Will the end of the CDU improve the economy in Europe? Sapelli’s thought and some of our considerations

Giulio Sapelli, the well-known economic historian, one of the most lucid minds in politics, concluded his speech on S tartmag with an interview with a lucid and interesting thought that we would like to propose to you again.

The problem in Europe is therefore also that of not having a Fed-style ECB?

What is striking is that the member states are united only by treaties. Not having a constitution, not having a central bank that works like all the others but rather a public body of the economy governed by treaties which therefore cannot provide loans directly to current accounts but must limit itself to buying government bonds to support the banks and hoping in this way that capitalist circulation and also income will be restarted.

Who is ballasting economic policies in Europe?

Europe is being dragged into the land of poverty by the German Christian Democrat stupidity. Until the Christian-democratic rule in Germany ends, Europe is not saved. I think the Biden plan will also make itself felt in the Old Continent by changing the rules of the game. The rise of greens in Germany is proof of this, because the greens want the Stability Pact to be rewritten and will demand to do so on the basis of the American Jobs Plan.

On the first part we can only agree: the evil of the European Union, and not a coincidence, is that it was born without the possibility of an expansionary policy: only austerity and spending control. If there has never been a common fund, a common debt, a common finance ministry, it is because it was not wanted. So, as now, half the Community does not want it and why should it be imposed?

The second final answer is more particular and interesting. Let's analyze it thoroughly:

• the German CDU is at the center of European evils. This is probably true. While in France the "Christian Democracy" ran out after the war, leaving room for Gaullism, and the Italian DC was much more dynamic, even if divided into a plurality of currents that alternated at the helm of the country with other parties, in any case running out with the middle class, the CDU / CSU was a stolidly moderate party, but strongly narrow-minded within itself. It could not be nationalist, for German original sin, nor too leftist, because it would have made the US suspicious during the Cold War. So there remained a kind of amoeba linked only to German avarice. Christian roots have disappeared, with half of the German churches disappearing over the next ten years.
• Now even the CDU / CSU seems to have exhausted its function: the middle class it represented is running out, in the continuous social polarization of itself caused by its own austerity policies. It slowly melts between small scandals, voters who go elsewhere (once AfD would have been "her stuff") and green mirages that do not belong to her and that are emptying her. The party is in disarray and in the direction of Laschet, wanted by Merkel, is a bad copy of the Chancellor without her authority;
• Sapelli now sees a changing of the guard as probable with the Greens leading the country which should guarantee a more “Expansive” economic policy. On this point we take the liberty of disagreeing: the Greens are not the European version of Biden or Ocasio Cortez, moreover, at the first opportunity to form a "Semaforo" majority, Red (SPD and Linke), Yellow (Liberals) Green preferred to continue with a Green-Black majority, with the CDU. Even if the selection of the possible green chancellor of the next government has now started, this will hardly leave out the CDU, CSU. We will once again have the worst solution for Germany and Europe, a majority that will combine the CDU's greed and myopia with green ecological maximalism. We will not have the European Biden plan, but a bad copy of the Recovery Fund. Virtually nothing, squared.

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The article Will the end of the UCC improve the economy in Europe? Sapelli's thought and some of our considerations come from ScenariEconomici.it .

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This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/la-fine-della-cdu-migliorera-leconomia-in-europa-il-pensiero-di-sapelli-ed-alcune-nostre-considerazioni/ on Mon, 05 Apr 2021 13:15:41 +0000.