Saturday, 26 May 2012

Germany comes up with a "new" idea for solving the euro crisis

In the true spirit of the EUSSR, the German government has now come up with a "new" idea of how to solve the economic problems of the crisis ridden euro zone: 

SPIEGEL has learned that the German government has developed a proposal calling for special economic zones to be created in crisis-plagued countries at the periphery of the euro zone. Under the plans, foreign investors could be attracted to those zones through tax incentives and looser regulations.

The Germans must have found inspiration for this idea from another "empire": 

Particularly, noteworthy is the recent decision of the Government of the Union of Soviet Socialist Republics to set up free economic zones. Through these, market principles will for the first time be introduced directly into parts of the Soviet economy. The zones will also be an important means by which to adv ance the country's integration into the international economy and to achieve rouble convertibility. 

(UNCTAD report, 1990)


There is actually one area in which the German idea could turn out to be be very succesful: The dreaded trade war with China and India (and possibly a number of other countries) over the senseless EU aviation emissions tax could be avoided if all international EU airports were declared special economic zones, with "looser regulations" ...

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