The EU’s Second Ring

It is often forgotten that Ukrainian industry would be disastrously undercut as a result of the proposed EU association agreement. With much of its market in Russia and no hope of competing with more modern industries in EU countries, Ukraine would be in a similar disastrous state to East German industry after reunification but with no 
massive social support such as East Germany received from West Germany.

The deal offered by Russia looked by far the most sensible option economically - a continuation of its existing trade with Russia, a large injection of cash and a heavily discounted price for Russian gas.

The German puppet organisations and fascists who organised the demonstrations which destabilised the country will face the wrath of their countrymen and more instability once the economic effects of their policy become apparent.

Edward Spalton

The EU’s Second Ring

Taken from German-Foreign-Policy Blog

BERLIN/KIEV/BERN 
In the aftermath of the Western-oriented putsch in Kiev, German politicians are preparing German public opinion for the disastrous deterioration of the Ukraine economic situation. Even though it was most recently suggested that the country could only expect a thriving development by linking up to the EU, it is now – truthfully – being announced that Ukraine is practically bankrupt. The CDU European parliamentarian, Elmar Brok, predicts “difficult times” ahead: “It has never rained gold coins, except in fairy tales.” In fact back in the fall, experts had already indicated that, because of its out-dated industry, the Ukraine would have to expect dramatic economic slumps if it signs the EU Association Agreements – unemployment and poverty would dramatically rise. In a position paper, the Berlin-based German Institute for International and Security Affairs (SWP) is now proposing the introduction of a special status in EU ties for the Ukraine as well as other countries, such as Turkey. This sort of EU “second ring” would also permit the economic integration of such countries as Switzerland, which politically resists joining the EU. The SWP contends that these plans could also be used for Catalonia, should it secede from Spain and Scotland, from Britain.
Automatic Adaption
The authors of the SWP position paper initially part from the EU’s relationship with Switzerland, as the basis for their contemplations of the EU forming a “second ring.” Brussels and Bern, according to the paper, have currently signed more than 100 bilateral accords, forming the foundation of close cooperation. Brussels is now insisting on changes, because the intransigence of the accords reached with Bern are no longer in step with the continually evolving EU rules. Rather than always having to “manually” update these accords, Brussels would like to have an agreement on mechanisms, which would make it possible to practically have Switzerland automatically “accept the Union’s legal standards.” This would be “a new institutional umbrella” for bilateral relations. Negotiations were to have begun this spring. However, following the Swiss Free Movement of Persons Referendum, this is no longer immediately possible, because the results of the referendum have placed in question current accords with the EU.
Integrate into the Interior Market
After the results of the referendum, as the authors see it, there should first be a “discussion of principles” on the relations between Switzerland and the EU. This would simultaneously provide “the opportunity” to work out a “model for institutional ties” to the EU for all those countries that one wants “to have participating in the interior market,” while “the political full membership is not wanted either by the country in question or by the EU.” This concerns, first of all, members of the European Economic Area (EEA) (Norway, Island, Liechtenstein), but also Turkey – whose EU membership Berlin has been blocking – as well as the “EU-fatigued … EU members … such as Great Britain,” for the case that the United Kingdom “really decides to abandon union membership.” The Euro crisis has long since “imposed integration at two different speeds,” according to the position paper on closer cooperation within the Euro zone. There are also “many indications that the members of the Euro zone will close ranks even more tightly.”The concept of a “second ring” around a core Europe with a common currency would also make it possible to standardize the economic penetration of European peripheral countries, even those lacking the political will for complete integration.
Possibility of Secession
The SWP position paper explicitly makes reference to the question of “the status that eventually newly-founded countries, such as Catalonia or Scotland, should have.” Catalonia and Scotland are pro-secessionist regions of sovereign countries, whose governments are adamantly opposed to their secession. Last year. in late summer, the EU Commission explicitly reiterated that EU member nations’ territorial integrity is indispensable. Shortly thereafter, the SWP published a paper characterizing Catalonia’s secession as difficult, however feasible. The EU could “reach a situation, where it must be considered” whether a “negotiated separation is not more preferable to a situation of permanent instability,” according to the paper. (german-foreign-policy.com reported.) This statement could have been understood by pro-secessionists to be an indication that Madrid’s and London’s resistance could be broken. The current SWP position paper picks up where the previous paper left off, by proposing, at least, the prospect of admission of the areas of secession to the EU’s “second ring,” in case Spain and Great Britain oppose their full EU membership.
Accession Undesired
This plea for an EU “second circle” is of considerable interest, particularly in view of the Ukraine. The oligarch, Yulia Tymoshenko, who was released from prison last weekend and, for whose release, Berlin had launched a massive PR campaign in 2012 (german-foreign-policy.com reported), has already declared on Saturday that she is convinced that the Ukraine will join the EU in the near future. This can only be seen as an open affront to Berlin and Brussels: As is known, Germany and the EU are not willing to pay for the expensive EU accession of the overwhelmingly impoverished country. This is why they are only seeking Ukraine’s “association,” providing the advantage of exclusive economic links, without the requirement of costly transfer payments. German politicians were quite annoyed with Tymoshenko’s advance. “EU foreign policy has recently experienced … that initiating accession negotiations too early with a large and heterogeneous country at the European periphery is a mistake,” the German CDU European parliamentarian, Herbert Reul, is quoted – a clear rebuff to the country’s EU accession
Socially Extremely Painful
Simultaneously, Berlin is preparing public opinion for the foreseeable disastrous development of the Ukrainian economy. Already last autumn, the German Council on Foreign Relations (DGAP) exposed in a paper that Ukraine’s EU association would require “serious and extremely painful social adjustments.” In early January, an expert of the DGAP journal “Internationale Politik” pointed out that in the EU “very few Ukrainian products” are “competitive.” “Open markets” would therefore incur “enormous adjustment costs” and “the unemployment rate would skyrocket.” If the EU Association Agreements would have been concluded last fall, within a year, the Ukrainians’ “approval rate” of their country’s “EU integration” would probably plunge, according to the author. This is the scenario that looms, if Berlin and Brussels can now put through the country’s association.
Europe, No Fairy Tale
MEP Elmar Brok (CDU), who, for weeks, has repeatedly been negotiating in Kiev and is known as the one “secretly pulling the strings” for the EU in the Ukraine, expressed himself accordingly. “It has never rained gold coins except in fairy tales,” Brok declared following the putsch in the Ukrainian capital: Even though the country has the “best opportunities … on its route to Europe,” it still “will be difficult in the beginning.” Substantial economic problems are already looming. This year, Kiev has to pay approximately ten billion Euros in debts, which it cannot muster without dramatic budget cuts. Moscow had offered its help, but broke off transfer payments after the coup in Kiev. It can be practically excluded that Berlin and Brussels will jump in with billions in payments. After all, Berlin and Brussels are not as interested in the welfare of this country, as in its accession to the German European hegemonic sphere

The UK is not the only country considering leaving the EU

A major study has shown that if the Netherlands were outside the EU there would be more jobs, more growth and more income. That is the result of a study on the exit of the Netherlands from the EU. The study was conducted by research firm Capital Economics, winner of the Wolfson Prize, the most important award for economic research after the Nobel Prize.

Every Dutch household in the next two decades would be an average of almost $ 10,000 a year better off after NEXIT. If we leave the EU, our economy will be 10 % bigger in 2024 than if we stayed in.

We would save billions and our country would no longer have to retrench to meet the Brussels 3% standard. We put an end to the fees and allowances for Romanians and Bulgarians. We stop shipping money to Greece.

Geert Wilders : “The report clearly shows that our departure from the EU offers a way out of the crisis.  We can then invest Dutch money in our own country. We can cut taxes, VAT and excise duty reduction, giving our economy some oxygen again… “

Don’t take the Swiss vote on immigration quotas as a done deal

By Robert Henderson

The Swiss have  voted to end the free movement of labour between Switzerland and the EU  (http://tinyurl.com/SwissEUvote).. The result was very close:  50.3% Yes  49.7% No

This is potentially very significant because even though the Swiss are only European Economic Area (EEA) members, if they can get rid of the free movement of labour (one of the four so called EU freedoms – freedom of movement of goods, services, capital and labour) it provides a lever for the UK (and other EU states) to obtain  a similar arrangement and an example which countermands the EU propaganda that any breach of EU rules will be disastrous for any nation which tries to radically change matters. Once a breach in the EU dyke is made inundation could easily follow.

But before rejoicing amongst those who wish Britain to leave the EU becomes unconfined it must  be pointed out that it is far from clear what the restrictions on EU migrants will be (and Swiss politicians have three years before they need to bring forward any legislation)  and there is the possibility that the referendum result could be overturned by another referendum.

The Swiss political elite are, like our political elite, Quislings in  the service of internationalism. They will do everything possible to circumvent this result. There are two possible tactics they could pursue. The first is to put forward restriction which are no more than tokenistic. A more likely scenario is for another referendum to be held . This would not have to be citizen initiated referendum. It could be a compulsory one based on a claim that the change in the immigration law had constitutional implications (Article 140 of the Swiss Constitution).  But even if it was not a mandatory referendum, bearing in mind the closeness of the result just obtained,  it would probably be easy to get enough voters to petition for a citizen initiated referendum ( Article 139).  Article 141 also provides a basis for a referendum.  The relevant Swiss Constitution Articles run as follows:

Article 139  Formulated Popular Initiative for Partial Revision of the Constitution

(1) 100 000 citizens entitled to vote may within 18 months of the official publication of their formulated initiative demand a partial revision of the Constitution.

(2) A popular initiative for the partial revision of the Constitution may take the form of a general proposal or of a specific draft of the provisions proposed.

(3) If the initiative violates the principle of unity of form, the principle of unity of subject matter, or mandatory rules of international law, the Federal Parliament declares it invalid, in whole or in part.

(4) If the Federal Assembly is in agreement with an initiative in the form of a general proposal, it drafts the partial revision on the basis of the initiative and submits it to the vote of the People and the Cantons. If the Federal Assembly rejects the initiative, it submits it to a vote of the People; the People decide whether the initiative is adopted. If they vote in favour, the Federal Assembly drafts the corresponding bill.

(5) The initiative in the form of a specific draft is submitted to the vote of the people and the Cantons. The Federal Parliament recommends the initiative for adoption or rejection. It may contrast the initiative with a counterproposal.

Article 139b  Procedure for Initiative With Counterproposal

(1) The voters cast their ballot at the same time for initiative and counterproposal.

(2) They may vote in favor of both proposals. Regarding the priority question, they may select which proposal they prefer if both are accepted.

(3) If the priority question results in one proposal to receive more votes of the people and the other more votes of the Cantons, that proposal is set into force that has the highest sum of voter’s percentage points in popular vote plus cantonal vote.

Article 140  Mandatory Referendum

(1) The People and the Cantons are voting on the following:

a. the revisions of the Constitution;

b. the entry into organizations for collective security or into supranational communities;

c. the federal statutes declared urgent without constitutional basis and with validity exceeding one year; such federal statutes have to be submitted to the vote within one year after their adoption by the Federal Parliament.

(2) The People are voting on the following:

a. the popular initiatives for total revision of the Constitution;

b. the popular initiatives for partial revision of the Constitution in the form of a general suggestion which were rejected by the Federal Parliament;

c. the question if a total revision of the Constitution is to be carried out with disagreement of both chambers.

Article 141  Optional Referendum

(1) On the demand by 50’000 citizens entitled to vote or 8 Cantons, within 100 days of the official publication, the following instruments are submitted to the vote of the People:

a. Federal Statutes;

b. Federal Statutes declared urgent with a validity exceeding one year;

c. Federal decrees to the extent the Constitution or the law provides for it;

d. International treaties which:

1. are of unlimited duration and may not be terminated;

2. provide for the entry into an international organization;

3. include important legislative provisions or require the adoption of federal Statutes.

(2) { abolished }

http://www.servat.unibe.ch/icl/sz00000_.html

It is all too easy to imagine a Swiss electorate browbeaten with dire warnings of what will happen if the Swiss do not fall into line with EU policy voting to reverse the decision.

Britain Not To Recognise Our Anzacs

This is letter recently received by our Honorary Secretary and as he says “it is a thundering disgrace and is clearly part of a determination to weaken ties with the Commonwealth Realms.”

Dear Mr Spalton

Britain Not To Recognise Our Anzacs

The British government gave a press briefing recently in which they stated, in essence, that the UK First World War celebrations would give emphasis to coloured communities within Britain and not to what may be generally termed as ‘the white skinned’ volunteers from countries like Australia and New Zealand even though a significant proportion of our troops were of differing ethnicities.

The following media release has been sent to British media. Although not a constitutional matter, our ANZACS fought for king and country and their bravery should undoubtedly be recognised by the increasingly ‘politically correct’ administration in the United Kingdom.

Republicans will, of course, say that this is a reason why “we should be free of England”, but we have actually been independent of the British government since our Constitution was enacted in 1901. The fact that we chose to remain under the Crown and maintain strong links with Britain does not mean that the United Kingdom has any authority whatsoever over us.

Yours sincerely,

Philip Benwell

MEDIA RELEASE – THE ANZACS PLAYED MORE THAN THEIR PART TO SAVE BRITAIN

Australians have a right to be outraged at the insensitivity of the British government in announcing, in a briefing to journalists, that their proposals to commemorate the commencement of the First World War would omit mention of the sacrifice made by the Anzacs (Australia and New Zealand servicemen) but instead would focus on the role played by the ‘new Commonwealth’ countries as part of an internal ‘community cohesion’ process.

Politics should never play a part in recognising the bravery of those that are gone. Many nations within the British Empire and Commonwealth fought to save the homeland of Britain in both the First and Second World Wars. Their losses should all be mourned collectively.

In 1914, Australia and New Zealand were both independent nations with their own independent constitutions under the Crown. Our Anzacs lost some 80,000 men in a war they didn’t have to get involved in, but readily volunteered to fight for in foreign battlefields on the other side of the world in loyalty and in gratitude to the country that developed their lands into modern ‘law and order’ nations.

Doubtless there will be a lot of backtracking and political hyperbole by British officials and the sacrifice of our young men will in the end be recognised. But that there was any hesitation on the part of what appears to be an ungrateful Britain not to do this in the first place is not only reprehensible but shows the disgraceful contempt of these people for the history of their own country.

What will be next on the agenda by these ‘politically correct’- the whitewashing of Winston Churchill from British history books?

Philip Benwell
National Chair

Merkel blasted in German Parliament

Angela Merkel has clearly more to fear than the recently formed ‘Alternative for Germany’ party which polls indicated could be supported by about a quarter of German voters. On 27 June the SPD candidate for the German Chancellorship in the September 2013 Federal election, Peer Steinbrück, launched a heated attack on her in the Bundestag. 

Ridiculing a speech in which she promised to tackle the problem of the extremely high unemployment in the Eurozone countries, Steinbrück described her commitment of 6 billion Euro as a drop in the ocean compared with a real requirement of at least 20 billion over the next two years.

He also derided her domestic financial policies and accused her of having created debts of 100 billion Euro within Germany itself. To laughter and roars of approval he continued: “The youth unemployment and general unemployment about which you are talking, Frau Bundeskanzler, is a direct result of the completely one-sided policies that you have instigated in Europe. […] The point is simply this: You do not know how to deal with money. If you ruled in the desert, sand would be in short supply.”

At one point Steinbrück shouted: “You are living off the gains that we have made”; at another he interjected: “All you have done is to offer us empty bags. When you look into them there is nothing but pure air.” The German press widely described the angry exchanges as a verbal duel won by Steinbrück. “Advantage Steinbrück”, wrote Stern. The video (in German) can be viewed online:

http://www.stern.de/politik/deutschland/schlagabtausch-steinbrueck-dominiert-rededuell-mit- merkel-2030893.html

Translation by Professor Arthur Noble

EU uses new budget powers to demand more austerity in Italy and Spain

Spain and Italy have been warned that their budgets for 2014 are in breach of European Union rules as Brussels uses new powers to force governments to revise spending plans before national parliaments vote on them.

France was also cautioned that plans for painful economic reforms represent only “limited progress” as the European Commission exercised new eurozone powers in a historic shift of sovereignty away from elected governments.

“Because in an economic and monetary union, national budgetary decisions can have an impact well beyond national borders, member states have given the commission the responsibility,” said Olli Rehn, the commission vice-president in charge of the euro.

“I trust that they will thus be taken on board by national decision makers.”

Germany, Europe’s largest and most successful economy, was also criticised for making “no progress” in following EU recommendations to help its eurozone neighbours by spurring domestic demand and imports.

Despite disappointing growth figures and mounting concern that eurozone austerity policies are killing off recovery and locking southern European countries into protracted slump, the commission ruled that “further consolidation in euro area countries is necessary”.

For the first time, the EU’s Brussels executive has reviewed draft national budgets before national legislatures have voted on them, flexing political muscles aimed at preserving stability for Europe’s single currency and at preventing a future eurozone debt crisis.

“This a historic moment,” said an EU diplomat. “One has to ask whether the eurozone’s voters yet appreciate what a huge shift in sovereignty this is away from national parliaments to conclaves of finance ministers and commission officials.”

Italy and Spain, the third and fourth largest economies in the 17-strong eurozone, were upbraided for breaking debt reduction targets in breach of spending caps that are enshrined in the Maastricht Treaty that created the euro.

Backing off demanding the revision of budgets or penalties for now, Mr Rehn said he was “inviting” governments and parliaments to bring their budgets for next year into compliance with the rules as interpreted by the commission. “This exercise is much more about partnership than penalties,” he said.

The commission’s Italy verdict is political dynamite in a situation where Enrico Letta, the country’s prime minister, is besieged in parliament by coalition disputes over tax reductions and Left wing opposition to austerity cuts.

Italy has the second-highest level of gross government debt in the eurozone, which is projected to rise to 133pc of the economy, second only to Greece, but it is in line with an annual target requiring annual debt to be under 3pc of annual GDP.

“We count on strong and effective delivery of these commitments by the government and parliament,” said Mr Rehn. “Every day this year has been a politically sensitive moment in Italy. We just have to do our job.”

Fabrizio Saccomanni, the Italian finance minister and a technocrat imposed on the Italian government at the behest of EU officials, could be fatally weakened by the Brussels intervention, especially after Mr Rehn ruled out an exempting €3bn in investment spending that the Italian government has included in its 2014 budget.

Mr Saccomanni warned that Italy could not take the investment spending from the national budget to meet EU rules because the cut would threaten the country’s already weak economic recovery and inflame opposition to austerity.

“We could have taken even more restrictive measures to reduce our public spending, but I imagine there would be even more cries of pain. I believe our approach is balanced,” he said. “It is not necessary to change the budget.”

Spain was told that its “draft budgetary plan is at risk of non-compliance with the rules, as the headline deficit target may be missed and the recommended improvement in the structural balance is currently not expected to be delivered”.

France was given the green light on its budget but the commission warned that next year’s budget leaves “no margin” for deviation and reforms “constitute limited progress” in addressing structural targets.

“A significant set of measures on top of those already specified will be needed to ensure that the target for 2015 is reached,” said the commission.

The commission also cautioned Finland, Malta and Luxembourg, asking the three countries to review their 2014 budgets to ensure that they meet eurozone targets.

This article first appeared on ThE Unit and has been reproduced with the editor’s permission.