Geopolitics: the big loser is Europe \ stacker news ~econ

828 sats \ 23 comments \ @TomK 19 Jun econ

The data is clear: Europe, the old continent, is losing economic importance on the world markets at an ever faster rate. Its share of global GDP is shrinking and will continue to shrink the more the European Union insists on bureaucratizing economic processes, increasing taxes and squeezing out the private sector in favour of a parasitic bureaucracy. In the course of its so-called harmonization policy, which goes hand in hand with the expansion of the welfare state, the eurozone has lost its competitiveness. Added to this is a fatal energy policy that will make industrial processes almost impossible in the future in international comparison. Investors are giving the eurozone a wide berth, making the transition to a demographically dramatically ageing society that would need massive leaps in productivity right now in order to maintain the old way of life more difficult.

How will politicians react to this situation? There are already indications that new debt programs will be set up in the individual eurozone countries, new economic stimulus programs, that monetary policy will be loosened and that large financial gaps will be closed with fresh, ringing coins. The robbery of purchasing power will one day put an end to this model.

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110 sats \ 3 replies \ @Satosora 19 Jun

Usd is still king...for now. When will it topple?

37 sats \ 0 replies \ @TomK OP 19 Jun

Before the king dollar, quite a few others will first go to their knees - just look at the euro.

126 sats \ 1 reply \ @riberet19 19 Jun

Years will pass, and the collapse will be slow and painful, it will not be from one moment to the next.

42 sats \ 0 replies \ @Satosora 19 Jun

Yes, thats why we all need to get out of the dollar. Imagine a global currency..... BITCOIN lol Everyone scrambling to control it, but no one can.

127 sats \ 1 reply \ @stefano 19 Jun

This is sadly true.

The key questions are:

why did european countries constrain themselves in a model of Union that was clear since the beginning would have led to loss of competitiveness?
who took advantage of this transformation?
why didn't most of the european countries decide to pass through a regular democratic voting for 'entering' in that model?
why did such important Nation-States decide to release important shares of sovereignty to transanational non-democratic entities?

"cui prodest?"..."who benefits?"...ancient Romans were used to say...

106 sats \ 0 replies \ @TomK OP 19 Jun

In the process of the so-called integration of these states, we have reached a point where a globalist elite has usurped political power. This is expressed in the bureaucracy in Brussels and the appointment of its own representatives, commonly known as commissioners. These people are aware that Europe has no resources worth mentioning and are trying to force everyone else into this regime with their climate policy and Net Zero madness in order to maintain their own competitive advantages. Of course, they are failing miserably and they realize this and the panic has been growing again since the elections to the European Parliament

63 sats \ 2 replies \ @siggy47 19 Jun

Do you think Germany will ban the AfD? So much for democracy?

96 sats \ 0 replies \ @TomK OP 19 Jun

there are huge hurdles for a party ban in Germany. i would tend to say that they will try, but will not succeed. of course, it can be assumed that the party has been infiltrated by secret service people and thus produces scandals that make this really possible.

75 sats \ 0 replies \ @JesseJames 19 Jun

Naa, I think it went so bad in Germany in general they need some fresh movement. They were some scars from "brown shirts association" but personally I think that some nationalism is good for your soul. As in, take care of your citizen first, before you help others. (Make Germany Great Again :-) ) They will not be banned. I think they even succeed and make some noise and if they play it right, they might be a leading party in 5 years or so.

42 sats \ 0 replies \ @Akg10s33 19 Jun

I think that this is something that could be seen coming since those countries carry out a lot of consumerism... and their immigration policies are very strict and that means that young, new workforce and people who are from those countries do not arrive. They are already advanced in age... it is an issue that must be taken very seriously if we really want progress to be made and to be on par with world economies that are taking leaps and bounds.

42 sats \ 1 reply \ @0xbitcoiner 19 Jun

Stumbled upon this insightful article that perfectly captures one of Europe's most pressing challenges: excessive bureaucracy.

'Europe is losing the battle in the global competition'

Increasing regulations and bureaucracy are making the European business climate less and less attractive. European countries are falling behind, especially compared to the possibilities in the United States. It is time for European governments to think harder about this, says Kemal Sağlam, CEO of construction company Ballast Nedam, in PwC's video and podcast series 'CEOs on course'.

48 sats \ 0 replies \ @TomK OP 19 Jun

these are socialists. and they need this bureaucracy to manage the economy in a way they think makes sense, always with an eye on climate change and ESG regulate. this is of course their own downfall

42 sats \ 1 reply \ @SatsMate 19 Jun

I think we need to see a Milei type situation across the board in European countries. People going for sound money and populism instead of the better of two evils in a uniparty system.

Europeans are also often too comfortable and don't speak up (except for France, Netherlands and a few other smaller countries) . I think it needs to get worse before it gets better.

0 sats \ 0 replies \ @TomK OP 19 Jun

imagine what has to happen before Europeans, i.e. real socialists, trust a politician like Miley. argentina had two serious currency collapses before that happened.

42 sats \ 2 replies \ @zx 19 Jun

Do you think "$63 Billion In Treasuries & European Bonds" is significant liquidation?

Will that mean $63B US/Euro sloshing around on the sea of FX liquidity, or it just gets amortised as a statistic, like hot potato?

21 sats \ 1 reply \ @TomK OP 19 Jun

that sounds like a lot, but it will be absorbed very quickly in view of the stable international demand for US government bonds. if necessary, the ECB and its vassal banks from the European Union will step in.

0 sats \ 0 replies \ @zx 19 Jun

Had not thought of that but sometimes feel the impending doom headlines are oversold.

Maybe if there are more similar liquidations, it'll finally become a headache for the USD and Euro.

0 sats \ 5 replies \ @duvel 25 Jun

Does this account for Europe of the EU? Do all bureaucracy rules apply to all European countries or only the EU countries?

21 sats \ 4 replies \ @TomK OP 25 Jun

Europe has entered into several bureaucratic layers. on the one hand the EU and on the other hand the eurozone, which is under siege from the ECB. depending on membership, the standard rates of both apply, but those who are not members of the respective clubs regularly adapt these standard rates because they are forced into them. that was also the reason for England's exit from the EU.

42 sats \ 3 replies \ @duvel 25 Jun

I can imagine. If your a non-EU country surrounded/trapped by EU countries you probably have no choice but to adopt EU rules, otherwise trade will be difficult.

0 sats \ 2 replies \ @TomK OP 25 Jun

the EU is a club of blackmailers. look: in the case of brexit, the trade rules that existed before could simply have been left in place if they had been benevolent. but no, the British absolutely had to be punished for their outrage.

0 sats \ 1 reply \ @duvel 25 Jun

How were the British punished?

21 sats \ 0 replies \ @TomK OP 25 Jun

the British have been held back for years with EU negotiations and kicked out of the customs union. in addition, the successive governments have happily continued the EU's migration policy and flooded the country with people who cannot be culturally assimilated. that was the establishment's revenge.