French President Emmanuel Macron delivers a speech in the Sorbonne University

Macron’s Challenge for Europe

Sep 28, 2017 Philippe Legrain

French President Emmanuel Macron’s plan for reforming the European Union and the eurozone is highly ambitious, but credible – if Germany plays ball. But while Germany would be committing a monumental strategic blunder if it did not engage seriously with Macron’s proposals, its newly complicated domestic politics could get in the way.

PARIS – In an ambitious, visionary speech at the Sorbonne this week, French President Emmanuel Macron presented his plan for countering the tide of xenophobic nationalism in Europe. He wants to build a “sovereign, united, and democratic Europe,” where citizens again feel a sense of allegiance to the idea of Europe itself.

Macron’s speech was a welcome call to arms for a European Union that is confronting many crises and threats. But on the crucial and controversial question of fixing the eurozone, his proposals were disappointing. And he will have a hard time winning over his more cautious European counterparts, not least German Chancellor Angela Merkel, whose room for maneuver was crimped by her party’s poor showing in last weekend’s federal election.

Still, Macron made a powerful, positive case for a renewed EU. That EU embraces globalization and innovation, while also protecting Europeans, doing more to help them adapt to a changing world. It advances European interests and values in a world otherwise dominated by America and China. And it bolsters security at a time of increasing Russian revanchism, Islamist terrorism, and American disengagement under President Donald Trump.

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Emanuel Müller Oct 1, 2017

Emmanuel Macaron appealed in his Sorbonne speech to different strata of the european populations, notably with his “give Europe back to its citizens.” he transcends the AfD, that want to "take their country back", in a supra-nationalist way. He also aligns himself with the ethnic "on est chez nous" french by defining the europeans, but in a supra-national an supra-ethnic way, as those who recognize themselves in the Mona Lisa and the profiles of the greek temples. On the other hand, he appeals to the youth, with the praiseworthy initiation of a tolerance generating systematisation of international student exchanges and linguistic exchanges. His fascinating vision of a self-sufficient endo-european universalism seems to have three layers, like a Macaron, the base would be the greek civilization, the filler would be the Renaissance, and the top would be the in depth integration of the latin, germanic and slavic populations into one ethno-cultural supra-national "Europa" unit.
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John Leontop Oct 1, 2017

Common EU foreign policy: yes
Common EU defense: yes
Overhaul of EU institutions: yes
Money pipeline to ClubMed: no (as an ex-"Goldie" and ex-investment banker he is fully versed in OPM ("Other people´´ s money")

Macron should be careful re "imperial overstretch" (taking up too many chores at once, can be dangerous to your health).

Once he has cleaned up his own house ("do not talk about it, do it") with tangible results, only then will he have legitimacy to "reform" the Eurozone. In the meantime I suggest to try abiding by the rules for a change that were originally agreed upon (60% debt to GDP, max of 3% deficit p.a.) and see whether this will improve economic health.
By the way Germany should forgive substantial amounts of Greek debt, but only, and only under the condition that the Greeks will be given a breather from the Eurozone.
- Henk Crop Oct 2, 2017
  
  John. I like your comment, but I have some additional points.
  + Strickt Limits on immigration, ( in Africa live 200 million young people ( age 20-25 ) dreaming about Europe. Members states will decide who to admit.
  + UK must be welcome again if they wish to quit the Brexit.
  + Freedom of movement of people must be curtailed if neccessary.
  + Transparency about the costs of the new member states
  + Decisionprocess of the EU council must be strengthened. Now the leaders do it parttime. The leadership cannot be limited to Germany and France.
  + Common defence, only if it does not hurt the NATO Alliance
  + Overstretch. Again many new ideas, which urgently (recklessly) have to be implemented.
  I heard mr. Macron had over new 200 ideas.
  In response to the State of the Union address, in which mr. Juncker also presented ideas for deepening the EU, a poll was held in the Netherlands (Telegraaf 16 Sept.). Of the respondents 96%
  did disapprove of mr. Junckers his plans and want a pause for the Europroject.
  One respondent: the timing is not right. I want less bureaucracy, less officials and less subsidies.
  A new reply to this comment has been posted.
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j. von Hettlingen Sep 29, 2017

Philippe Legrain lauds Emmanuel Macron's "ambitious, visionary speech" this week, setting out plans to rebuild a "sovereign, united, and democratic" Europe - amid fears that a new coalition government in Berlin could limit his objectives. Macron has a lot on his plate - to promote the "sense of allegiance to the idea of Europe itself" - as a way to take on the "tide of xenophobic nationalism;" to call for a joint EU defence force for closer cooperation on security, migration, environment etc; and most of all to strengthen the eurozone and deepen EU integration. Yet on "fixing the eurozone, his proposals were disappointing."
Although Angela Merkel had in the past cautiously warmed to Macron’s radical overhaul of the eurozone, she faces new challenges after Sunday's election, because she needs to rely on smaller parties to form a coalition government, after the redrawal of the Social Democrats. The far-right, anti-EU party, the AfD has been emboldened by its big win, but the new third largest party will not be invited to form a coalition government with Merkel.
While the Greens - one of Merkel's potential coalition partners - are in principle closer to some of Macron’s views, the other partner, the pro-business Free Democratic party (FDP) could create problems for Macron’s plans for deeper integration of the eurozone with a shared budget and finance minister. The FDP pursues a laissez-faire doctrine and embraces free-market economy, saying the state should interfere as little as possible in all aspects of life.
Christian Lindner, the FDP leader, is critical of Macron’s ideas for eurozone governance, and would be a fierce opponent of a more integrated eurozone with its own budget, "funded by corporate-tax revenues reform plans." He said the idea was "unimaginable," because it would mean that Germany had to pay for bills left unpaid in other states, naming France and Italy. With the FDP as a partner and the AfD running amok in parliament, the prospect of Merkel selling deeper European integration to her coalition and the wider public seems uncertain.
Macron makes a "powerful, postivie case" for a "renewed" Europe, and he is right about redtape. The bloc "often seems remote, uninspiring, and ineffectual," and his profound transformation of the EU deserves support. Moreover he sees the importance of education and innovation to help citizens "adapt to a changing world," because the genie globalisation can't be put back in the bottle. An enlightened and competitive Europe will protect its citizens from far-right populism, and inspire them to resist Russian revanchism and fight Islamist terrorism.
Macron said each EU member state would need to "hold democratic conventions to debate citizens’ priorities" and "give" Europe back to its disgruntled citizens, winning back their trust and support. He suggested a bloc moving forward at differing speeds could allow those "willing governments" to integrate "faster," suggesting the UK may “one day find its place again”. His vision is a far cry from Jean-Claude Juncker's reckless call for a closer union at all costs.
The author says "the ball is now in Germany’s court" and much depends on whether there will be a "revitalized Franco-German engine driving the process forward." Given the fragmented landscape in German politics after the election, there is fear that Merkel may be too preoccupied with domestic affairs that she might not be able to follow through with her commitment to revamp the European project.
Should Macron fail, there is a risk that "Europe could very well succumb to nationalism.... That would be devastating for Germany, a country whose economic success, political identity, and security are based on a strong, functioning EU." Even though Macron is the "most pro-German French president imaginable," he faces a Herculean task at home to implement the labour-market reforms and boost growth, placing himself at the mercy of Germany. It remains to be seen whether the Germans will put long-term EU interests ahead of short-term domestic gains. Berlin would be "committing a monumental strategic blunder if it did not engage seriously with his proposals." Merkel is sensible and pragmatic. The world is now watching how she will manage the new situation.
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Robert Goldschmidt Sep 29, 2017

Reorganization is doomed to fail unless we first address the rising economic discontent that is transitioning workers from rationality back to their tribal instincts. This is reflected in the splintering and radicalization of the political parties. Members of a tribe survive by avoiding expulsion which in turn requires them to follow their chieftain without question. This is the vein that is being mined by radical leaders.

If we are to recover we must address the impact on family purchasing power of automation, monopolization and globalization in descending order of importance. No I am not suggesting that we destroy the machines. Rather I suggest that we institute federal caps on a corporation’s earnings to payroll ratio based on its historical value for that company. This would leverage the most powerful positive features of capitalism.
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Bernhard Kopp Sep 29, 2017

President Macron is not suggesting any 'reform' for Euro-19 or EU-27. He is suggesting 'more Europe' on a broken foundation and a dysfunctional structure. Nonsense does not get any better only because it comes from a young, dynamic president in the Elysee. President Macron does not address the non-existing democratic legitimacy of any EU-institution, he does not address that EU-27 cannot possibly become a 'federal state' with a general public in 21 languages. He does not address that there cannot be a transnational parliamentary democracy with one central legislature somehow elected/delegated from 27 countries that are in their historic cultural, legal and political experience very heterogenous. President Macron's suggestions are in their possible effects destructive and radioactiv.
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Klaus Kastner Sep 29, 2017

I have no doubt that Germany - like most others - will engage seriously with Macron's proposals. At the same time, I suspect that there will be seemingly endless beautiful talk and very little tangible results. One should always bear in mind that the EU has been incapable to implement a gigantic task (unanimously approved) like re-locating 160,000 refugees. Makes you wonder how they will act when it comes to an EU-wide minimum social security. So far, Macron 2017 reminds me of Barack Obama 2008. Before Barack Obama, as a citizen of the world, could work on his ideas to make the world a perfect place, he got into domestic trouble which absorbed most of his energy. Something similar is quite likely to happen with Macron.
- Henk Crop Oct 19, 2017
  
  Klaus. The relocation of 160.000 refugees ( the experience is that 90 % are immigrants looking for a better life ) is an absurd decision. Only the countries can decide if they can place immigrants.
  This decision cannot and should not be made by the EU. Two countries did not approve.
  If the immigrants cannot all be placed, the EU should take care of them. After all it was the EU who failed to protect the external EU borders, while opening the internal borders.
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