German orthodoxy stands on the way of Eurozone recovery argues the billionaire … Billionaire and philanthropist George Soros told the European Parliament on Thursday that Brexit “unleashed” a financial crisis akin to the 2007-2008 Lehman Brothers meltdown. European thing
George Soros has been launching broadsides against Brexit during the past week, and this one, above, seems to be in line with the rest, but even broader.
Soros brands Brexit as a “trigger” for an upcoming crisis that includes deflationary trends. The article doesn’t describe the deflationary trends, but what Soros is talking about is the lack of progress central banks are having in stimulating economies via monetary debasement.
Soros is not alone, of course. Brexit has been condemned throughout Europe, with many top politicians and economists warning that both Europe and Britain are negatively affected on a variety of levers but especially economically.
Soros makes the distinction between what Brexit did to the world’s economy and what has already been done. He doesn’t characterize Brexit as the “cause.”
However, he was clear that Brexit that post-Brexit, the EU would have to consider ways to ensure that other countries did not try to leave as well. There are numerous other countries in the EU where Brexit style movements are currently underway.
Soros suggested that the EU consider its own “democratic deficit,” thus indicating that Europe partially shared the blame. He urged that the EU make more of an effort to ensure “disaffected voters” reversed their opinion of the EU’s current condition.
Since many of the issues surrounding the EU have to do with the intention of Brussels to expand the authority of the EU considerably, it is not clear how Soros’s suggestions would align with current intentions in Brussels or Germany.
In fact, the European reaction, led by Germany, is the opposite of what Soros is suggesting so far. The UK Daily Mail reported on European intentions in an article entitled “EU Wants an Empire.”
THE EU wants to expand its influence as far and wide as Asia and Africa … The latest EU foreign policy document, titled Global Strategy, calls for an extended reach into new spheres as distant as the Middle East and sub-Saharan Africa. It also outlined “gradual synchronisation and mutual adaptation” between different member states’ individual defence strategies.
In fact, throughout the week, Western media was reporting on an EU ultimatum to member states involving a surrender of traditional national rights including taxation and the right to self-defense.
Brussels is using Brexit to move quickly toward a United States of Europe. The move is so obvious and powerful that it has elicited numerous comments in both Europe and Britain.
Mike Hookem, the defence spokesman for UKIP – the political entity that led the Brexit movement – was quoted as saying: “The EU wants its own Empire as former Commission President Jose Manuel Barroso made clear when he was in charge. This global strategy by the EU is yet another reason why last Thursday’s result was a lucky escape for the UK.”
As we’ve reported, central bankers are using Brexit as an excuse to call for considerable consolidation of banking strategies that might include government moves as well.
Sorors points out that Brexit is both an economic threat and a political one. His suggestion is that Brussels work hard to make the benefits of the EU clear European citizens.
Instead, Brussels has moved hard in the other direction, informing member states of its determination to strip countries of traditional national rights.
At the same time, central bankers are making it clear that the result of Brexit will be considerably, additional monetary integration.
Conclusion: Centralization on so many fronts is bound to create further instability of the sort that Brexit is already being blamed for. In fact, Brexit will also be blamed for the inevitable, destructive consequences of further amalgamation and coordination. These consequences are inevitable because of the moves Brussels is making.