Monthly political analysis on nations in
economic or political transition


Bryan Gould: The Euro-what to do about it
Whilst almost every day on this topic the level of barely contained hysteria sweeps the western media, we feature the cool clear voice of experience. Gould was a leading British politician until the advent of Blair’s ‘New Labour,’ which project he opposed.  He then left British politics to become vice-chancellor of Waikato University in his native New Zealand.

Prior to this he was a Rhodes Scholar, obtained a First at Oxford’s Balliol College and served in the British diplomatic service; and was an Oxford Don before becoming a Labour MP for a total of sixteen years. Bryan Gould was Labour-in-opposition’s shadow Chief Secretary to the Treasury and shadow Secretary for Trade and Industry.

He lost in Labour’s 1992 leadership contest against John Smith, who sadly died soon afterwards, opening the way for Tony Blair’s thirteen year premiership in 1996. (How different UK politics would have been had Gould prevailed. Bush’s Iraq adventure, for example, would not have received the imprimatur of the British government, nor the involvement of British troops).

Not only was he an astute and principled politician, he is no less as an international observer whose economic judgement can now be better appreciated. He was opposed to the formation of the Euro and gives his reasons why, just as he had been against the Exchange Rate Mechanism and the European Monetary System.

Of course at the time, this was dismissed as the politics of anti-Europeanism. Now he can point to his opposition being based on what can be seen as contesting the suspension of economic common sense, in the political rush to create a pan-European monetary system before creating the political unity that could sustain it.

In this article, Gould not only rehearses the flaws in the original analysis - as he did at the time of its inception, but now as the consequences not only threaten the Euro economy, but also the world system.

His is a serious contribution to the apparently insuperable Euro problem. As unpalatable as it may be, he offers a way forward which inevitably may be seen as the only way available, other than a series of short-term fixes.


The Euro: what to do about it


is also published at our web site where readers comments are welcome

Send this newsletter to a friend
Newnations Bulletin 18 June 2012| New Nations - a not for profit company
Contact Us:
© New Nations