Salient to Investors:
Pawel Swieboda at the Demos Europa Center for European Strategy writes:
- Prospects for survival of the euro area are looking up – logic dictates there will emerge a banking union, a new federal budget, and a joint commissioner to reconcile national budgets.
- The UK has started disassociating itself from the rest of the EU. The UK would be foolish to leave the EU now.
- The odds of an orderly redesign of Europe are not good, because a more-integrated euro area is being born of necessity, and would need to accept that there are different types of economies in Europe, different political systems and different societies.
- A two-speed Europe already exists and divides northern Europe from southern Europe, not by euro from non-euro countries.
- There will be three types of countries in the EU: those that use the euro, those that don’t but will after the crisis, and those that have no intention of joining in the foreseeable future.
- There is no reason for the single market to falter if the euro area integrates further. There will be more support for the single market after the crisis than there was before. Recognition is growing that the single market needs to be extended to new areas, such as digital technologies, where the EU has lost out to the US over the past decade.
Read the full article at http://www.bloomberg.com/news/2012-11-21/europe-is-breaking-how-many-eus-will-there-be-.html