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Insolvent Town Exposes Gulf Between Eu Dreams And Reality

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http://uk.reuters.com/article/2013/09/01/uk-romania-insolvency-town-idUKBRE98007Z20130901

On an abandoned storefront, an old poster advertises one of the few career opportunities available in this Romanian town: naked webcam models wanted for Internet chatrooms.

If joining the European Union was supposed to lift Romania out of poverty, it has yet to work in Aninoasa, a town of 4,800 people in the mountainous central region of Jiu Valley.

Six years after Romania's accession to the EU, not only is Aninoasa still poor - it has also become the first town in Romania to file for insolvency.

Town officials took out a bank loan to fund investment projects, they could not repay it, they fell behind on paying other bills and over the years they got themselves so deep in debt they could not carry on.

"Our mayor likes to joke there are only two major towns in insolvency in the world, Detroit and us," said deputy mayor Adrian Albescu, brought in last year after the previous administration lost the election. "For the past year we have done nothing else but pay debts."

Aninoasa's experience raises a question: did the European Union make a mistake when, six years ago, it admitted Romania, a country with living standards and levels of governance well below the average for the bloc?

It's not just about Romania. Bulgaria joined at the same time and is still saddled with corruption and poverty, Croatia joined in July bringing problems of organised crime and the legacy of war in the 1990s, and EU candidates such as such as Albania and Macedonia have even deeper troubles.

Part of the problem is the ego of the people running the EU, they want a bigger empire which is why they keep admitting more and more states. Luckily the EU is just as corrupt as some of the states that they are admitting.

It will be interesting to see how long they can keep this up for, at some point one of the big four Germany, UK, France, Italy are going to walk. It does make you wonder whether all the political games played by France in the past with the EU was worth it.

Still I'm sure it will all turn out alright in the end.

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I don't think Germany or France can just walk away from their major trading partners just because those areas are not making as much money as the Germans and have to be subsidized. It's like kicking Wales out of the UK because it takes money from the rest of the country.

What the Euro area needs is further integration, like the US.

People here often complain about the Euro and say it is that that bought about the property bubble. These characters never fail to say that the governments always has the power to restrict lending within each country.

Cant blame people in the UK for thinking this because there is a huge amount of propaganda about immigrants taking jobs, homes etc and how bad the Euro is.

Answer this: If Greece has kept it's currency would they be in a better shape today? No, they would not. They would have a collapsed currency and hyper inflation.

I am not saying the Euro is flawless with it's biggest problem being 'collective responsibility', but I think countries are learing that there are consequences for abusing the currency. Ideally they will let one of the euro areas go bust and tell the debt hold to go whistle - no need to ditch the currency which is a mere means of exchange within the Euro area.

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It's absurd to think the EU can be like the US. The US was created by Englishmen, with a shared language, culture, history and religion. They believed in liberty and limited government and were ferociously patriotic nationalists. If you need telling that the EU is the antithesis of this then you're beyond help .

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It's absurd to think the EU can be like the US. The US was created by Englishmen, with a shared language, culture, history and religion. They believed in liberty and limited government and were ferociously patriotic nationalists. If you need telling that the EU is the antithesis of this then you're beyond help .

so right.

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I don't think Germany or France can just walk away from their major trading partners just because those areas are not making as much money as the Germans and have to be subsidized. It's like kicking Wales out of the UK because it takes money from the rest of the country.

What the Euro area needs is further integration, like the US.

People here often complain about the Euro and say it is that that bought about the property bubble. These characters never fail to say that the governments always has the power to restrict lending within each country.

Cant blame people in the UK for thinking this because there is a huge amount of propaganda about immigrants taking jobs, homes etc and how bad the Euro is.

Answer this: If Greece has kept it's currency would they be in a better shape today? No, they would not. They would have a collapsed currency and hyper inflation.

I am not saying the Euro is flawless with it's biggest problem being 'collective responsibility', but I think countries are learing that there are consequences for abusing the currency. Ideally they will let one of the euro areas go bust and tell the debt hold to go whistle - no need to ditch the currency which is a mere means of exchange within the Euro area.

Laudable but entirely naive. You're not an academic by any chance?

1. EU is a fascist/communist organisation with zero accountability and huge reach.

2. It has been designed to help the banking cartel take over the entire world.

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Laudable but entirely naive. You're not an academic by any chance?

1. EU is a fascist/communist organisation with zero accountability and huge reach.

2. It has been designed to help the banking cartel take over the entire world.

And the UK is a democracy that is not controlled by bankers?

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And the UK is a democracy that is not controlled by bankers?

he didnt suggest that...we are already captured...the EU is about further "victories"...Libya has a central bank now, and Syria will be getting theirs soon enough.

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he didnt suggest that...we are already captured...the EU is about further "victories"...Libya has a central bank now, and Syria will be getting theirs soon enough.

Alternatively the UK is able to run it's economy for the benefit of the bankers and the establishment because it has control of it's own currency. No housing Ponzi in the rest of the EU.

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And the UK is a democracy that is not controlled by bankers?

That's a daft argument, akin to "don't complain about having Stalin as your leader, because the alternative is... Mao!"

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Alternatively the UK is able to run it's economy for the benefit of the bankers and the establishment because it has control of it's own currency. No housing Ponzi in the rest of the EU.

I would suggest you are VERY much mistaken about the absence of housing ponzi in the EU. Spain, Portugal, Cyprus, Greece, italy...France...maybe not Germany, but the bankers have the sights on Germany as they keep talking about how undervalued their housing is....by undervalued, they measure the income to prices at local levels, a low ratio and they think the population is ripe for financialisation to get them up to speed.

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I would suggest you are VERY much mistaken about the absence of housing ponzi in the EU. Spain, Portugal, Cyprus, Greece, italy...France...maybe not Germany, but the bankers have the sights on Germany as they keep talking about how undervalued their housing is....by undervalued, they measure the income to prices at local levels, a low ratio and they think the population is ripe for financialisation to get them up to speed.

+1

The only purpose of the EU is to further itself, it is a parasite run by communist and bankers for their own benefit. Just see how Common Purpose promote and defend it, enough said.

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+1

The only purpose of the EU is to further itself, it is a parasite run by communist and bankers for their own benefit. Just see how Common Purpose promote and defend it, enough said.

I agree with this. It has no purpose other than to help those who run it.

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And the UK is a democracy that is not controlled by bankers?

I wouldnt exactly call the EU communist, strong elements of Fascism sure but then that is the model we are operating under pretty much everywhere.

However the EU is undeniably a further lurch towards federalism (central planning/spending/taxation) further moving away from the model of local accountability. Comparing it to the UK is a bit pointless, they are pretty much the same, the UK runs one of the most Federalised sovereign models in the world with all laws and pretty much all spending distributed from central government rather than locally.

As for democracy well neither incarnation the of the EU or UK are democracies because they ignore the democratic majority which chooses no representative and neither gives the right of the voter to force referendum or recall whilst both recognise manifestos are not legally binding

Edited by Maria Gorski

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Answer this: If Greece has kept it's currency would they be in a better shape today? No, they would not. They would have a collapsed currency and hyper inflation.

They had that for decades, and never seemed to complain. How would it have been any worse than what they have today, with a constipated economy which can't dump out the crap because their currency is controlled by Germany?

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