Tag: EU

Ratko Mladic Arrested

The arrest of Ratko Mladic is a welcome development that should remove the last major obstacle to closer relations between Serbia and the United States and the EU nations.  For too long, the Western powers have placed an excessive emphasis on his apprehension as a condition (explicit or implicit) for Serbia’s full inclusion in the Western community.

If the objections now continue, Serbs will understandably conclude that the Mladic issue was little more than a convenient excuse that Western governments used to justify a less-than-friendly policy toward Belgrade.  An expected improvement in relations now that Mladic has been apprehended is especially pertinent with respect to Serbia’s path toward membership in the European Union.

The arrest will have little substantive impact on prospects for reconciliation in Bosnia-Herzegovina or anywhere else in the former Yugoslavia, however.  The trend in Bosnia over the past year or so is toward renewed tensions rather than reconciliation, and that trend is being driven by factors that have little to do with the Mladic issue.

Is Europe Irrelevant?

Paul Starobin at the National Journal’s Security Experts Blog has kicked off a spirited debate surrounding Europe’s military capabilities (or lack thereof). The jumping off point in the discussion is Robert Gates’s speech to NATO officers last month, in which Gates lamented that:

“The demilitarization of Europe – where large swaths of the general public and political class are averse to military force and the risks that go with it – has gone from a blessing in the 20th century to an impediment to achieving real security and lasting peace in the 21st.” [Justin Logan blogged about this here.]

Starobin asks: “Can America Count On Europe Anymore?”

Is Gates right? What exactly does “the demilitarization of Europe” mean for U.S. national security interests? Should Americans care if Europe has to live in the shadow of a militarily superior post-Soviet Russia? Is NATO, alas, a lost cause?

[…]

In short, should the U.S. be planning for a post-Europe world? Does Europe still matter? Can we count on Europe any more?

My response:

It would be unwise for Americans to write off Europeans as a lost cause, congenitally dependent upon U.S. military power, and unable to contribute either to their own defense or to policing the global commons. We can’t count on Europe – right now – but that doesn’t mean we can never count on Europe in the future.

Americans who complain about Europe’s unwillingness to play a larger role in policing the globe, and who would like them to do more, should start by exploring the many reasons why Europe is so weak militarily.

Consider, for example, Europe’s half-hearted and inconsistent steps to establish a security capacity independent of NATO – and therefore independent of the United States – since the end of the Cold War. Such proposals have failed for many reasons, but we shouldn’t ignore the extent to which Uncle Sam has actively discouraged Europe from playing a more active role. Most recently, Hillary Clinton expressed the U.S. government’s position that political and economic integration would proceed under the EU, but security would continue to be provided by NATO. This echoes similar comments made by the first Bush and Clinton administrations with respect to European defense. (See, for example, Madeleine Albright’s comments regarding European Defence and Security Policy (EDSP) in 1998).

We can dismiss such comments as useful cover for Europeans who were looking for an excuse to cut military spending in the first place. The demographic pressures of an aging population consuming a larger share of public resources are being felt in many advanced economies, but are particularly acute in Europe.

But the problem goes well beyond the fiscal pressures associated with maintaining an adequate defense. Washington has been openly hostile to any resurgence of military power in European, no matter how unlikely that might be, on the basis of what political scientists call hegemonic stability theory. That theory holds that it is better for security to be provided by a single global power than by regional players dealing chiefly with security challenges in their respective neighborhoods. The argument is that such self-sufficiency is dangerous, that it can lead to arms races, regional instability, and even wars. One can think this a smart philosophy or a dumb one, but we can’t ignore that it has guided U.S. foreign policy at least since the end of the Cold War.

It could be argued that the costs to the United States of providing such services for the rest of the world are modest, but that is ultimately a judgment call. To be sure, the dollar costs will not bankrupt us as a nation, but Americans spend $2,700 per person on our military, while the average European spends less than $700. The bottom line is that Europeans have little incentive to spend more because they don’t feel particularly threatened, and they aren’t anxious to take on responsibilities that are ably handled by the United States. The advocates of hegemonic stability theory would declare that a feature, not a bug. Mission accomplished.

And that might be true, if the greatest threat to global security were a resurgence of conflict in Europe, and if it is truly in the U.S. interest to forever have allies with few capabilities and many liabilities. But that seems extremely shortsighted. The sweeping political and economic integration in Europe has dramatically reduced the likelihood of another European war. In the meantime, the fact that we have many allies with little to offer by way of military assets, and even less political will to actually use them, is forcing the U.S. military to bear the disproportionate share of the burdens of policing the planet. And in the medium- to long-term, while I doubt that we will be facing “a militarily superior, post-Soviet Russia,” allies with usable military power might ultimately serve a purpose if Moscow proves as aggressive (and capable) as the hawks claim.

In short, Secretary Gates’s comments last month suggest that he has stumbled upon the realization that being the world’s sole superpower has its disadvantages. This by itself would be a significant shift of U.S. policy, and therefore drew favorable comments by others who welcome such a change. (See, for example, Logan, Steve Walt, and Sean Kay.)

Getting Europeans to take a more active role – even in their own backyard – will be difficult, but not impossible. It starts with blunt talk about the need to take responsibility and to assume a fair share of the burdens of policing the global commons. But we’ve heard such comments before. What is also needed is greater restraint by Washington, behavior that over time will force the Europeans to play a more active role.

Tax Hike Commission

The Senate Homeland Security and Government Affairs Committee is holding hearings today focused on Senator Kent Conrad (D-ND) and Judd Gregg’s (R-NH) idea to set up a special Task Force to draft a deficit-reduction plan. The plan would get fast-tracked through Congress for a vote and “everything would be on the table.”

For taxpayers, this idea creates the threat of large tax increases on top of all the other tax increases being discussed in Congress. While the senators supporting a Task Force express valid concerns about the government’s exploding debt, the plan could launch a drive to impose a European-style value-added tax in America.

In theory, such a Task Force could come up with some meaty and long-overdue cuts to the federal budget. But nine of the senators co-sponsoring the Conrad-Gregg Task Force, including Conrad, voted in favor of the massive spending bill passed by the Senate on Sunday, which increased appropriations by 10 percent in a single year.

In calling for deficit reduction, Senator Conrad says that “it is no longer enough for Congress to simply talk about reform; it is time for action and leadership.” But Senator Conrad certainly hasn’t shown reform leadership on farm subsidies. So until he and his colleagues start restraining their own spending appetites, it’s safe to assume that ”everything on the table” really just means a sneaky, under-the-table tax increase.

It Is Good to Be the King: Taxpayers Pay $413,000 for French President’s Unused Luxury Shower

Bastien François, a professor of political science at the Sorbonne, writes that “The French political system is incomprehensible to the rest of the world… In France we call it a republican monarchy. That phrase says it all.”

Indeed, according to the press, a £250,000 ($413,000) shower with air conditioning and radio surround sound that was “built to the exact specifications of the French President Nicolas Sarkozy” was paid for by the EU taxpayer during the French Presidency of the European Union in July 2008.

 It was “disposed of soon afterwards, unused, together with most of the equipment bought for the £16million ($26 million) conference.” The press also reported “other expenses included £1million ($1.65 million) spent on the opening dinner alone - more than £23,000 ($38,000) for each of the 43 heads of state.”

The VAT Debate: Should Politicians in Washington Get a Huge New Source of Tax Revenue as a Reward for Overspending?

Based on five criteria, James Pethokoukis of Reuters connects the dots and warns that President Obama is going to propose a value-added tax.

Does President Obama have a secret plan to raise taxes on middle-class Americans — and,well, pretty much everybody else — with a European-style, value-added tax? Actually, it’s not such a big secret. …Obama’s campaign promise to not raise taxes on households making less than $250,000 a year was always considered a joke here inside the Beltway. …Maybe it was a joke inside the campaign, too. Since being elected, Obama has raised cigarette taxes and has advocated raising healthcare taxes, energy and small business taxes, in addition to corporate taxes. What’s more, economic advisers like Larry Summers seem eager to get rid of all the Bush tax cuts, not just those on so-called wealthy Americans. And it’s also no secret that economists love the idea of a VAT. It promotes savings over consumption, and its hidden nature may mean it has less behavioral impact on taxpayers. …Liberals love the idea of a VAT because it’s, well, so European — also because it does raise tons of revenue to expand government. And that is what Obama wants: more revenue to pay for bigger government. Is a VAT better than the soak-the-rich approach favored by Democrats such as Nancy Pelosi and Charlie Rangel? Sure. Of course, the concern is that a VAT would be in addition to new soak-the-rich taxes.

While the timing is unclear, his prediction is correct. The politicians in Washington want much bigger government, but they know that it will be difficult to achieve that goal without a big new source of revenue. The VAT would be perfect from their perspective. It is a form of national sales tax, but would be hidden in the price of products and therefore easy to increase. Moreover, every time they increase the VAT, they would use that as an excuse to raise income tax rates for “distributional fairness.” It is no exaggeration to say that the VAT is the biggest fiscal threat to the cause of limited government.

One final point about the column. Economists don’t love the VAT, per se, but they do view it as being less destructive - per dollar raised - than the income tax. But less destructive is still destructive. And since the VAT would be in addition to the taxes we have now (and actually create the conditions for higher income tax rates), its enactment would create a lose-lose situation for taxpayers.

New Video Reviews Evidence against Big Government

The burden of government spending has skyrocketed during the Bush-Obama years. Many politicians claim that all this new spending represents necessary “investments” to boost economic growth. But as this new video explains, both cross-country comparisons and empirical analysis suggest government is far too big – not only in Europe, but also in America.

This is the second of a two-part series. The first installment, which focuses on eight theoretical reasons why excessive government undermines growth, can be viewed here.

Kristof on the Drug War

New York Times columnist Nicholas Kristof cites the Cato report about Decriminalization of Drugs in Portugal by Glenn Greenwald.  Here’s an excerpt:

Above all, it’s time for a rethink of our drug policy. The point is not to surrender to narcotics, but to learn from our approach to both tobacco and alcohol. Over time, we have developed public health strategies that have been quite successful in reducing the harm from smoking and drinking.

If we want to try a public health approach to drugs, we could learn from Portugal. In 2001, it decriminalized the possession of all drugs for personal use. Ordinary drug users can still be required to participate in a treatment program, but they are no longer dispatched to jail.

“Decriminalization has had no adverse effect on drug usage rates in Portugal,” notes a report this year from the Cato Institute. It notes that drug use appears to be lower in Portugal than in most other European countries, and that Portuguese public opinion is strongly behind this approach.

A new United Nations study, World Drug Report 2009, commends the Portuguese experiment and urges countries to continue to pursue traffickers while largely avoiding imprisoning users. Instead, it suggests that users, particularly addicts, should get treatment.

Senator Webb has introduced legislation that would create a national commission to investigate criminal justice issues — for such a commission may be the best way to depoliticize the issue and give feckless politicians the cover they need to institute changes.

Good stuff.  Read the whole thing.