by Kavon Fiennes
“The European Union as we know it will not exist in 10 years, believe me,” says Barbara Kolm, president of the Austrian Economics Center in Vienna, Austria. (Watch her 6 minute interview in this Reason TV clip from YouTube entitled: “Why The European Union Will Fail”)
I thank my Right From Yaad colleague Cato Rand for putting me onto this video. In a previous post I used an article from the Economist magazine to show the change of course – from persisting with socialism – that the Scandinavian countries had to undertake in order to salvage their sagging economies in the 1990’s. Kolm highlights Sweden’s dramatic shift in economic policy; as well as the former Communist states’ reversal of central economic planning models as examples of European countries better off than most.
Liberals don’t want to highlight that socialism, big government and the Keynesian central planning model of economics for Europe is failing. Greece, Cyprus, Portugal, Iceland, Ireland, Spain (and perhaps France and Italy on the horizon) are in trouble. Who will be next?
I cannot, for the life of me, understand why the US is expanding government when they are close to US$17 trillion in debt, and the European failed economic examples are glaringly obvious.
The EU had set great ideals of peace and prosperity through unity and the common currency of the euro. They won the Nobel Peace Prize last year. Collectivism you see has great appeal and it is a great selling point for modern day liberals to the masses. It gives people a warm and fuzzy feeling inside. But the EU is doomed.
It’s interesting to note that just over 2 decades ago, Margaret Thatcher warned her fellow members in the British House of Commons in 1990 to be wary of the Europeans and their push for a unified Europe. How prophetic are her words: “NO! NO! NO!” today?
Collectivism as the way forward is the sure “Road to Serfdom” and economic decline. Without economic liberty of the individual citizen, there can be no liberty for any nation (or economic zone). The Euro/EU/Eurozone is an unraveling collectivist/economic experiment with dire consequences for the common man, simply because it’s basic premise is limiting freedom of individual countries within its geo-economic-political boundaries.
Barbara Kolm and other economists of Austrian Economics inclination understand why these collectivist methods are failing. Why don’t politicians understand that they are destroying the very countries they are hoping to lead and uplift in the long run?