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Obituaries for the euro are premature

By Graham Cooke - posted Wednesday, 18 July 2012


And despite the propaganda that occasionally comes out of Beijing about 'alternative systems' there is no alternative to democracy for a modern, engaged society. What would you have in its place Fareed? Fascism, communism, absolute monarchy, or maybe just anarchy?

Far from leading to its destruction, the most likely outcome of the current crisis is an even stronger, interdependent Europe. That was certainly the theme of a meeting between German Chancellor Angela Merkel and the new French President Francois Hollande in Reims recently.

The meeting was laden with symbolism – it marked the 50th anniversary of the 1962 handshake between President De Gaulle and Chancellor Konrad Adenauer that ended the lingering enmity of World War II – but was also focussed on the future.

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Merkel was clear about the direction the European Union should take: "The economic union appears not to be strong enough…Europeans should complete the economic and monetary union on a political level. Europe can emerge stronger from this crisis," she said.

Hollande was more reticent in his remarks but agreed the current financial crisis would push Europeans to speed up integration and force a "new start" for European unity.

The Reims meeting was just the latest in a long line of proclamations of the idea of a peaceful and democratic Europe that go back well before the 1956 Treaty of Rome establishing what was later to become the European Union. In 1693 William Penn published hisEssay on the Present and Future Peace of Europe in which he called for a European Parliament and a European Army.

Penn was a committed pacifist and a Quaker. Earlier in the century the continent had been ravaged by the 30 Years War, one of the longest and most destructive in its history. A seemingly endless series of conflicts had broken out almost every year since. Penn's plan for Europe had the simple objective of ending this tragic merry-go-round.

In that one respect the EU has been an unqualified success - no war has broken out within its borders throughout its existence – and given what came before, that achievement should not be undervalued. However, its citizens have a right to expect more.

As someone who has twice been thrown out of work through no fault of his own, I take no satisfaction at the loss of jobs and the cuts in living standards that have been forced on so many people in the EU. I have long argued that austerity is no panacea in itself and must be accompanied by a plan to return to growth and prosperity.

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After some admitted missteps the signs are that the European economies are beginning to get it right. There will still be speed humps along the way, as the situation in Spain in the past few days has demonstrated, but on balance I would far rather put my faith in the optimism of the European ambassadors than the bias of anti-EU doomsayers now enjoying free reign in the Australian media.

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About the Author

Graham Cooke has been a journalist for more than four decades, having lived in England, Northern Ireland, New Zealand and Australia, for a lengthy period covering the diplomatic round for The Canberra Times.


He has travelled to and reported on events in more than 20 countries, including an extended stay in the Middle East. Based in Canberra, where he obtains casual employment as a speech writer in the Australian Public Service, he continues to find occasional assignments overseas, supporting the coverage of international news organisations.

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