Eurozone Über Alles

In the midst of economic crisis for the Euro, Germany and France are pushing through plans for 'economic government' across the 17 European states that use the currency.

So far, the bailouts of Greece and Ireland have been heavily subsidised by the German economic powerhouse and Chancellor Angela Merkel is understandably keen to make sure the burden is spread more evenly in the future.

Are France and Germany using the crisis as a convenient justification for pushing through their 'Pact for Competitiveness'?  What happens when the financial crisis is over and things return to normal?  Perhaps the EU's big mummy and daddy are trying to look after themselves too much, with little concern for their southern and eastern family members.

The proposed harmonisation of tax, labour and pension policies seems to be a move to roll out the welfare state/high tax model of Germany and France across the eurozone. Whilst this may strengthen their position, it can only weaken that of poorer members.

Meanwhile, Britain sits by on the periphery with shockingly little to say about matters EU.  As Anatole Kalestsky writes in The Times today: eurozone countries are moving ever closer to political union leaving non-euro countries excluded from key decision-making.

Is a 'multi-speed' Europe really desirable?

See also:

MEPs vent fury at Van Rompuy over Franco-German plan
BBC Gavin Hewitt's Europe blog: France-Germany pact resisted