February 10, 2005 14:52 | by
Matt Reichel
The current project of the neoliberal economic machine is approval
of the European constitution: with the aim of solidifying the political
ties that have made it easier for transnational corporations to
control European economic affairs. Thus far, champions of the constitution
have sloughed off the opposition as the extreme right and extreme
left up to their old tricks: using nationalism and class antagonism
to destroy the journey of liberal peace-making. However, this idea
was dealt a blow on February 3 when France's largest trade union,
the Confédération Général du Travail
(CGT), urged its membership to oppose the constitution. Despite
the support thrown at the project by the Socialist Party (PS) and
most mainstream leaders of the Left in France, there is growing
fear that the rank-and-file will not be going along. To no one's
surprise, the major parties are completely in bed with the spread
of neoliberal political economy, while real people and their communities
have grave fears. Indeed, what's brewing in Brussels ought to be
opposed by anyone on the Left. The consolidation of a trans-European
neoliberal economic model will have untold consequences for workers,
independent shopkeepers, retirees, and families throughout the continent.
The growing controversy over the treaty is just another sign of
the increasing resentment through the world of the Washington
consensus.
Without a doubt, Brussels is beginning to look a lot like Washington
DC. More than just being the site of the EU's bureaucratic functions,
it's also home to some 20,000-30,000 professional and full-timelobbyists:
70% pushing the needs of their corporations on to EU policy-making.
In the United States the adverse effects of corporate lobbying are
seen all the time: someone working for a corporation running out
of California can go to Washington and win a few votes over from
representatives in, say, North Carolina or Georgia, and this will
have profound consequences for people living in Illinois. This is
the ugly face of Federalism: by signing up, you are pulled into
whatever agreements are made by your counterparts. In the EU, transnational
corporations can lobby a Spanish representative or Italian representative
for policy that ultimately hurts French working people, and, if
successful, France must be dragged along. As such, Federalism is
the political form most convenient for neoliberal economics and
its need to spread beyond national boundaries. The logic of the
market mantra is "what's good for you, must be good for us,"
and, of course, this has never proven to be the case.
As an example, let us inspect the continually vanishing French
brasserie. Once a cultural focal point of French life and civilization,
the brasserie is slowly going the way of the dinosaur, unable to
compete with larger entities. The numbers are drastic: nearly 3/4ths
of these independently owned Cafés and Bars have shut their
doors over the last 20 years, giving way to the growing popularity
of large discotheques and clubs, but also to the ever familiar transnational
entities like McDonalds and Starbucks. The reason is simple: in
France there exists a prohibitively high 20% Value Added Tax (VAT)
on luxuries: eating and drinking out is included. While this tax
is intended as an aide for workers at these establishments, its
sheer inflexibility has had a drastic effect on small shopkeepers.
Due to EU regulation, France cannot lower or temporarily halt the
tax: this is a rule that was added after much lobbying by everything
from transnational businesses, who stood to profit from driving
independentshops out of business, to Spanish and Italian based travel
entities, who hoped that an expensive France would result in increased
travel to the south of Europe. Unfortunately, there have been no
real winners, and the losers have been the small shopkeepers who
have had to either close or labor intensively (often 16 hour days,
7 days a week) to maintain a profitable business. It goes without
saying that in the case where doors are closed, the result has been
bad for workers: unemployment having been an unceasing plague in
Western Europe for the last couple decades.
Individual countries are, indeed, increasingly powerless to control
the course of their economies. The New Statesman reports that "half
or more" of European legislation (depending on the country)
begins in Brussels and not in their home capitals. While some of
this loss of sovereignty is a welcome sign in a continent previously
plagued by world war, extreme nationalist violence and racism, the
creation of an economic superstructure does not help combat these
problems. In fact, neoliberal economics has resulted in very little
being done to open borders to trade, while quite a bit has been
done in paving the way for single corporations to merely spread
their influence across borders. The latter isn't trade: just expansion,
plain and simple. If anything, it is resentment over the predominance
of foreign firms in European countries that has incited the recent
growth of Nationalist parties from Le Pen's Front National to the
British National Party in Britain.
Much like Nazism grew out of a nationalistic aspiration of a greater
Germany in the light of American and British hegemony, the current
nationalists are being faced with a continually consolidating oligopoly
that is destroying their local sovereignty.
The issue here is the function of the EU constitution: is it codifying
the peaceful political intent of the European Union, or merely aiding
in the spread of the neoliberal monster? There is growing fear among
populations throughout Europe that there exists a tense interface
between the stated political objectives of transnational organizations
like the EU and the economic program that they are married to. While
the human rights regime inherent to the UN and EU charters are widely
applauded as appropriate and necessary in the post-World War II
era, the neoliberal model is increasingly seen as a threat to the
peace and justice brought through the human rights discourse. CGT's
demands, in opposing the EU constitution, mirror this critique exactly:
seeking an EU treaty that brings Europe closer together on issues
of human rights, peace, and democratization, and not on the universality
of a singular economic model. Since the latter trumps the former,
we should hope that CGT's bold move gains some steam.
Matt Reichel is an American expatriate and graduate student in Paris
specializing in international relations theory. He can be reached
at: reichel_matt@yahoo.fr
This article first appeared on the US webzine Dissident
Voice
See Also:
EU Constitution
EU "Constitution"
is a political programme
Irish pro-neutrality
group seeks partners in campaign against Constitution