Juncker: Democratic supervision naive

“Later on, in 1999, German-British sociologist Ralf Dahrendorf also warned that economic and monetary union would split rather than unite Europe.

All these years I hoped that they were wrong. Now, the powers that be in Brussels, in Berlin and in Frankfurt have conspired to prove them right.”

The euro is in danger and if it is to be saved two things are necessary. First, the euro must follow the example of the pound and the dollar and create a universal EZ- wide deposit insurance system.

Second, like the Bank of England or the Federal Reserve, there must be full democratic supervision of the central bank. The Federal Reserve answers to the President of the United States. The Bank of England answers to the Treasury Commitee of Parliament.

Both are given a mandate, both are asked to achieve certain monetary objectives and both are allowed to operate in secrecy. The EZ must be more accountable to the people of Europe and their democratic representatives instead of bankers who answer to no one but themselves.

Juncker, in a display of absolute political hubris, called democratic supervision naive. He argued it meant market

34 August 2015 Greeks queue at ATMs throughout the country

Te euro is in danger and if it is to be saved two things are necessary. First, the euro must follow the example of the pound and the dollar and create a universal EZ-wide deposit insurance system.

sensitive information couldn’t be embargoed from the press. He seems not to be aware of the existence of the Federal Reserve or Bank of England, both of which operate under democratic supervision, and both of which prevent such information being released to avoid economic boom and bust. His statement was an insult both to the US and the UK.

Juncker pretends his chaos-afflicted euro is somehow beter than the dollar or the pound because of a total lack of democratic supervision. But it is this belief that is potentially more dangerous than mere economic chaos as it encourages the money men to operate with no thought to Europe’s interests or security.