Blair Determined not to give British People a say on new EU Constitution

[Worthingtons]

So Everyone needs to take advantage of this on June 12th and Save our Country!

[Dauphin]

Originally posted by Rothy
Save our Country!

From what?

[Worthingtons]

Bieng taken over by Euro's, it will be a political disaster, how much central control do you really think the UK will get? The German/French/Belgian alliance will end up in Control of the rest of the countries. We share very little in common with Europeans and cannot be run by the same body.

[Paul Hanson]

We share far more in common with "Euros" that most people in this country would like to believe. Once you get past the language barrier the British are far closer in cultural terms to the Germans and the Dutch, for instance, than to the Americans.

[MikeH]

Speak for yourself I share a lot in common with Europeans. I'll be voting for the Euro. I'd rather be part of a strong Europe than persist in being a second rate former power with delusions of world importance.

[TheStinger]

Well as US culture is a hybrid of all of europes cultures I would say we have alot in common with all ot them

[Solly]

"Speak for yourself I share a lot in common with Europeans. I'll be voting for the Euro"

Explain your economic rationale behind that. Sharing a lot in common with a country isn't a reason for sharing currencies as well.

Canada copes quite (actually, very) well without needing to have the currency of its hugely significant neighbour. Canada is smaller than UK, and the US is bigger than the Euroland.

[Worthingtons]

Rubbish, we share a lot in common with America and virtually nothing with Europe (apart from Germany).

Barring Germany, Europe lives at a different pace of life to us in the UK, things are much more left wing in many countries, people in Europe dont live by the clock as much as we do either.

[Solly]

The UK's sensitivity to interest rates is far higher in the UK, Mike. How do you propose to remedy that in only a couple of years?

[MikeH]

Yes, but I'm quite left wing so I find most American domestic policy terrifying and European domestic policies quite sensible.

More relaxed pace of life, more left wing. Sounds great!

Economically I think that more and more international trading will start to be done in Euros and it's going to damage our exporters if we aren't part of it. Plus we currently have the largest stock market/financial center in Europe. It's already a worry that as the Euro gets stronger they'll start moving to Germany or wherever then we'd lose a major source of income for the country.

[MikeH]

Originally posted by Boddington's The UK's sensitivity to interest rates is far higher in the UK, Mike. How do you propose to remedy that in only a couple of years?

Well you say that's a problem but what about the counter to that, you can argue that the increased interest rate sensitivity of the UK might mean that joining EMU would curb consumers appetite for debt. Which would help inflation, especially in housing. It would probably also mean a rapid switch to more European fixed rate loans and move the UK more towards Europe in terms of interest rate sensitivity. Which means you could argue that joining the Euro would help bring about stability to the UK economy. So you don't really need to deal with it because it'll sort itself out as people adjust to the new market they find themselves in.

[Solly]

No, I'm sorry, that isn't a good argument. We can't join and then wait for convergence.

[MikeH]

Why not? It'd certainly speed things up.

Joining's always going to hurt in the short term, it's policy that will show benefits in the long term.

[Solly]

"Why not? It'd certainly speed things up.

Joining's always going to hurt in the short term, it's policy that will show benefits in the long term."

So, let's see. The public get persuaded, cajoled, pushed by Blair into the single currency. The referendum to join wins, but exceptionally narrowly.

Interest rate power is given over to the ECB.

Over the next five or six years, it is shown that sometimes the interest rate is too low for Britain, sometimes too high. Given our increased sensitivity to interest rates than other Eurozone members, our economy begins to fluctuate. Wildly.

What will people think?

a) This Euro thing is a great idea, we just need to give it time! I'll go and change my mortgage right away.

b) Which bastards pushed us into this thing? Vote them out! Tories declare they would restore the pound.

Which of these are most likely? Granted both are to the extreme but I think you'd agree that the result is likely to be nearer b than a.

If we wait until the time is right (ie, true convergence has been achieved - not necessarily as described in Brown's plans), it will stop the economy becoming destabilised, and will lead to a more successful period in the Euro.

I'm sure you're prepared to wait ten years if it means the risks of rescinding membership and harming the economy are marginalised.

My view is one that I rarely hear. I am, in principle, neutral to the Euro.

[Solly]

I don't often put effort into posts any more, but I hope I've won you round.

Anwyay, going to revise for exam on trade and associated bollocks nows!