Greek riots during demonstrations against the economic crisis

Democratic control of the EZ must be seized from the bankers for the sake of peace in Europe and the long-term stability of the Balkans. This is the only way to ensure a stable Balkans and, more importantly, the only way to guarantee economic stability which, in turn, creates political stability and ensures peace.

When mentioning Russia at all these days it’s important to take a moment to disappoint all the old cold war enthusiasts who get excited and want to start dusting off the nukes. The Russians and Putin need to be understood in terms of their ideology. Despite the prevailing media narrative, they aren’t mustachio- twisting comic book villains.

They take these political actions because the Russian psyche bears deep, deep scars from repeated betrayals by Europe and the US.

Anyone who knows the recent history of Russia and the USSR knows they have absolutely no reason to trust the West. They see it as expansionist and imperialist, and believe that if they don’t empower their fellow Slavs to defend themselves it will lead to far greater problems in the future.

The economic woes currently afflicting Greece must be contained by the other nations of Europe. The EZ must be forced to submit to the same democratic controls that exist for the Federal Reserve and the Bank of England. Both institutions operate under a mandate from central government, as do the banks in Scotland which print Scotish currency.

36 August 2015

And, speaking of Scotland, it can, and should, learn from what is happening in Greece. Scots should fight to keep their own currency because of the power it gives its government to balance inflation and unemployment. As long as the people maintain democratic control over their banking system, government debt is essentially meaningless. The US is proud of the fact that it has never defaulted on its debts, even if it has devalued its currency multiple times, to make debts easier to pay and keep people employed. A people which controls its own Mint never runs out of money.

During the independence referendum much was made of the currency question; if and when Scots are once again faced with a choice between currency union, whether it’s the pound or the euro, they would be beter off opting for their own currency. Initially Scotland could simply peg its own pound to the British one to maintain stability. But in the long run it would be more sensible to make use of an independent Scotish central bank and an independent currency if Scots want to truly reap their own harvests and ring their own tills.

However, should Scots decide to join a currency union such as the euro they should do so only under two conditions. First, that there is a union-wide deposit insurance system like the FDIC. This is the case with the pound, but not the euro. There is no guarantee, though, that the Bank of England would allow the FSCS to cover Scotish depositors, post independence.

Secondly, any central bank should exist at the grace of, and the supervision of, a democratic body directly accountable to the people.

If and when Scots are once again faced with a choice between currency union, whether it’s the pound or the euro, they would be better off opting for their own currency. Initially Scotland could simply peg its own pound to the British one to maintain stability.

The euro is causing the dream of a united Europe to unravel. While both can be saved it will require Juncker and the EZ to be brought to heel. Intelligent leadership that looks to the long term economic and security needs of everyone in Europe is a must.

Drachma