Sarko in The Middle East

Why did Sarkozy go to the Middle East? France no longer holds the Presidency of the EU; that has passed to the Czech Republic. Its been suggested that Sarko had got a taste for diplomacy during the French Presidency, and that is why he pushed himself forward, possibly upsetting other EU countries in the process. I doubt it.

The US is in a serious financial crisis that has spilled over into the US economy, an economy thaat has been in decline for the last 30 years, disguised by the huge amounts of liquidity pumped into it that gave the appearance of economic growth, but whose effect has been, in fact, the current financial crisis. Most anslysts now believe that within the net few years the Euro will replace the Dollar as the world's reserve currency. The recent decisions of the Federal Reserve to print money, as well as adopting a zero interest rate policy i.e. to effectively destroy the dollar in order to save he economy, now make that virtually inevitable. Ultimately, a state's ability to wield power on the world stage is determined by the strength of its economy. Not mechanically, Britain continued to be a dominant military power long after its economic star was in decline. Indeed, in sometimes a wounded beast tends to become more dangerous, lasjing out with its military might to cover the lack of economic power. The US is also in a period of lame duck Presidency for the next couple of weeks until Obama assumes office.

In addition, no one seriously believes given the statements that Obama has made in relation to his support for Israel, and his willingness to go to any lengths against Iran - whose proxy Hamas are - that an Obama Presidency will be any more likely to be able to put forward a workable solution for Israel/Palestine thaan has Bush. There is no reason why the US should seek such a solution.

Europe's rising economic position vis a vis the US, the removal of a main central opponent in he form of the USSR, means that European Capital has clear interests in p[ushing itself forward on the world stage as an alternative to the US. That is the real purpose of Sarkozy's trip. The job could not be left to the Czech's because they are a new EU entrant, and not one of its central economies. Britain could not fulfil the role because Britain is seen as too closely tied to the US. Germany could not fulfil the function given the history of Germany and the Jews, but more importantly because Germany is approaching elections. The task had to fall to Sarkozy.

The competition between the EU and the US has been increasing over recent years. It is still not at the kind of fever pitch that led to the First World War, but it is increasing, and Europe is increasingly asserting its own interests. In fact, the financial crisis has played into that in another way. The strength of the Euro has led a number of smaller European states to look to hasten their entry. Even non-EU countries like Iceland are looking ayt seeking the protection of a larger currency. Even Britain, as the pound has been hammered over the last year might be forced to join. We know from history that there has never been a single markeet thaat has survived without also a single state, a single currency, a common set of property laws, and common fiscal and monetary policy also being established. There will have to be closer political integration of the EU. Marxists should not particularly advocate that, although we should point out that within the context of a Capitalist Europe even that would be a progressive step. The EU Constitution was part of that process, and the Lisbon Treaty is simply a makeshift alternative given the failure to get the Constitution adopted. Marxists were right to oppose the Constitution because of its nature, which would have acted to weaken workers ability to defend their interests. But we are not opposed to closer European integration per se, we simply argue for the furtherance of workers interests within that process. Our job is not to give advice to the bouregoisie. Our demand is not for a single bouregois European State, but for a Socialist United States of Europe. We should argue for single European Workers Parties and Trade Unions as essential towards that goal.