Oh We Are The Champions

Yes we are really, aren’t we. Especially if we are called Arcelor, or Danone, or Endesa, or Eni, or Enel, or Banca Antonveneta or Pekao. And what these champions have in common, and it is this which sets them so much apart from their footballing equivalents, is not the ability to win anything, but rather their capacity to lose, especially in a take-over battle from a foreign pretender. And just for this very reason it is, it seems, ok for you to include the referee in your line-up. Indeed such is the sporting prowess of these ‘champions’ that it is deemed that what they are most in need of is not the cold harsh wind of competition, but rather protection, and indeed protectionism, anything rather than face outright competition from would-be global rivals. A rare breed of champions these.

I think before I go further, I would like to draw attention to one idea which holds us all together here at Afoe:

Purity of race does not exist. Europe is a continent of energetic mongrels. – H.A.L. Fisher
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The liberalism of fools?

I cannot recommend highly enough Ken Macleod’s post (found via Crooked Timber) on how the “socialism of fools” – Engels’ description of anti-semitism – was accompanied by a sort of “liberalism of fools”, to wit, the anti-Catholicism of the pre-WWII era. Macleod, acknowledging that anti-Catholicism is rather passé these days, wonders if hatred of something else, perhaps another sect, might fill the roll as a modern liberalism of fools.

And, on a not entirely separate topic, French satirical weekly Charlie Hebdo (no website, not that kind of paper) is republishing the images, along with one on its cover of Mohammed crying “It’s hard to be loved by fools”. An effort by the Conseil français du culte musulman to stop publication through the French courts was rejected on a technicality.

Chirac, however, has demonstrated that he is not, contrary to widespread belief, the biggest fool in Europe. Unlike the Danish Prime Minister, he has “condemned all manifest provocations that are liable to dangerously arouse passions.” Alas, he has only retreated to the number two slot in European political idiocy. He also said, “Anything susceptible to harm the convictions of others, particularly religious convictions, should be avoided. Freedom of expression should be exercised with a sense of responsibility.” Right on count two, wrong on count one. Responsible freedom of expression means that when you go out to offend people, you can’t claim to be surprised when they are offended. But there is little point in free speech if it is forbidden from trying to change convictions.

And round and round this totally avoidable fiasco goes.
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Premature Evaluation, pt 1 (On the Brink: The Trouble with France)

What to do when you haven’t finished a book but find yourself with something to say about it?

Convention dictates that one should finish a book before reviewing it (although I have my doubts about any number of published reviews), but on the other hand, the market for reviews of revised editions of books on France originally published in 1998 is bound to be small. So out with the convention, in with the thoughts.
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A Brief Note…

from our internal discussions. I recently remarked to Edward that for much of the US government’s foreign policy apparatus, Russia is still Not Europe. This view is a legacy (still) of the Cold War period in which most of the decision-makers and working-level staff were trained and gained experience. It shapes basic reflexes toward Europe and the post-Soviet space, and knowing the background may at some level help outsiders understand this or that about official US approaches. (There are of course many levels of complexity, not least Congressional politics, commercial interests and ethnically based politicking, but this is meant to be a brief note.)
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The Booming Czech Republic

The Czech Republic is booming apparently. Both per-capita GDP and fertility are definitely on an upswing, although surprisingly perhaps, for once I am not going to try and suggest that these are connected:

The Czech republic has joined Slovenia among new member states with higher levels of wealth per capita than old member Portugal, according to European Commission statistics.

This raises interesting questions which I just touch on in this AFEM post here. (Incidentally, you can find a one-page set of economic statistics for the Czech Republic from the OECD here).

What is perhaps most interesting about the Prague Post article is the way they explicitly link the increase in preganancy to a recent reform in maternity provision (due to come into effect in April), and to the fact that the ‘postponement phenomenon‘ often leads to a spike in births as women who have postponed reach the new ‘childbearing age’.

“The Labor and Social Affairs Ministry recently launched its own reforms aimed at encouraging couples to have children. The reforms provide generous benefit packages and require companies to hold the jobs of employees on leave for up to four years, and, as of April, women will begin receiving a state subsidy of 17,500 Kč ($725) for each newborn child — more than double the current amount.”
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Did Russia come out ahead in the gas crisis?

Expanding on (and slightly copying) my comments in Edward’s post below, I was really shocked to see the spin in the western coverage of the Ukrainian gas crisis. The part that didn’t shock me – just made me groan – is the spin of a western press that seems to have decided in advance that Russia must be the bad guy, so Ukraine must be the good guy. Russia may be the bad guy, but I don’t think is Ukraine is the good guy. From what I can tell from the press, Russian claims that Ukraine was siphoning off gas seem well founded – Russia had been complaining since summer about siphoning, Gazprom was willing to let third parties audit the difference between what was going into Ukraine and what was coming out, while Ukraine refused. Also, it seems that the Russians weren’t the only ones making allegations about siphoning. Yes, Russia’s intentions towards Ukraine are not honorable, nor is this some purely commercial conflict free of political meaning. But, that does not exclude the prospect that Ukraine was screwing Russia.

But what really surprised me was the claim that Russia was the loser here.
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Eurabia or Fantasyland?

Victor David Hanson, a senior fellow at the Hoover Institution, has written an open letter to Europe asking us to “reawake, rediscover your heritage, and join with us in defending the idea of the West from this latest illiberal scourge of Islamic fascism.” It is getting some play in the usual right-wing quarters, despite his extraordinary lack of knowledge about Europe – and that’s a kind interpretation; others might suggest (as does Gary Brecher, here, analysing his take on Iraq) that he is simply making things up.
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Not Everything It Seems To Be?

It was the late AJP Taylor who suggested that the efficient (or proximate) cause of the first world war was to be found in the the way the national railway timetables had been drawn up. Without wishing to take issue with Taylor (either for or against), it does occur to me that a certain amount of light may be thrown on the otherwise puzzling decision of Gazprom to throw the tap by taking a quick look through looking the election timetables of all the key players (in both Eastern and Western Europe). I was put in mind of this point by the following opening gambit in what is in fact a very interesting and to the point article in today’s FT:

Russia’s row with Ukraine has triggered fresh concern over the security of Europe’s energy supplies and some see nuclear power as the biggest beneficiary.”

Nuclear power, hmmmm. I hadn’t thought enough about this point when I knee-jerked my response yesterday.
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A new hope?

Many thanks to David for offering me a chance to raise my profile just before the second edition of the Satin Pajama Awards with a two-weeks guest-blogging stint here at AFOE.

For the 99% of you who don’t already know me, I usually display my limited knowledge of economics and politics at my own blog Ceteris Paribus and also, though not that often since a certain fateful 29th of May, at the group blog Publius. Oh, and I’m also French, which explains my awful English style and may or may not be a good reason to disregard my analysis about European matters.

Anyway, enough about me, since the quite unexpected European budget deal of last night offers plenty of things to write about.
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Waiting With Baited Breath?

Will there or won’t there be an eleventh hour agreement on the new EU budget. Tony Blair is clearly burning the midnight oil, but the foreign ministers did not seem to be unduly impressed:

EU foreign ministers’ talks on the 2007-2013 budget ended after less than a minute on Monday (12 December), with the UK set to issue new proposals on Wednesday ahead of Thursday’s summit.

Britain is set today to publish revised proposals designed to broker a deal on a seven-year EU budget, with the new offer still expected to include heavy cuts to funding for eastern Europe. According to the FT:

Tony Blair, British prime minister, is expected to soften his proposals at the EU summit starting in Brussels on Thursday, including giving up more of the UK budget rebate and restoring some of the planned cuts in the new member states.

In pushing for a tighter EU budget for 2007-2013, the UK’s inital offer proposed cuts of almost 10 per cent in funding for eastern Europe in a total budget of €847bn ($1,000bn, £571bn).

Tony has also found a new argument, the cuts in Eastern Europe aren’t as bad as they seem, since these countries don’t know how to spend the money even when they get it (hmmmmm).

Britain claims there is little harm in reducing payments to poorer new members because they are already finding it difficult to spend the much smaller amounts they are being allocated in 2004-2006. But central Europeans say the British analysis is flawed because it looks at figures for this year, which give no indication of how well the billions of euros in structural funds will be spent.

Meantime, in a decision which is getting decidedly less coverage, French foreign minister Philippe Douste-Blazy may have pulled the plug on the enlargement process itself by refusing to approve official EU candidate member status for Macedonia. I’m not sure what this implies. Any comments from our experts out there?