 08:25:00 Peter John
         Re:Re:Re:Ireland to hold Refendum on new EU Treaty - should the UK ?05/07/07 18:46:00 David Giles
            EU to pay Wine Producers to give up producing bad wine06/07/07 18:14:00 David Giles
               For Guy: France, Germany and the stability pact12/07/07 11:19:00 Fraser Pearce
                  Re:For Guy: France, Germany and the stability pact12/07/07 12:22:00 Guy Lambert
                     Britain's Seat on the UN Security Council05/08/07 20:07:00 David Giles
                        Re:Britain's Seat on the UN Security Council05/08/07 20:29:00 Colin Jordan
                     Re:Re:For Guy: France, Germany and the stability pact06/08/07 15:12:00 David Giles
                        Can we trust Gordon Brown on this issue ?15/10/07 18:36:00 David Giles
                           Referendum17/10/07 09:22:00 Brendan McCarthy

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