Failure of the single currency in Europe
I am 62, not an economist or a politician thank god, but I am a businessman and have worked for the past 45 years in four different careers. From a cartographer in the public sector for the first 4 years, then as a parts manager in a garage for 3 years, then as a salesman to managing director for an automotive aftermarket specialist that I helped build into the market leader in a 20 year career, latterly I have worked for 18 years as an independent trainer and management consultant.
I consider myself reasonably intelligent, but more street wise than academically so. I write a bit but read a lot more. I might not be as qualified as some to comment on the situation in Europe at the moment, but think there are one or two points that those eurocrats in all their blind ambitions have missed.
The point I am coming to is that in joining all 17 of the EU's euro zone countries together under one set currency doesn't allow for adjustments to be made for successful verses unsuccessful economies.
Take the example of Greece verses Germany, one has the most successful economy in Europe the other country has one of the worst performing economy's. I am not going to cover the reasons why as that is not my remit here. In the good old days the drachma would have been devalued several times now and when compared to the deutschmark, which in the same time would have been revalued in the opposite direction. There would be several drachmas to the deutschmark.
Under the present system one Euro in Greece is the same value as one Euro in Germany, how can that be right? It might have been ok for a few months even possible to cover the discrepancies up for a few years as they did. But most (not all) of the problems with the Euro in Europe today is just this point. There is no working mechanism for adjustments to be made.
The EU has 27 different countries whose economies are working at different rates with different results. The Euro zone has 17 and either it all has to become one country (which is the Eurocrats secret agenda) or there should be a two or better a three tier system to allow for these differences to take place.
Johnny Herbert
I consider myself reasonably intelligent, but more street wise than academically so. I write a bit but read a lot more. I might not be as qualified as some to comment on the situation in Europe at the moment, but think there are one or two points that those eurocrats in all their blind ambitions have missed.
The point I am coming to is that in joining all 17 of the EU's euro zone countries together under one set currency doesn't allow for adjustments to be made for successful verses unsuccessful economies.
Take the example of Greece verses Germany, one has the most successful economy in Europe the other country has one of the worst performing economy's. I am not going to cover the reasons why as that is not my remit here. In the good old days the drachma would have been devalued several times now and when compared to the deutschmark, which in the same time would have been revalued in the opposite direction. There would be several drachmas to the deutschmark.
Under the present system one Euro in Greece is the same value as one Euro in Germany, how can that be right? It might have been ok for a few months even possible to cover the discrepancies up for a few years as they did. But most (not all) of the problems with the Euro in Europe today is just this point. There is no working mechanism for adjustments to be made.
The EU has 27 different countries whose economies are working at different rates with different results. The Euro zone has 17 and either it all has to become one country (which is the Eurocrats secret agenda) or there should be a two or better a three tier system to allow for these differences to take place.
Johnny Herbert
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