The End Of Europe As We Know It?

Tyler Durden's picture

Submitted by Dan Steinbock via The Difference Group,

As the Eurozone is amid secular stagnation, its old fiscal, monetary and banking challenges are escalating, along with new threats, including the Brexit, demise of Schengen, anti-EU opposition and geopolitical friction. According to Dan Steinbock, Brussels can no longer avoid hard political decisions for or against an integrated Europe, with or without the euro.

Since 2010, European leaders have been deferring the hard decisions. Occasionally, there have been political reasons for delays. Yet, times of crises cry for leadership.

Economically, procrastination has sustained the semblance of continuity in the short-term. Politically, it has maintained the status quo of “integration without common institutions”, which is unsustainable. Strategically, it has resulted in misguided military policies that threaten to undermine what is left of the unity of the region.

 

Time is out and delays are no longer an option.

From cyclical contraction to secular stagnation     

The numbers are not encouraging. While the Eurozone (EZ) is amid a fragile cyclical rebound, it is barely breathing as quarterly real GDP growth is at barely 0.3% and inflation close to zero. After half a decade of economic pain, the region will struggle for 1.5% growth. In the coming decade, that will slow close to 1%.

When the global financial crisis hit Europe, its core economies – Germany, France, the UK and Italy – relied on relatively generous social models for cushion, but structural challenges were deferred. In spring 2010, the European sovereign debt crisis was still seen as a liquidity issue and a banking crisis. As Brussels launched its €770 billion “shock and awe” rescue package, it was expected to stabilise the EZ.

However, Brussels and the core economies failed to provide adequate fiscal adjustment, which made mass unemployment a lot worse and continues to penalize confidence, demand and investment. Today, unemployment has decreased to 10.3% n the EZ (and to 8.9% in the EU, respectively). But underemployment remains prohibitively high and youth unemployment amounts to 23% in the EZ and is far higher in crisis countries, such as Greece (48%), Spain (45%) and Italy (39%). In the future, Europe must cope with a ‘lost generation.’

Initially, the small crisis economies (Greece, Portugal) were seen as “exceptions” because they were each less than 3% of the Eurozone GDP. As the crisis spread to Italy and Spain and the ailing economies accounted for almost 30% of the EZ economy, bailout packages were no longer a viable option. But while the urgency for structural reforms has increased dramatically, they continue to be deferred.

How has deleveraging succeeded? Well, it hasn´t, despite the rhetoric of austerity. As percentage of the EZ GDP, general government gross debt soared from 70% to 93% in 2013. It remains at threat levels in Greece (169%) and Portugal (130%) and excessively high in Italy (135%) and France (135%), even Spain (98%).

If Brussels had faced head-on its threats – fiscal, monetary, liquidity, banking and competitiveness challenges – in 2010, it would have been better positioned to do so. The EU was still stronger economically, more united politically and wary strategically. Now that it must face still new challenges, it is weaker economically, polarised politically and assertive strategically. And that does not bode well for the future.

The End Of Europe – New Threats

The “Brexit”

In February, Prime Minister David Cameron struck a deal with EU ministers on revised terms for UK membership in the EU. The British referendum on whether to stay in the EU or to Brexit will be held on June 23. In media, the EU issue has been overwhelmed by domestic politics over the post-Cameron future. When London’s Mayor Boris Johnson gave his support to the Leave vote, he became Tory activists’ favorite to lead the Conservative party. Meanwhile, the UK pound plunged to a seven-year low against the dollar. If the Brexit advances, this is just taste of things to come. Even if the surprise resignation of Cameron’s Work and Pensions Secretary Iain Duncan Smith may have had more to do with his personal ambitions than anti-EU position, it did deal another major blow to Cameron.

British EU-critics argue that the UK is suffering from Brussels’s excessive business regulations and bailouts of financially fragile countries. In contrast, EU-supporters believe the UK benefits greatly from the ease of business to the huge EU market, the flow of young migrants to counter-balance the UK’s greying population and EU’s contribution to national security.

Cameron’s revised EU deal won adjustments to block security-risk migrants, limits of welfare benefits to EU migrant workers, and reimbursement for British contributions on future Eurozone bailouts. The negotiated economic benefits will also allow London to block amendments to new regulations. Last year the UK also won a court case against the ECB, which would have limited the clearing of EZ transactions to within the EZ (a disadvantage to British banks over German and French rivals.

Despite close polls, these positives will be used as evidence that the UK and the City can thrive only with the EU. But with the British referendum, Cameron opened the Pandora’s Box not just for a potential Brexit but to a major shakeup of the EU with the loss of a core economy, a major budget contributor, global financial hub and a defense dynamo. That has potential for a series of negative feedbacks within the EU.

Demise of Schengen

While it took 25 years to consolidate the Schengen agreement, which abolished the EU’s internal borders, the treaty has been severely compromised by a refugee crisis in less than a year. Its reassessment began amid the 2015 influx of some 1.2 million migrants, many of them from Syria. The re-think intensified after the Islamic State’s (IS) terror attack in Paris. As EU states began to re-impose temporary border controls, the EC proposed a major amendment to Schengen. As the refugee crisis has escalated, divisions among EU member states have intensified along the migrant routes causing a virtual domino effect.

After record number of migrants flooded southern Germany from Hungary, via Austria, Germany re-imposed its border controls with Austria. Austria began to limit road and rail traffic on its border with Hungary, which built a fence on its border with Serbia, as even Denmark and Sweden started to step up controls to reduce migrant inflows. When Copenhagen adopted the notorious “jewelry” bill to seize asylum seekers’ assets to cover their expenses, all gloves were off. Yet, member states may reinstate internal border controls for up to two years in “exceptional circumstances.”

As borders are closing within the Fortress Europe, the migrant bottlenecks – especially the Aegean Sea between Greece and Turkey – are at a boiling point, as

reflected by EC President Donald Tusk’s recent plea: “Do not come to Europe! Do not risk your lives and your money!” It was a day when the founders of the EU turned in their graves. The old pretense of open and multicultural, democratic and peaceful Europe was gone. Instead, the new plan would see refugees being forcefully shipped back from Europe across straits patrolled by NATO warships, with Greece as its halfway house and Turkey as its waiting room.

Anti-EU opposition

According to an EC report, the reintroduction of border controls within the Schengen area could reduce EU economic output by €500 billion to €1.4 trillion. In 2010, these arguments could still have shaped the debate. But today, it is the non-economic fears, political divisions, ethnic and religious anxieties that dominate the headlines. As a result, the support for Merkel and the EU’s remaining integrationists is weakening across the region. As long as the migration crisis will linger, it fuels the rise of the anti-EU opposition across old party lines.

Chancellor Merkel has warned that border controls have potential to fragment the EU “into small states” that are not equipped to cope with a globalised world. Indeed, with its more than 500 million people, a truly integrated Europe could absorb even 2-3 million refugees. In the short term, that would cause a modest increase in GDP growth – particularly in main destination countries (Germany, Sweden, Austria) – and energise the region’s stagnating economy and greying demographics.  The medium-term growth effect would depend on the refugees’ integration into the labor market.

However, in the absence of common institutions, the influx of immigrants into Europe is undermining the Schengen, disintegrating the EU, inflating differences among member states and boosting the support of euro-skeptical opposition parties from Heinz-Christian Strache’s right-wing Freedom Party of Austria and Czech President

Milos Zeman to Marine Le Pen’s Front National in France and the increasingly xenophobic Alternative for Germany (AfD). Indecision virtually ensures mounting support for radicalisation and anti-EU views. In German regional elections, the AfD eroded the power of the Christian Democratic and Social Democratic coalition, while unleashing a debate within the former whether Merkel will be a liability in the 2017 federal elections. In Eastern Europe and Balkans, Schengen is already largely history as fences prevail among most states.

Yet, labeling all the opposition parties as “populist” or worse will not mitigate the reality of the issues they address, including unemployment, income inequality, and the fear of foreigners. If the moderate middle fails to lead out from economic stagnation, the not-so-moderate groups will always offer a way.

Geopolitical friction

In March 2014, Washington and Brussels initiated sanctions against Russia in response to developments in Crimea and Eastern Ukraine. Since then, the hope has been that sanctions and the Ukraine crisis would quash President Putin’s politics and boost Ukraine’s economy. In reality, Ukraine has been pushed to a default, while the sanctions have united Russians behind Putin whose popularity rating remains 83%.

Critics of the sanctions argue that the ultimate US/EU objective is not to encourage pro-market policies in Russia but to clip Russia’s economic future in a new Cold War. Meanwhile, sanctions have deepened stagnation in Europe, and reduced the impact of euro economies’ fiscal policies and the effectiveness of the ECB’s quantitative easing (QE). The repercussions are reflected in diminished global growth.

The showdown with Russia and Ukraine is also a reflection of Europe’s increasing assertiveness, which has been prominent particularly in the EU members’ interventions amid the ‘Arab Spring.’ In the early 2000s, President George W. Bush’s White House believed that the War in Iraq would achieve a virtuous domino effect in the region, supplanting “authoritarian tyrants” with “genuine democracies.” In the early 2010s, France, Britain and the NATO seized the opportunity for regime change in Europe’s southern periphery. It was these years of misguided policies in the Middle East and North Africa, coupled with the unwillingness to cooperate with Putin’s Russia that amplified destabilisation across the region and the very refugee crisis that Brussels would now like to contain to its periphery (Greece, Turkey).

Eclipse of monetary effect

Currently, the prime reason for the semblance of stability in Europe is the ECB, which – after the disastrous rate hikes of Jean-Claude Trichet – opted for US-style non-traditional monetary policies. Since fall 2011, an elusive calm has been sustained by Mario Draghi’s pledge to defend the euro “at any cost,” record-low interest rates and rounds of quantitative easing. Yet, realities are different, as evidenced by the euro’s drastic 23% plunge from $1.45 in fall 2008 to $1.13.

Recently, the ECB launched a relatively large easing package, cutting all policy rates and further expanding QE to €80 billion per month. Yet, markets were no longer that impressed. Just as the Fed’s Bernanke a while ago, Draghi has been forced to acknowledge that even non-traditional monetary policies cannot overcome structural challenges. That’s the job of fiscal policy, which would require the kind of common institutions that Brussels lacks. As a result, economic uncertainty, political divisions, and strategic friction are likely to be reinforced by increasing market pessimism as the ECB has few alternatives but to continue to exhaust its policy tools.

Recently Eurozone banks have also been hit by a slate of shocks, while equity sell-off has sparked concerns about their profitability. In Italy, non-performing-loans (NPLs) have soared, which has resulted in efforts to “resolve” some local banks. French banks are suffering from the ECB’s squeezed rates. In Germany, Deutsche Bank suffered a loss of €6.8 billion in 2015, after scandals and lawsuits, while the regional state-owned Landesbanken are coping with adverse markets. With heavy debt burden, Spanish banks’ NPLs remain at elevated levels.

As the EZ banks grow more fragile, they are less likely to support the ECB’s monetary easing in the real economy. By the same token, a systemic banking crisis, coupled with political repercussions, can no longer be excluded.

Changing sovereign risks

The erosion of Europe is not inevitable. Currently, financial and monetary conditions in the Eurozone actually reflect a slight improvement suggesting that the region is still on a rebound. However, economic indicators suggest that growth is slowing, as a result of the region’s new threats and the weight of the old ones.

If the ECB’s policy tools continue to soften, banking system remains fragile and Brussels cannot defuse the new threats, Europe’s sovereign creditworthiness could face substantial downside risks – despite half a century of integration.

A Brexit alone could spark a downgrade to the UK, while providing another push for independence movements from Scotland to Catalonia. Such moves would shift spotlight on the fragile sovereigns in Western Europe’s southern periphery, force new scrutiny of indebted core economies (France, Spain) and increase scrutiny of several EU members in Central and Eastern Europe (CEE), which currently benefit from the EU’s enhanced creditworthiness. Of the 19 Eurozone sovereigns, 16 are investment grade today, while three remain speculative grade (Portugal, Greece, Cyprus) and two have negative outlooks (France, Finland). With a major shakeup, downside risks would increase significantly for those with speculative grade and negative outlooks, while investment grade positions would begin to soften.

If the migration crisis has inflamed the Brexit debate and is fueling Schengen’s erosion, anti-EU opposition and geopolitical friction, is it likely to de-escalate in the foreseeable future? Well, as Merkel’s support is eroding in Germany, the chancellor has sought an agreement with Turkey, which is already hosting 2.7 million refugees from the 5-year-old Syrian civil war. Recently the EU and Turkey reached an agreement that will force asylum seekers (of whom 40% are children) who take clandestine routes to be sent back. In exchange, Turkey will receive €6.6 billion in aid, visa-free access for its citizens in the Schengen zone and the eventual resumption of talks on its EU membership. The deal has been denounced as impractical, legally suspect, hard to enforce and inhuman.

In the short-term, coordinated immigration policies could actually provide a temporary boost in several EU economies, while alleviating the adverse impact of aging populations over time. In the medium-term, more conciliatory policies with Russia and Ukraine, Syria and the Middle East would go a long way to defuse tensions. But in the absence of credible, coordinated and medium-term immigration policies, uncontrolled immigration is likely to continue to undermine Schengen, boost anti-EU forces, and contribute to further geopolitical friction within and around Europe’s periphery – especially in Greece, which is amid its Great Depression and Turkey that’s amid multiple frictions internally and externally.

What if these are the “good years”

While Europe’s growth potential has been significantly diminished in the past half a decade, it is supported by record-low policy rates, rounds of QE, the collapse of oil prices and cheaper euro. It is thus tempting to ask: If these truly are the “good years” of the rebound, how will Europe cope with the “bad years” in the future?

What the European economy needs is more fiscal accommodation and investment to translate lingering growth to structural recovery. Yet, only structural reform efforts have the potential to solidify the future of Europe; with or without the euro. In the medium-term, the region’s economic uncertainty continues to be fueled by the spluttering US recovery, Japan’s contraction and China’s deceleration.

In a very long-term perspective, what we are witnessing is the steady erosion of Europe’s economic power, political clout and strategic weight. Today, Europe still accounts for about 24% in the world economy. As long-term projections suggest, that share is likely to halve by 2050, in part because of the region’s secular stagnation and because of the relatively faster growth of emerging economies.

However, the erosion of Europe in the world economy can be accelerated or decelerated. The past half a decade shows the potential of deceleration, which has pushed Europe to the brink. In the coming months, the challenge is to halt and reverse that trajectory. The longer procrastination prevails in Brussels and the core member states, the harder will be the challenge.

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junction's picture

Europe can thank NWO's Obama for the mess its in.

samjam7's picture

Europeans need to accept that they are controlled by globalists and that these globalists do not have the best interest for the continent at their heart. The hidden agenda is far more sinister and its long-term consequences will be terrible for the old continent!

The Alarmist's picture

It just dawned on me that they might be importing all the ME yewts to battle it out on the streets with all the home-grown unemployed yewts. House divided and all that shizzle.

The Alarmist's picture

The budget should be balanced, the treasury should be refilled, public debt should be reduced, the arrogance of officialdom should be tempered and controlled, and the assistance to foreign lands should be curtailed lest Rome become bankrupt, the mobs should be forced to work and not depend on government for subsistence.

History reveals that public officials heeded not the warning — therefore, the government collapsed.

0b1knob's picture

< And nothing of value lost.

< And not a single phuck given by any American.

French Bloke's picture

Re the Brexit, or potential thereof, the agreement Cameron (a Scot who is also descended from the Rothschilds - google it) made with the EU does not stand up. There was an article here on ZH that stated the EU could rescind the deal. Cameron would have known that so it's all smoke and mirrors as usual...

jus_lite_reading's picture

The globalist have taken full control of the EU. I doubt they will let this failed experiement collapse so easily.

Look at what they have done to save Greece! Going so far as to breaking EU rules and rewriting them to fit their agenda.

And who pays? The people of Europe. With terror, rising violent crimes and more taxes.

Freddie's picture

Can the people of Germany, Sweden and other invaded countries start building guilotines for Merkel and her cronies in the German govt and all of the Swedish govt.   Italy too  plus Austria.  Most of the EU_SSR politicians in Brussels need to lose their heads as well.  If no guilotines are available then use boiled roped.   All the scum who sell out European people with the NWO-Soros invasion need to get groped like in Cologne then face the guilotine.

Viva Le Pen!  AfG, the Belgian guy who likes Trump and other people trying to protect European Citizens.

Brazen Heist's picture

Umm no....Northern and Western European men have been emasculated thanks to PC, feminism and cultural relativism. Don't expect them to do the fighting when the time comes.

Freddie's picture

Well you never know.  They might need to import a few NovoRussians, Czechs, Hungarians or Serbs to help out.

I love how Americans talk big shit about guns especially Texans.  Texans did nothing aftre two Waco mass murders.  texans elect some of the most evil ZWO vermin like LBJ, the Bush klans and that stupid f***king Cubano-Canadian that looks like Grandpa Munster.

Texans love their Trayvon ball players like dumb sheep and allow Texas politicians to flood Texas with more illegals.  Sheep.  All those guns and they are pu**ies.

Ghost of PartysOver's picture

There is something very Nixonian about that stupid f***king Cubano-Canadian that looks like Grandpa Munster.   Tricky Dick is rolling over in his grave with envy.

Freddie's picture

In Nixon's defense, Roger Stone (who worked for Nixon and Reagan) said that Nixon once told him that if George Bush (Poppy) ever became President that he would destroy America.

The Bushes, Clintons and Obola are the same people and old Nixon was right.

The Alarmist's picture

"There is something very Nixonian about that stupid f***king Cubano-Canadian that looks like Grandpa Munster."

Its the makeup that makes him look so creepy.

El Dorado's picture

Interesting, never herd of that, however I'd argue that Nixon taking us off the gold standard inabled the Bushes to deficit spend and invade Iraq twice, along with a handfull of other countries. 

You got to give it to Clinton and Old Newt for managing to balance the budget while persuing their conflicts.  /s

Freddie's picture

Jon Rappaport (writer with a blog and older guy - good stuff) said that Nixon got knifed by the Rockefellers (CFR) because he mentioned the word tariffs. 

Watergate was the payback.  Sure looked like a full See Eye Aye op through their stooges at the Wash Post - Ben Bradley.  The same Ben who's sister-in-law Mary Pinchot-Meyer was murdered probably by Deep State or See Eye Aye.  She had an affair with JFK and her hubby was Cord Meyer who ran Operation Mockingbird - See Eye Aye controlling the media and reporters globally - see most recently Germany.

Anyway, See Eye Aye had all the dirt on Nixon and slowly leaked it.  Who was the See Eye Aye connection at the time? George Bush. My guess is the real Deep Throat taking down Nixon was Rockefeller's boy George Bush.

I believe that the See Eye Aye was set up by the Rockefellers.  Young David R was an OSS agent in WW2. 

Oh and Clinton and Newt are CFR aka owned by the Rockefellers.

Oddly enough, it was posted on ZH about a year ago.  David Rockefellers favorite son who was a doctor and probably not totally evil.  Flew down from Maine in his own turbo prop as he was a pilot.  The plane crashed on takeoff and a suburban NY airport.   Typical elite hit.  They did not kill David Rockefeller - he is 90+ and that would not hurt him.  They killed his son which causes endless pain.

Killdo's picture

As a Serb living in the US - I think Texans are probably pussies due to religious brainwashing (something we never had in Serbia when I was a kid).

The whole purpose of religion is to install irrational fear of invisible friends and to promote misplaced respect for totalitarians/psychopaths. 

Religion is really an addiction to fear and lies - it's been enforcing fraud for thousand of years turning brave men into submissive pussies. 

Religion creates pussies (disconnected from reality so they need preistly class to tell them how to live and what to think in the imagined world where reality does not matter and where you 'live' after you die etc) - Creating pussies is the very purpose of religion. America is a perfect example of how well it works. The original enforcer of FRAUD

Bananamerican's picture

you're pretty fucking stupid for a "Serb living in the u.s."

Ghordius's picture

The Sky Is The Limit!

when I started to read this article, I was groaning, at first. but it has excellent parts, and in it's whole it is thoughtful and somewhat balanced. so just some pickings

"Yet, times of crises cry for leadership"+"However, Brussels and the core economies failed to provide adequate fiscal adjustment..."

translation = spend moar! spend moar! budgets don't matter! answer: thanks, but no, thanks

"Strategically, it has resulted in misguided military policies that threaten to undermine what is left of the unity of the region" + "In the early 2010s, France, Britain and the NATO seized the opportunity for regime change in Europe’s southern periphery"

note here the weasel word NATO next to France and Britain. who is this NATO, if you take two out of the three nuclear Powers out of it? for sure not Russia, so...

"Critics of the sanctions argue that the ultimate US/EU objective is not to encourage pro-market policies in Russia but to clip Russia’s economic future in a new Cold War "

two words: Victoria Nuland. meanwhile... sanctions? really? btw anybody really thinking that any EU country wants "to clip Russia's economic future" ought to have his head checked

"The repercussions (of ECB policies) are reflected in diminished global growth."

to all ZHr's that hunt for "globalists", here how you can detect "globalist talk": two words combined together,     global + growth = success, period

then a "globalist" does not care how and where this growth happens, or even how. he can reap his profits from it anywhere and however

the part about BreXit is good, but it's only as good as the arguments used on both sides, which, frankly, I regard as rubbish

BreXit is a decision about things that are not quantifiable. Britons expect both sides to spell out benefits... as if they could. And so both sides provide... rubbish

as rubbish as the deal that Cameron made at the EU Council. mostly not doable, and this "The negotiated economic benefits will also allow London to block amendments to new regulations..." is, frankly, insulting to both the British electorate and the rest of the EU, since it is what Westminster always had, particularly since the "opt-out" deal is in place

but you can't expect any Briton to spell it out because... they are all either very divided on the matter or terribly partisan, and so both sides lie

so Britons will march to the polls to give either a "Leave" vote with their heart or a "Stay" vote with their brains... when they would actually prefer a "Ask me again in a few years"

"labeling all the opposition parties as “populist” or worse will not mitigate the reality of the issues they address"

correct, it never did. populist is anyway a strongly misunderstood word. alas, the grass-and-root activists of any "populist" party are not noted for their use of a vocabulary, so let them think it's a slur. Cameron used something like "swivel-eyed loons", which is indeed a bit harsher then that

"If the moderate middle fails to lead out from economic stagnation, the not-so-moderate groups will always offer a way" no, they won't. first, because of course that leadership out of stagnation is moar spending, moar lending, and they are generally speaking not for those neo-keynesian practices, and second because the practices they favour, let's call them neo-nationalistic, usually go in direction of state capitalistic measures... of which many of them are also sick of, mostly

dear author, again, my compliments for the article, even in the presence of many misgivings from me

no, Russia is not our Best Friend Forever. but we vastly prefer a peaceful, prosperous and trading Russia to any other option

no, the ME and North Africa is a mess of gigantic proportion, with 13 frigging million refugees. but we did hint that Saddam had no WMDs, and the French ate their Freedom Fries for that

you say "Economically, procrastination has sustained the semblance of continuity in the short-term". fine. I point to the "savings glut"

Dr. Bonzo's picture

I was watching Wilders debate the entire 2e Kamer (Dutch lower house) on Islam. Listening to these lunatics you can see the end is near. You'd think 1 guy debating 149 other representatives he's the lone nut, but he single-handedly represents over 51% of the population. Then you start wondering... where are the rest of the representatives? Indeed, there are dual-citizen Dutch politicians. Moroccans. Turks. Passport carrying dual-citizen Turks.... the thought of treason hasn't even arisen on these fucks.

Europe is burying itself alive granting islam the same sort of rights and recognition as religions. As soon as muslims communities become majority communities the real curtailment of rights begins.

Europe has a choice to become illiberal on its own terms or on islam's terms. It's as simple as that.

Freddie's picture

Amerika has a dual shitizen President, a large part of the ConGrezz, much of the State Dept./CIA and a goofy Canadian running for President who is also a dual shiti-zen. 

I have owned a fine quality Dutch-made Norelco shaver for about 25 years and it works like a charm.  High quality.  The Dutch obviously know how to build sharp shaving blades.  Time to use that expertise for guilotines.

Remember this is the same scum who killed Pim Fortyun.  Wilders is a good man.

Sturm und Drang's picture

Wilders is an extremist by any definition.

Sturm und Drang's picture

..."I would remind you that extremism in the defense of liberty is no vice! And let me remind you also that moderation in the pursuit of justice is no virtue!" Barry Goldwater

Fuck you.

BarkingCat's picture

No fuck you. Treasonous pieces of shit like you need to be dealt in a very old fashioned way. 

Man has protected his tribe or his clan throughout history. There is s very good reason for that.

Sturm und Drang's picture

Apparently reading comprehension is not your forte, bitch.

Freddie's picture

Yeah the elites and their media said the same thing about Pim Fortyun which is the media/See Eye Aye/mind control silent dog whistle for crazies to kill people they do not like.

Some piece of shit came out and killed Pim.  The dirtbag has already received parole for the murder.  Did they parole the Muslim who butcher Theo Van Gogh in the street in Amsterdam?

East Indian's picture

"the flow of young migrants to counter-balance the UK’s greying population" 

 

The "greying" of native population was not something natural; it was artificial. Britons were very much capable of increasing their population; yet they were told to keep their families small, to save a dying world, and they obeyed; now they are importing people to "make up for the deficit"?

 

Anyone who advocates this policy of importing young immigrants to overpower the old citizens should be compelled to personally adopt a child from a third world country, and he / she should be forced to bequeth his / her properties to this adopted child.

HRH of Aquitaine's picture
HRH of Aquitaine (not verified) East Indian Mar 30, 2016 9:11 AM

Yes. Plus people know how expensive it is to raise a child.

The gimmigrants don't want to work they just want free shit.

Brazen Heist's picture

Europe has been through worse.

But it is the end of Europe as we know it, thanks to the dumb fucks in government and their policies. Normal people now have to suffer because of these open door agendas, meddling in the Middle East, antagonizing Russia and sucking up to Uncle Sam endlessly.

High time for a revolution, hang the ruling classes!

HRH of Aquitaine's picture
HRH of Aquitaine (not verified) Brazen Heist Mar 30, 2016 9:12 AM

Oh revolution is coming. When? Soon.

semperfi's picture

it is what you make it - so whenever you choose

jus_lite_reading's picture

Behind every 300 rapeugees stands a globalist bankster war criminal.

Lorca&#039;s Novena's picture

Kill the bankers and burn down the banks. Kill anyone associated with the banks. Elect a good person to rule. Then kill the opposers.

The Alarmist's picture

The budget should be balanced, the treasury should be refilled, public debt should be reduced, the arrogance of officialdom should be tempered and controlled, and the assistance to foreign lands should be curtailed lest Rome become bankrupt, the mobs should be forced to work and not depend on government for subsistence.

History reveals that public officials heeded not the warning — therefore, the government collapsed.

Sturm und Drang's picture

Dear respective Nations collectively known as "Europe",

  1. Tell the Americans to piss off and GTFO of your respective countries.
  2. Round up all the socialists/communists and send them to America. There could well be a purge soon.
  3. Round up all the rapefugees and send them packing back to whatever shithole they came from.
  4. Shoot terrorists on the spot. (ok, maybe reverse #3 & #4, save time and money)
  5. Nuke Brussels with the warning that if they try to pull that EU shit again there'll be no waiting until you're staring into the gaping maw of the abyss.
Felix da Kat's picture

Schengen was always doomed to fail from its beginning. The open borders of the Schengen agreement provided for forced acceptance of "refugees" from Islamic countries. Islam is a supremacist religion "You submit or you die". Liberal bureaucrats have tried very hard to hide this truth of Islam from the gullible masses of Europeans (and now from Americans). These same leaders who control the EU are using Islamic fighters as "useful idiots" to wage a "quiet-war" to distract Europe away from conservative/traditional opposition and toward their liberal doctrines. it is all part of a master plan to tighten control on the continent that ultimately will result in the imposition of a New World order which is really the Liberal World Order that these same bureaucrats are so vehemently striving toward. 

Buenaventura's picture

Thought it had already ended, giving your previous time-scale of 10 days till the end. Or was it supposed to end at the last greek bailout?...

Stick to economics and investment guys. Geopolitics is not your forte. Much less European politics which you manifestly do not understand.

semperfi's picture

Dear ordinary Europeans,

Once again you need to overthrow your corrupt kings.  They are the EU chiefs and the ECB. 

Wishing you the best of luck...

Theonewhoknows's picture
Theonewhoknows (not verified) Mar 30, 2016 9:27 AM

FED being the only one choosing 'prudent' direction (if a hike of 0.25% can be called 'direction'). But it’s because everywhere else banks are doing the opposite - for this exact reason- To help the FED and to pay the debt to the FED after 2008 help. The same help that got Bernanke puzzled during his hearing in front of the congress. As he 'didn't remember' how much money European banks got during 2008 meltdown. Now FED is in trouble so EBC is doing everything to look like a trash to give obvious choice for investors as to where to put their money. http://independenttrader.org/the-madness-of-the-ecb.html 

JIMSJOE2's picture

Migrants don't increase GDP as they will not intergrate and don't speak the language so it becomes a drain as taxes must be increased to pay all the benefits they receive. Also most of the countries increased taxes, the EU itself increased costly regulations and the funds saved from "austerity" go directly to the EU, hedge funds and banks not helping the real economy. Austerity takes funds from the real economy causing slow or no growth at all and increases unemployment. It appears that all this was intentionally done to destroy the economies of most EU countries, make them dependent on the EU and then certain financial entities sweep in to take the remaining assets of the people. The EU is finished!

Sandmann's picture

unless the migrants pick cotton as in Dixie.......

Sandmann's picture

UK has fastest growing population in Europe so I don't know about greying.......of course its fastest growing section of the population is Muslim so no doubt a future like Pakistan is in prospect

Kaeako's picture

Large changes in population happening in Western Europe as a whole, as a result the "project" for a United States of Europe is still very much in its infancy. There's no way to reverse these changes, the "foreigners" are there, they are multiplying and participating in the economies. How well these populations coexist and mingle, then continue on to assume a new "European" identity will ultimately decide the fate of the project.

Tetres's picture

ELITE are enslaving the masses with the 8th wonder of the world.....DEBT

africoman's picture

Not yet but soon Amigos!

luckylongshot's picture

The cycle of power centralisation leading to tyranny leading to revolution ticks on as it always has. The EU was only ever a tool for power centralisation  developed by the Rothschilds and their evil minions. Breaking up the EU is a good idea but it is not enough. We need to take the right to create money away from the private banks and return it to the public if there is going to be any improvement in the prospeccts of the 99%.

Stu Elsample's picture

The old Europe (before socialism/globalism ruined it) ended when the foolish citizens of many European countries handed their guns over to their 'trusty' gubments. They have 2 powerful ARMED enemies to fight (their corrupt governments, and the radical Muslim invaders who are being allowed to take over Europe). The only weapons that Euro-PEONS have now are ptchforks and rocks, and they're too scared to use even those.... they're screwed.

You hapless folks in Europe have a nice Sharia law day...i'm heading out to have some 500 yard target fun with the M1A, and I'lll be shooting a few other 'evil and icky' guns too.

oncemore's picture

BS!!!!

 

BS again  !!!!!!

......After record number of migrants flooded southern Germany from Hungary, via Austria, Germany re-imposed its border controls with Austria. Austria began to limit road and rail traffic on its border with Hungary, which built a fence on its border with Serbia, as even Denmark and Sweden started to step up controls to reduce migrant inflows......

 

I live here (Austria , South Germany). I have seen no controls and check points as it used to be, when you cross the border of sovereign state.

Pliskin's picture

Can you hear that?

It's the smallest violin in the world playing for Europe.

Grow some fuckin' balls you Euroturds, tell the Yanky bumboy, Neo-con fucktards to fuck right off, start managing your own foreign policy, start trading with Russia again (God knows, you need the money) stop spending any spare cash (and cash that isn't to spare) on bombs, fighter jets, tanks, armaments, start spending it on hospitals, schools, librarys, playgrounds, infrastructure.

Or, just keep going the way you are...sucking on the Soros weenie, nibbling on the Nuland Nipple, Slavering on the Neo-con's schlong....and fuck you, you get all you deserve.

 

oncemore's picture

poorly researched article.

 

should not be published on ZH, it drops the quality of the pages.

 

the only fact I share with the author is the immigration isue.

 

We can see, what does it mean for host land, to allow unlimited uncontrolled immigration, when we look at Palestina.

Truks, doenmeh, convertites to phariseism, from kaspic sea, came from east Europe to <palestina 80 years ago and are still coming.judaism, as are those, who occupy Palestina.

They killed of the local population, they robbed the land from the native population and today the Palestinians are dying a smalow and ceetain death.

Europe is blackmailed by US into the same situation. US is run by the same turks convertites to