Sunday 22 April 2012

Euro and eurozone Marine Le Pen


She regrets the absence of a public debate in France about the relevance of the single currency and claims that such a debate promoted by economists exists in Germany.
She claims that the implementation of the Euro entailed a rise in prices and its abandonment would lead to an increase in purchasing power. Quoting economic data from Eurostat (annual average growth, unemployment, GDP gap), she notes that "the European countries which did not enter the euro display higher performances than countries in the eurozone for ten years". Interviewed in October 2011 by Adam Boulton on Sky News, she cited the UK's relative stability as an example of how France's economy need not suffer from pulling out of the euro. She noticed that "United Kingdom is not in the eurozone and does not have the least desire to be in it. UK does not tolerate this kind of taking away of its freedom".
In order to recover monetary sovereignty, she advocates that France should gradually leave the euro with a new conversion rate fixed to 1 euro = 1 franc. In her view, France should jointly negotiate a "grouped departure" from the euro and eurozone. This departure should take effect on the same day and include the other European countries (such as Ireland, Greece, Italy, Spain, Portugal, Belgium) which are suffering because of the single currency. Since the present government and the whole political class had strongly criticized her economic plan, she submitted a new document detailing how a successful departure of United Kingdom, Spain and Italy from the European Monetary System (EMS) had been achieved from September 1992.
She explains the tenet and the mechanism of a competitive devaluation (J curve), which "will quickly have a positive effect on employment and purchasing power, stimulating industry, international trade and enabling to fight offshorings". Quoting extracts from a book by the French economist Alain Cotta, she claims that a devaluation of the franc will not bring about inflation.
She anticipates a "total economic federalization of the eurozone". In her view, "this option which is favoured by the European technostructure, presents all the features of a totalitarian utopia". She claims that a "monstrous superstructure, already named 'European ministry of Finance', would decide in the opaqueness our policies of education, health and security". In her view, "the federal headlong rush also supposes a massive financial transfer of our countries towards Southern and Eastern Europe, at the detriment of the most vulnerable French people".
About successive bailout plans, she laments that "the contributing countries, France in particular, throw in the hole of the European debt billions which dig their deficits and come them closer to the eye of the cyclone". In her view, "the hundred of billions paid do not product any result, will not settle any problem, will not rescue a eurozone already in bankruptcy and push France into the chasm of excessive debt, whereas the French debt has already exploded under the mandate of Nicolas Sarkozy". Fearing that "France falls into the excessive debt", she refuses "any new assistance plan in order to bail out one after the other the countries suffering because of the single currency".


She asserts that despite the expansion of the abilities of the European Financial Stability Facility, reassuring announcements and new austerity plans, Greece is sinking, social devastation is intensifying and the anger of the people bursts out. On July 2011, she claimed that "after the seventeen billions of the first Greek bailout plan, the fifteen billions of the new assistance plan to Greece will make heavy our own already huge debt". During her press conference organized on 6 September 2011 at the Pont de la Concorde in front of the National Assembly, she vigorously denounced the favourable voting by Socialist and UMP-NC MPs of second Greek bailout plan

No comments: