Creation of euro a failed experiment

When the issue of the euro first was discussed during the mid 1990s as a method to make Europe more competitive in the world market, it struck me as rather irrational. Having done business in Europe and visiting many of the countries to be involved it led me to believe it a fantasy rather than a real proposal, since the economies were so different. Government jobs made up most of the employment and economies in many of these countries.

In 1999 when the euro was adopted by the 17 countries it became more obvious from the makeup of the countries that it was doomed from the start. Half the countries were socialist disasters already, and the other half were struggling away from socialism.

What was more interesting was the countries that did not join the eurozone: England, Norway, Sweden and Switzerland to name a few. These were all strong economies that saw the euro for what it was, a fantasy.

The entitlements granted by countries such as Greece, Italy, Spain and Portugal were being paid for by inflated currencies as it was, and though this wasn’t a good situation, it was their individual problem. Once the euro was adopted it became everyone’s problem, with little if any control over the worst offenders.

Now, through international companies and investment, we are all wrapped up in this contagion and yet the most serious offenders still are astonished that they need to change their policies. Painful as it will be in the short term, these countries need to be cut out of the eurozone and be allowed go back to their socialist ways. Europe and certainly not the United States cannot continue to underwrite them. Like a drug addict who needs a fix, they are not helping them by providing it.

Richard Francke

Bartlett