Britannia Radio

In an interview with Jean-Claude Trichet, President of the European Central Bank and the Financial Times (FT) conducted by Lionel Barber (Wednesday, 10 December 2008 in Frankfurt), 

Mr Trichet has declared: “We don’t have a federal government. 

We don’t have a federal budget. 

If we unravel the Stability and Growth Pact we won’t rebuild it afterwards. 

It would have been unravelled. 

And what would I say then to American friends telling me, ‘you put the cart before the horse - you don’t have a federal budget or a federal government - but you have a single currency’? 

I understand that from the outside our setup might seem a little surprising, but taking everything into account, the credibility of the euro area, the fact that there has been a quid pro quo at the birth of the euro area in terms of the institutional framework, our setup is very solid.”

So, Mr Trichet is well aware of the nature of the contradictions of having a single currency without proper institutional bodies. 

And yet he, as most of the Europeanists, hardly seems to have the courage and clear-sightedness to make proposals to extricate the Eurozone from the situation in which it is currently ensnared. 

The Eurozone member State are bound sooner or later to find themselves faced with a dramatic choice:

either to give up their sovereignty or to renounce monetary union. 

If they will decide to give up their sovereignty, they will have to make a revolutionary leap forward: 

the Eurozone member States (or at least the most important ones among them) should cease to exist as sovereign entities so as to allow a new European federal state to be born which will, in its turn, exercise the prerogative of sovereignty. 

On the contrary, if they will renounce to monetary union, they’ll be nake and powerless vis à vis the rest of the world.
http://the-federalist.bravereflections.com/