Today word came out that French Foreign Minister Laurent Fabius has said that the Europe’s current crisis was because of Lehman Brothers melt down in 2008. In other words he blamed America for what was going on in Europe at the moment. What is interesting is that this is not the first time some European official has tried to shift blame for the Euro meltdown to America, they really seem to think it is true. This line of thinking is disturbing on many levels but it does help explain at least somewhat why the Europeans have not been able to solve the crisis. How can you come up with a solution when you truly believe that America is to blame. Perhaps somebody should point out the obvious to the Europeans. First, no American ever suggested that all of Europe should dump their old currencies in favor of one single currency for the continent. It was obvious to many when Europe decided to do this that there were serious flaws in its design, specifically the difficulties of monetary union without political union. The impossible situation the Euro created for less competitive countries like Greece or Spain since they no longer controlled their own currency when trouble began they couldn’t devalue their currency back to competitiveness again like any other sovereign nation outside the EU. There certainly weren’t any American officials telling German banks to fuel the housing bubble in Spain by continuously loaning money to Spanish banks and consumers when it was clear there was a bubble. No Mr. Fabius all of the above were because Europeans chose to do them. There is no question that America has had its share of problems for a while now but to try to blame America for what is going on in Europe now is absurd and surely is one of the reasons why you have not been able to solve the issue for over 2 years now. The real reason Europe is in the position it is in now is plain old fashion greed and lust for power. Just as greed fueled the collapse in markets in America in 2008 the same is responsible for Europe’s woes now because it was greed and lust for power that created the Euro in the first place. Greed in wanting to develop a European reserve currency to challenge the dollar, which blinded all of Europe to its shortcomings. It was European ambition to be relevant again on the world stage to blindly sign up to the Euro and it is German frugality/greed that is preventing the problem from being solved right now. Europe stares into the abyss at their own destruction and their last words are to blame America, that is sad.
Euro: problem or scapegoat? – thestar.com