New Treaty Fiscal Rule & Fiscal Compact prove Sovereignty Abnegation an IMPOSSIBILITY!

The founding premise of this blog and the source of its longstanding and constant opposition to what has become the EU stands on the personally-held, certain belief, that national sovereignty is not divisible. A nation either has it or it does not.  Jean Monnet and the Schumann Declaration, as discussed earlier this week, were absolutely 100% wrong on their premise that it was divisible. In my view thay well knew that fact. Now, finally we are ALL seeing the proof.

Look at the terms of the fiscal rule in the fiscal compact agreed last week and supposedly to be enshrined into the national laws and constitutions of the 26 former sovereign states whose leaders assented to this agreement. The entire terms of which is again linked from here.

A new fiscal compact
4. We commit to establishing a new fiscal rule, containing the following elements:
• General government budgets shall be balanced or in surplus; this principle shall be deemed respected if, as a rule, the annual structural deficit does not exceed 0.5% of nominal GDP.
• Such a rule will also be introduced in Member States' national legal systems at constitutional or equivalent level. The rule will contain an automatic correction mechanism that shall be triggered in the event of deviation. It will be defined by each Member State on the basis of principles proposed by the Commission. We recognise the jurisdiction of the Court of Justice to verify the transposition of this rule at national level.
• Member States shall converge towards their specific reference level, according to a calendar proposed by the Commission.
• Member States in Excessive Deficit Procedure shall submit to the Commission and the Council for endorsement, an economic partnership programme detailing the necessary structural reforms to ensure an effectively durable correction of excessive deficits. The implementation of the programme, and the yearly budgetary plans consistent with it, will be monitored by the Commission and the Council.• A mechanism will be put in place for the ex ante reporting by Member States of their national debt issuance plans.

IN OTHER WORDS THE EU CAN NO LONGER MANAGE WITH JUST PARTS OF YOUR NATIONAL SOVEREIGNTY; THEY MUST HAVE IT ALL!
 
The document, taken up in the early hours of 9th December 2011, is living proof-positive that the ideals behind the founding of the Treaty of Rome could only succeed with the complete merging of  the membership's sovereignty, always the inevitable destination of "ever closer union".

It will now be interesting to see how the various leaders of the  ex-nation member states propose to explain this brutal truth to their electorates, set as it will be against the background of an ever more certain  and obvious economic crash, entirely explained by this vainglorious imperial folly and complete economic incompetence.

Attempts to blame the British, already begun, seem, surely, unlikely to succeed for long!

Abnegation of sovereignty destroys the underpinnings of sovereign debt.

The Schuman proposals are revolutionary or they are nothing...The indispensable first principle of these proposals is the abnegation of sovereignty in a limited but decisive field...Any plan which does not involve this indispensable first principle can make no useful contribution to the solution of the grave problems that face us. Co-operation between nations, while essential, cannot alone meet our problem. What must be sought is a fusion of the interests of the European peoples and not merely another effort to maintain an equilibrium of those interests.....Jean Monnet

Many years ago I debated on the EU Futurum fora that sovereignty was indivisible, one could no more be partially sovereign than partially pregnant. Strangely enough on reviewing old files it appears that Michel Barnier (see my post of last evening) had some responsibility around that time for the futurum exercise. It failed of course, for had it succeeded and the saner voices been heeded, the EU would not be in the mess in which it finds itself today. The Schuman Declaration pdf from which I have taken the above quote, may be linked here, (strangely from the EPP, upon which I also blogged last evening).

The fact that the attempt to "abnegate sovereignty" is failing must be obvious to all who can now witness the euro crisis unfolding. Supposed sovereign states, are in fact not, for they nowadays are unable stand behind their debts.

There is a bigger misapprehension, however, which has been allowed to take root and grow all across the EU and abroad. Even more dangerous than the split sovereignty schizophrenia, one that ominously seems to have taken hold even in the head of the visiting head of the US Federal Reserve, Tim Geitner. This is that the ECB is a Central Bank, which of course it is not, for no state with long-term captive citizens (who in future can be pitilessly taxed to death) stands behind it.

Such is the message of the credit rating agency S & P, ignored by Commissioner Barnier this week. That is the reality behind the German refusal to stand behind Europe's debt, unless they be given the power to ruthlessly tax as necessary for the foreseeable future, that is the reality the 27 sovereignty crippled EU member states must tackle when they meet tomorrow and Friday in Brussels!

Are any prepared to finally face the real facts, no signs to that effect have yet appeared.