. Space Industry and Business News .




.
POLITICAL ECONOMY
Eurozone crisis revives old rivalries
by Staff Writers
Brussels (UPI) Dec 16, 2011

disclaimer: image is for illustration purposes only

Before another EU member lines up for a bailout and cries for help, the political organization behind the European Union and its eurozone is betraying signs of stress that recall the historical baggage of rivalries that kept the union's constituents apart for many years.

EU's current bete noir Britain is the prime target of europhiles for failing to stand up for the eurozone at last week's summit, a conference that produced a two-tier Europe with Britain flung to the bottom rung.

As the eurozone shows little sign of stabilizing and multiple downgrades of banks and then possibly states loom large, Europe is back in form as a group of nations harking back to historical enmities for instant comfort.

European Parliament members last week mocked Britain and briefly boycotted English as a language of communication and the French this week sharpened their words critical of old foe Britain.

Several major banks faced the first of crushing downgrades Friday and markets feared sovereign downgrades by credit rating agencies could follow soon. France said it wanted Britain downgraded first, before it could face its own sovereign downgrade -- as if either nation had a choice at the hands of ratings trio Fitch, Moody's and Standard and Poor's.

The entire EU is on Standard and Poor's list of entities on watch for possible downgrade.

French Finance Minister Francois Baroin attacked Britain's economy, arguing it was weaker than France's. French Central Bank head Christian Noyer said any sovereign downgrade should begin with Britain "which has more deficits, as much debt, more inflation, less growth than us."

Analysts said a sovereign downgrade of either Britain or France from their triple-A ratings could start a series of downgrades across the board in Europe. Several major banks were downgraded this week.

Although British officials said they had a "credible plan" to keep Britain afloat, they faced further recrimination from European counterparts as London prepares to join more EU consultations on saving the eurozone.

Last week, the European Parliament heard calls for Britain to be punished for its perceived betrayal and disloyalty to a common cause.

The other 26 members of the union remain divided over terms of keeping the eurozone alive, amid fears the collective rescue effort could be unpopular at home and cost them their governments.

Hard-pressed Hungary and cash-shy Czech Republic have already changed their minds about last week's much trumpeted fiscal union plan.

Hungarian Prime Minister Viktor Orban said he won't join any deal that moved toward tax harmonization. Czech Prime Minister Petr Necas said a common tax policy wouldn't be "good for us."

Both raised concerns about EU plans for a closer fiscal union, saying that should apply only to eurozone states.

The eurozone consists of 17 of the 27 EU countries -- Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, Malta, the Netherlands, Portugal, Slovakia, Slovenia and Spain.

France and Germany want a deal that requires eurozone countries to have common corporation and financial transaction taxes. At last week's talks, they could secure agreement only on a coordinated economic policy.

British Prime Minister David Cameron made himself unpopular in Brussels last week when he vetoed an attempt by French President Nicolas Sarkozy and German Chancellor Angela Merkel to turn tighter fiscal controls into a new EU treaty.

Sweden said it will leave its Parliament to decide on the deal. Other northern European states are also not too keen on a deal that may demand major fiscal and political sacrifices.

European Council President Herman Van Rompuy announced another EU leaders' summit would be called by late January or early February to secure agreement on the text of a new accord.

Related Links
The Economy




.
.
Get Our Free Newsletters Via Email
...
Buy Advertising Editorial Enquiries






.

. Comment on this article via your Facebook, Yahoo, AOL, Hotmail login.

Share this article via these popular social media networks
del.icio.usdel.icio.us DiggDigg RedditReddit GoogleGoogle



POLITICAL ECONOMY
Brazil backs alternative regional bank
Brasilia, Brazil (UPI) Dec 15, 2011
The ongoing eurozone crisis has crystallized Brazilian government opinion that an alternative Bank of the South is a good idea. The Bank of the South was proposed by Venezuelan President Hugo Chavez as part of a populist agenda that aimed to steer all of Central and South America and the Caribbean toward a radical socialist Bolivarian revolution, attributed nominally to 19th-century Lat ... read more


POLITICAL ECONOMY
Tool enables scientists to uncover patterns in vast data sets

Samsung files new claims against Apple in Germany

Cotton fabric cleans itself when exposed to ordinary sunlight

Stress causes clogs in coffee and coal

POLITICAL ECONOMY
Satellite Tracking Specialist, Track24, wins Canadian Government Contract

Airman brings space to ground forces

Astrium achieves Initial System Acceptance on Yahsat programme

Northrop Grumman Awarded Microscale Power Conversion Contract

POLITICAL ECONOMY
Orbital Selects Antares as Permanent Name For New Rocket Based On Taurus II Program

Arianespace selected to launch MEASAT-3b

AMOS-5 Communications Satellite Successfully Launched

Second Arianespace Soyuz rolled out for launch at Spaceport Kourou

POLITICAL ECONOMY
Lockheed Martin Delivers GPS 3 Pathfinder Satellite to Denver on Schedule

Galileo in tune as first navigation signal transmitted to Earth

Glonass satnav system targets Latin America and India

Lightweight GPS tags help research track animals of all sizes

POLITICAL ECONOMY
Qantas reaches agreement with engineers

Removing sulfur from jet fuel cools climate

Cathay announces economy class upgrade

Airbus eyes Japan's budget carriers

POLITICAL ECONOMY
Quantum Computing Has Applications in Magnetic Imaging

Sharpening the lines could lead to even smaller features and faster microchips

Optical Fiber Innovation Could Make Future Optical Computers a 'SNAP'

New method for enhancing thermal conductivity could cool computer chips, lasers and other devices

POLITICAL ECONOMY
SMOS detects freezing soil as winter takes grip

NASA Gears Up for Airborne Study of Earth's Radiation Balance

Study Shows More Shrubbery in a Warming World

Astrium awarded Sentinel 5 Precursor contract

POLITICAL ECONOMY
Mercury releases into the atmosphere from ancient to modern times

Keeping our beaches safe

Christmas shopping hampered as Milan battles smog

Beijing under pressure to change pollution measuring


.

The content herein, unless otherwise known to be public domain, are Copyright 1995-2012 - Space Media Network. AFP and UPI Wire Stories are copyright Agence France-Presse and United Press International. ESA Portal Reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement,agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement