In Monday's Mail Mary Ellen Synon Forecast That There Would Be No EU Treaty Referendum. on Tuesday She Was Proved Right. So Here's What She Thinks Now

Daily Mail (London), December 8, 2011 | Go to article overview

In Monday's Mail Mary Ellen Synon Forecast That There Would Be No EU Treaty Referendum. on Tuesday She Was Proved Right. So Here's What She Thinks Now


Byline: by Mary Ellen Synon

MOST of Michael Noonan's Budget forecasts are likely to be what polite economists call 'optimistic', but I call 'dead wrong'. For example, the minister thinks he can get an extra [euro]670million in revenue from an increased rate of VAT. He thinks he can get it out of an economy that is being beaten into the ground and a middle class that is being destroyed. Not likely.

But Mr Noonan's most significant forecast was the one that wasn't there at all. What was missing from his Budget was any forecast of the effect on our economy of the break-up of the single currency. International corporations are making contingency plans for the break-up. Hedge funds are factoring it into their investments. In Britain, HM Treasury has been making plans for months for the break-up. Washington is braced for it. Why isn't our minister? Horror Or maybe he and his department are.

Maybe they have been making contingency plans in secret. If that is the case, the Budget - presented by Mr Noonan as though the eurozone in which Ireland must operate in 2012 is going to look like the eurozone in 2011 - is dishonest.

What is about to happen in the eurozone is a whole new kind of economic horror, beyond any spending cuts or tax increases: the European summit on Friday is going to solve nothing - and I'll tell you why in a moment - so the crisis will roll on to its climax in the break-up of the single currency.

But let us assume the minister really believes the Budget he presented on Tuesday will take us through the next year in a world in which the eurozone will go on much the same as it has since the global credit crunch of 2007: anxious but in one piece. If so, the minister is wilfully blind.

Because the eurozone is heading for bustup, and the bust-up is going to set off shocks all over the world. Which makes Mr Noonan's Budget look like nothing but displacement activity by a neurotic minister. He is saying, 'Let's tweak capital gains tax' while in fact the eurozone bust-up is about to crash down on the economy and flatten any kinds of gains at all. 'Tweaking' becomes irrelevant.

Perhaps you've heard that the European Council at the end of this week will find a solution to the sovereign debt crisis, so there will be no single currency break-up. If you've heard that, you've been listening either to some EU ideologues or to some people who deal in fantasy.

All that is going to happen on Thursday night is that the heads of state and government of the 27 EU member states will go into dinner and be told to consider a draft agreement for economic union and fiscal control of eurozone member states. I understand from a well-placed source that they won't be allowed out again until they've agreed it, or something close to it.

The plan has been worked out by Herman Van Rompuy under the direction of the Germans, also Jose Manuel Barroso, the president of the European Commission, and Jean-Claude Juncker, prime minister of Luxembourg and president of the Eurogroup.

I say that just to point out that the only brush with democracy this plan has had is the electorate of Luxembourg (electorate approximately 400,000) when they voted to put Mr Juncker in as their prime minister.

Bust-up And that is the first and only brush with democracy the Euro-elite intend that their plan shall have. Mr Van Rompuy and his mates are determined there will be fiscal integration in the eurozone, with member states forced to change their own constitutions to set limits on debt and deficits, and to enforce balanced budgets, and submit their budgets to the new supranational powers.

The rest of this article is only available to active members of Questia

Sign up now for a free, 1-day trial and receive full access to:

  • Questia's entire collection
  • Automatic bibliography creation
  • More helpful research tools like notes, citations, and highlights
  • Ad-free environment

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

In Monday's Mail Mary Ellen Synon Forecast That There Would Be No EU Treaty Referendum. on Tuesday She Was Proved Right. So Here's What She Thinks Now
Settings

Settings

Typeface
Text size Smaller Larger
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Full screen

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited passage

Welcome to the new Questia Reader

The Questia Reader has been updated to provide you with an even better online reading experience.  It is now 100% Responsive, which means you can read our books and articles on any sized device you wish.  All of your favorite tools like notes, highlights, and citations are still here, but the way you select text has been updated to be easier to use, especially on touchscreen devices.  Here's how:

1. Click or tap the first word you want to select.
2. Click or tap the last word you want to select.

OK, got it!

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.