[chinese blood, irish heart] - DEFUNCT: The Yo-yo's in trouble

Friday, June 10, 2005

The Yo-yo's in trouble

Wow, even the French have rejected the European consitution. Even more so because the EU has been a French concept and been directed by the vision of French politicians. With a turnout of 69%, 55% rejected the constitution. Most blame inadequate information provided to the public. This has sent tremors within the EU and many Euro skeptics are coming out of the shadows with a new sense of vigour.
The Euro has been under scrutiny lately, many blaming the inflationary differences between member states. Although the Euro has been doing well against the US Dollar, it hides the fact that the economies of Europe are worsening: severe social cut-backs in France, high unemployment in Germany and Ireland, well things aren't going to get any cheaper are they? There is particular Euro resistance in Italy where there is severe inflation. In fact, some supermarkets still accept Lira! Banks are also trading with Lira.
There isn't a date set for Ireland's referendum, but it will be before November 1st 2006, the target date for ratification. Is it going to be another Nice Treaty job? Vote No, only to hold another referendum? With France rejecting it, there isn't much hope. The EU isn't going to get its 'super-state' after all.