October 27, 2007
WHAT'S LESS PRACTICAL THAN SUICIDE?:
Is the EU Really a Free Market?: Dismantling government protectionism may not be practical. Germany's VW law is one example, but Europe also has to think about even greater dangers from outside (Detlef Drewes and Michael Kroger, 10/26/07, Business Week)
Ten years ago, the European Commission ordered its member states to dismantle their government interests in private corporations -- like VW -- and report back to Brussels. The idea has always been to create a free-trade zone within the Union; but the largest members of the European Union haven't exactly complied.Tuesday's ruling by the European Court of Justice to end Germany's VW law will help the Commission tilt at windmills like "golden shares" or "multiple voting rights" and other newish tricks that help governments protect privatized national enterprises from foreign takeover.
But regulators in Brussels, by the end of 2005, still had an internal list of 141 firms that were protected by European governments through special rights. In fact Charlie McCreevy, the Irishman responsible for enforcing European market laws at the EU Commission, has noticed a steadily decreasing tendency among member states to root out protectionism.
Secular, nativist, isolationist and protectionist and they wonder that they're in decline? Posted by Orrin Judd at October 27, 2007 8:27 AM
Soon the Euros would make titanium shovels and buggy whips.
(Note: Before they were freed by Reagan, the Russians made titanium shovels because they have plenty of titanium, and shovels were the only things that they could sell to their farmers.)
Posted by: ic at October 27, 2007 1:32 PMThe Euro titanium shovel would be made in France (handle), Britain (grip), and Germany (blade). But when assembled it will be found that the blade doesn't fit the handle.
Posted by: Gideon at October 27, 2007 1:56 PM