Too little, too late

During what appears to have been a stormy session in the European Parliament, addressed at length with a very large number of cliches but not inspiration by Jean-Claude Juncker, the president of the EU Commission, the Greens came up with what EUObserver calls a "practical solution".

Green MEP Philippe Lamberts came up with a practical solution, proposing that the EP's Strasbourg building be given to migrants while sessions are held in Brussels instead.

The EP's Strasbourg building is empty for the vast majority of the year and despite calls from MEPs to stop the travelling circus to France, plenaries are still held there once a month.

Too little, too late. This blog came up with a similar but far more extensive idea a little while ago:

However, there is a way in which the Eurocracy can be very useful. It so happens that both in Brussels and in Strabourg there are "European Quarters" with large buildings with many rooms and excellent facilities. Every year very large sums are allocated to the running of those Quarters and the paying of those who work in them from Commissioners and Members of the Toy Parliament down. No need to build new processing centres, no need to allocate new funds - take over the European Quarters, evict those who work there now, turn them into those centres and use the money allocated for their running to sort out the refugee (or migrant) crisis. If we also add this year's salaries of all those who work there we shall have a more than adequate sum to house and feed people temporarily while we sort out who they are, where they will go to and what they might want to do there.

Until Herr Juncker or any member of the Toy Parliament proposes such a solution and starts putting it into place, I refuse to believe in their good intentions being anything but hot air and a desire to turn the crisis into another tool for strengthening central EU control over the member states.

Not looking good

Greece, readers of this blog will not be surprised to hear, is still in trouble and, as that great economist, Vicky Pryce put it in today's Evening Standard, this shows that the Eurozone's troubles are not over (did anyone actually believe they were?). In fact,

Stock markets across Europe have been falling as Greek troubles threaten to bring down the whole EU economy.

Ms Pryce ought to realize that there is no such thing as "the whole EU economy" but, clearly, Greece's continuing troubles do not help. Neither do the various other problems:

This time Greece is not alone. There are worries about growth prospects in China, concerns about the struggling Japanese economy, and fears that the decline in the price of oil reflects a slump in demand due to weakening world growth. In the UK, the FTSE 100 was 6.6 per cent down in the week, as energy companies took big hits, with Brent crude falling to $61 a barrel on Friday, less than half the price of $115 a barrel in June this year. Concerns about stagnation and deflation led to widespread falls in stock markets across the eurozone.

With Italy back in recession and France in increasing difficulty, one might imagine Greece’s problems are small by comparison. After all, the country represents no more than two per cent of the eurozone’s GDP. But it has become the symbol of the eurozone’s sustainability.

Greece’s fresh problems have been exacerbated by a return to political instability. Greece had been given an extension of two months to meet its bail-out conditions for the final instalment for its €250 billion loan from the “troika” of the European Central Bank, European Union and IMF. This in turn meant that Greek Prime Minister Antonis Samaras could not obtain agreement to exit the conditional arrangements of the bail-out package by the end of this year, as Ireland and Portugal have done.

So, a snap presidential election by MPs will happen and the EU is apparently worrying:

EU commission chief Jean-Claude Juncker has warned Greece against electing "extreme forces" into power and said he would prefer "known faces" - so far the strongest intervention of the EU top brass in the Greek campaign.

"I think that the Greeks - who have a very difficult life - know very well what a wrong election result would mean for Greece and the eurozone," Juncker said during an Austrian public tv debate with EUobserver and several other Brussels-based journalists.

He steered clear of explicit political advice ahead of presidential elections in Greece next week but said: "I wouldn't like extreme forces to come to power."

The presidential elections - to be held in the Greek parliament on 17 December - could trigger early parliamentary elections, if there are three failed attempts to elect a president.

Will the Greeks listen to these wise words? Who can tell? Just in case, Pierre Moscovici, the Economics Commissioner has flown to Athens for last minute negotiations:

Moscovici’s visit is meant to focus on reaching agreement on the last economic reforms Greece must make before the final tranche of €1.8 billion from its €240 billion bailout is paid out - however the dynamics of the presidential election are set to take centre stage.

Antonis Samaras’ governing coalition, led by the centre-right New Democracy party, brought forward the presidential elections this month in a bid to stave off early parliamentary elections that it fears could bring the left-wing Syriza opposition to power.

The vote will be held in the Greek parliament on 17 December. It could trigger parliamentary elections, if there are three failed attempts to elect a president.

The government is reliant on the support of several minor parties for its majority and has raised the spectre of Greece being forced out of the eurozone if Syriza takes power.

Meanwhile, things are not looking good in Belgium, either. Indeed, it has been "paralyzed by a general strike".

The entire Belgian airspace is closed on Monday (15 December), as well as high-speed trains from Brussels to London, Paris and Amsterdam and local buses, trams and metro lines, as part of a general strike over public sector cuts.

Schools, government offices and private firms are also likely to be closed on Monday. Garbage will not be picked up and newspapers will not be delivered.

Serious traffic jams are expected around Brussels and Antwerp, with transport trade unions calling on truck drivers to join in and "paralyse the country".

Trade unions already staged a huge march which ended in violent clashes with police a month ago, when the government first announced the plans to save €11 billion over the next five years. The measures include scrapping an automatic indexation of salaries next year and raising the retirement age from 65 to 67 from 2030.

Belgium last month was flagged up together with Italy and France and given time until March to bring its budget in order or face extra scrutiny from the EU commission.

Unlike France, Belgium is sticking to the three-percent budget deficit rule, but its public debt is set to reach 107.8 percent of GDP in 2017, compared to 104.5 percent last year. Under EU rules, countries should keep their public debt below 60 percent of GDP.

If memory serves me right, this kind of thing was not going to happen once the euro was established.