Wolfgang Münchau, writing in the FT on 2nd July rightly says that that the apparent winner in the current round of the seemingly interminable EU bail out talks was not Italy’s Mario Monti but the German Chancellor, Angela Merkel.
Question: But who was the real loser?
Answer: The men and women in the street. The price for Italy’s and Spain’s superficial victory last Friday is centralised banking regulation. This is a price that will continued to be paid, especially by the vulnerable indebted states. If the EU does survive long-term (which I doubt, it will break into two or three fragments, but more of that in another post) then decision-making will be incredibly centralised. The voices of the people in the street will become barely audible, annoying, background noise.
Is this Democracy 2.0?