Must read from Business Insider: The Report That Will Blow Up The Eurozone
A few months ago, the PVV announced they had commissioned a report from British financial consultancy firm Lombard Street Research on the economic consequences of staying in the Eurozone versus returning to the guilder.
That report is about to be published “within days”. It will prove to be highly explosive material. And the PVV will do all it possibly can to make sure it receives a lot of media attention. It may tear down the incumbent government, which is a heavy advocate of all things Europe, and which will have to quit once the PVV support dies, but for that party that’s not the no. 1 concern.
And if and when Holland has a large scale discussion on the report and the issues it raises, Germany won’t be able to ignore it and stay behind. And then, neither will France.
BI estimate that once the report is published governments in Berlin and The Hague will have a lot of explaining to do. They have to do so against a backdrop of (near-)failing Greek debt swap talks, which will at the very least force them to admit that they have a lost tens of billions in taxpayer money to Club Med countries already. With a second Portugal bailout waiting in the wings. And lots of negative news on Italy and Spain. And more domestic budget cuts. The report will be the moment when the Dutch (and the Germans) realize that our governments have painted far too rosy pictures about the issues so far.
The combination of economic reality in the eurozone is already causing a seething hatred and anger. The fact that a reputable economic research firm will flatly contradict the dire predictions by our government about the effects of leaving the euro will “serve as the catalyst that blows up the powder keg. It may take a few months, but it will happen”.