Nigel Farage MEP, UKIP (Member of the European Parliament from the UK Independence Party) tells the Euro elite that their Euro zone is a failure.
Farage is correct in asserting that the Euro zone caused the Irish financial crisis. Ireland needed a more restrictive monetary policy with higher interest rates. The low interest rates made possible by being tied, effectively, to the German economy caused a massive property bubble. Then when the bubble burst the Irish government, under pressure from other Euro zone members to protect their banks, took on much of the failed Irish bank debt as sovereign debt.
Think about that. The Irish banks failed. Their bonds should have been marked down in value. German and other Euro banks foolish enough to lend to them should have taken big losses. But instead the Euro elite pressured the Irish government to foist this debt onto the Irish people. Do I even need to say that the Euro wasn't the designed by the Irish voters and that the Irish voters did not make German bank lending decisions or Euro bank monetary policy decisions? But they are stuck paying the bill for the decisions of Euro elites.
Nigel Farage Attacks Jose Barroso (who is President of the European Union)
Farage is quite a talented Parliamentary orator. But he's got an easy job since the EU elite make so many mistakes and operates with such disregard for the net effects of their policies.
|Share |||By Randall Parker at 2010 November 27 09:36 AM Europe Monetary Union|