Mapping The Deepening Political Divide Within The Eurozone

Tyler Durden's picture

Is a fiscal union possible? Is it possible to credibly remove risk from the market and enforce budgetary and deficit targets? As Barclays notes, it appears that, given the apparently deepening divide among euro area politicians, any credible solution will be difficult to attain.

Source: Barclays

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GeneMarchbanks's picture

Source: Barclays

Immediate loss of interest.(unintended)

veyron's picture

Who else would be writing this crap?

Cupid Stunt's picture

Morgan Stanley, J P Morgan, The Muppet Masters.

francis_sawyer's picture

Is Switzerland a lake now? (Must be, because of all the gold lost from boating accidents)...

B-rock's picture

They don't even know where Austria is. Did Austria invade Slovenia (yet)?

CClarity's picture

Where is Slovenia, Croatia, Serbia, Bosnia, Montenegro etc . . . ?  Stange map.  Slovenia already in, others on crux.

TWSceptic's picture

It's a map of only EU members. B-rock: yes that is Austria.

Grimbert's picture

Looks like all the EU except Slovenia. Slovenia are in the EU and use the Euro



Gief Gold Plox's picture

But hasn't (at least to my knowledge) said anything stupid about Germany, Spain, Italy or Greece in a while --hence not relevant and "un-mapped" Plus due to it's enormous size could be bailed out by a voluntary metals pool of a few ZH readers

OttoMBMP's picture

Ah with access to the mediterranean? The emperor will be glad to hear!

GeneMarchbanks's picture

Those do not exist for banks like Barclays because the people of the former Yugoslavia do not go blindly into a borrowing binge at the individual level after the mayhem unleashed on them in the 80s and 90s.

Since they cannot be exploitated outright and potential gain is miniscule, the delightful folks at Barclays have re-drawn the map according to bankers and, as usual like typical bankers, mistaken the map for the territory.

battle axe's picture

Translation: Northern Europe Good, Southern Europe BAD...

bdc63's picture

Done.  Finito.  Kaput. 

The Euro and "Union" are dead as a doornail.

If you can't see it, then learn to say "bahhhhh" and prepared to be sheared

El Viejo's picture

What goes around comes around.

carbonmutant's picture

The divide will change as soon as Merkel loosens up on the purse strings...

G20 Rumor:

WhyDoesItHurtWhen iPee's picture

This group of countries can only survive together when the money was cheap/free.  Otherwise they have a soccer fan mentality us vs. them nationalism.

carbonmutant's picture

This appears to be true.

Which means you'll hear more talk of fiscal unity if the G20 rumor of more cheap money also turns out to be true.

Update: Don't believe anything until it's officially denied.

Mongo's picture

Talk is cheep... they better collateralize their bullshit then maybe it would sell...

lizzy36's picture

My bet is a Fiscal Union amongst the 17 countries is as likely as me becoming Mrs. JFK jr.

BLOTTO's picture

Germany - controlling (or trying to) the whole gong show 50-60 years later without firing a single shot.


Bavarian/Frankish Houses of Europe - descedents of Meorvingian Kings running the show. (Remember when Charles said he was a descedent of Vlad the Impaler? Umm, that would make 'Mommy' a descedent too) 

Ask yourself - who is that really sitting on the throne in Buckingham Palace? Trace back the Mother of All Family Trees and you'll get some very interesting answers. (Blue Bloods - pure)

I mean in the beginning - someone had to move to that foggy fucking rainy desolate island to hide..they didnt start there.

A new Holy Roman Empire is upon us... supported by the Vatican. Its all an occult shit show - for upcoming Luciferian Age.

Fuckin sucks.

I wish i had better news to tell you...





kridkrid's picture

I wrote this yesterday... nothing has changed today...

I think the notion that a monetary union can't work without a fiscal union is a red herring.  What can't work, in the long run, is a monetary system based on credit/debt money and fractional reserve banking.  A system where virtually all money is loaned into existence with interest attached to that loan requires that debt be in a state of constant growth.  Pointing fingers as the pieces who carry the most debt is looking at the symptom, not the cause.  If the EU had a fiscal union, the same problems would still exist... look at the US, for example.  

Uncle Remus's picture

Bwana Debt. Something smells bad and it's not coming from Denmark.

Dr. Engali's picture

Yeah sorry about that. I had a burrito for lunch.

Amish Hacker's picture

Time for ZH to run those comical maps again, Europe as seen by the Greeks, the French, the Germans, etc.

apberusdisvet's picture



Can't wait for the derivative shitstorm

Dr. Engali's picture

Does anybody have the Bernank hotline so we can get the days traget ending number on the s&p?

hooligan2009's picture

There is a solution to the global debt crisis that is currently attracting the most attention in Southern Europe in a frenzied attempt to divert attention away from all countries. It boots nothing to point fingers at others in a hostage and say "kill them first" to a terrorist. Japan, the UK, the US and Germany are in just as parlous a state with all countries running deficits even at manipulated and regulated interst rates by their Government controlled central banks. All government debt is consumer debt, just labelled differently and assumed to have a majority of consumers abale to pay for delinquent consumers. 

The solution is to place a covenant in each bond issued by governments (consumers) that mandates a priority claim on Government debt from taxes when the debt reaches a level and over a period of time that is rational. This has to start today. There will be no borrowing to cover off fiscal excess. Governments must set a budget with a net zero of spending over revenue, right now.

No ifs, no buts, no maybes, no super committees. It is an undisputed fact that you cant pay off debt without actually paying debt back.

If the chosen metric for rational behavior is a debt to GDP ratio of 50% with a current level is 80%, a reasonable time frame might be ten years. Taxes would be garnished to retire 3% of GDP per annum for ten years, before the political process is engaged to redistribute. Make this the Hooligan tax if you want. 

You can dress it up any way you want, use any metric, maybe primary suplus, maybe some sort of Government loan to value, the bottom line is don't ask a terrorist to shoot anothe hostage, when the terrorist might first be inclined to shoot no-one!

GCT's picture

I do not think there will ever be a fiscal union as that requires soverign countries to give up soverignty,  For a fiscal union to work everyone would have to retire at the same age across the continent, benefit programs the same, taxes and the collection of taxes the same,  and the list would go on and on.  Not going to happen in my lifetime.

The Euro was originally designed to have soverign countries form the Dictatorship of Europe without a shot being fired.   If the crisis gets bad enough they may well form the union but we are not there yet.  Ms. Merkel must get the German Supremes to change their decision that is holding her back! 

whoknoz's picture

...more like a fecal union i would say...

earleflorida's picture

Funny... this Mussolinish-Full`Monti marching in goose-step formation to mein kampf's symbolic overtures, whilst lacking ze`fuhre of a marque 'black-strapped-polished-boot'! Nastalgic for tangible substance is he that dwells in obscurity evermore... a shoeless geography washed out by thy own thieves?

PM Monti's bravado via Italy --- "We will make it our own and we are making it, and not by ceding our sovereignty or under the heel of a troika"  

'Alas the troika? Has it not been said that three is a crowd, and yet the couple whom invites the guest is surely begging for a feisty tryst? Surely it is truth... that all politicians make strange bedfellows... that of a third kind, but whom would have guessed - this subtle essence of amore causing such stress between Sir Monti and his estranged she-goldman-sach's, both lusting for their calamari lover beneath the chameleon canopy of open minded skies?'

Linus2011's picture

Americans with their view of Europe - mostly derived from bad Hollywood movies.

Never been there, don't know what you suckers talk about huh?


GCT's picture

Some of us have lived in Europe not all Americans are dumb.  I lived in Germany for 7 years in Augsburg, Heidleburg and Stuttgart and loved it.  I kinda sorta look at it like this, Europeans have their thoughts on our system, and Americans have their thoughts on the European system.  Instead of being a dick and a jerk it might go alot further to elighten each other.    


The Euro and the Union are not dead yet (unfortunately) they simply have terminal cancer. Their death is going to be a slow and painful process. 


Silversem's picture

If the euro dies, there will be a lot of excellent cfd trading opportunities along the way. I can't wait!

Yen Cross's picture

 The Effin heads of the EU(Van Rompuy & EC(Barroso) can't even play in the same Sandbox together!

ebworthen's picture

So when does tank production gear-up?

tony wilson's picture

assange the real deal or the cia guy has just done a runner to equador...

michigan independant's picture

This industrial complex was never a prime target for bombing in World War II

Voters are stupid, red or blue.

Herdee's picture

We are coming to a point where central banks around the globe must make a major decision together with the help of course of their G20 leaders.Are you going to print like hell and find ways to create inflation or are you going to let a deflationary spiral in the down direction take hold.My take is that there has to be a big washout of bad asset debt taken off the books before inflation can occur again which will create the next economic expansion.The reason is simple,it is easier now to control inflation by interest rates and taxes.Besides that,the major nations of the world have a lot of overall debt that they must get rid of by paying it back with cheaper valued money down the road.Their tax revenues are falling and war along with large expeditures on social benefits and prison systems that are killing them.The United States is a perfect example,create inflation or go bust as the world's war mongering policeman,and lock up more people than Russia and China combined.By the way,make the prison system a "for-profit" network(privatization),where politicians,judges,cops and jail guards take a dividend off the system and they make money for their pension funds.They use the hard working taxpayers as stupid suckers.Assets will have to rise after the washout happens if the plan is to work.