I replied to an article by Kenneth Rogoff at Project Syndicate which I thought was worthy of posting. Here it is:
Thank you for lending your voice to a much needed set of observations regarding the EU. I am dismayed that we are not learning from history and like a rookie using something like a Maastricht Treaty to try to create a political union. You can read all about this at http://wp.me/p26aPU-aX. Every ounce of experience in history tells us this cannot work. I was especially relieved by the comment:
“At a minimum, currency unions require a confederation with far more centralized power over taxation and other policies than European leaders envision for the eurozone”
Which is a gross understatement. After crossing the Hudson I think General Washington would have agreed. These kinds unions don’t work and its elementary knowledge.
A strong federal construction must exist in Europe for any common currency to work because: 1.) any viable currency must have the full backing of law. 2.) no viable currency will last in a legal framework in which symmetry does not exist. 3.) all of the Masstricht provisions regarding centraliized economic policy are ultimately voluntary, which won’t work either.
The EU needs to act with abandon but deliberation in creating a political, federal union, which is what they should have done to start with.
This also vindicates my numerous statements regarding the Slaughter Fallacy and how multilateralism and “disaggregated” states are no better a global governance solution than the EU is.
You can read about this Fallacy at http://wp.me/p26aPU-ff. Global leaders need to sit down and have a nice big cup of come back from Oz and take stock of the vast experience we all have which points us to federalism, and imo, to General Federalism.
The EU will fail if a federal legal system with federal fundamental law is not established very soon.