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Germany, Thuringia

Germany’s Left Party comes of age with Ramelow victory

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After months of inter-party negotiations, the east-central German state of Thuringia will have a government led by Bodo Ramelow, the state leader of the democratic socialist Die Linke (Left Party).thuringiaGermany Flag Icon

On the surface, it means that Die Linke, partially the successor to  Socialist Unity Party (SED) that ruled the eastern German Democratic Republic, will control a state government for the first time since reunification, which has bred a significant amount of controversy:

Never before in a fully democratic Germany has a regional election triggered so much protest, with thousands demonstrating outside the parliament in Erfurt on Thursday evening ahead of the vote, declaring that the “perpetrators” were heading back into office.

Demonstrators included former East German dissidents, some of whom had spent time behind bars for their opposition views. They shouted “Stasi out!” in reference to East Germany’s repressive secret police, and “The Social Democrats have betrayed us”.

Even center-right chancellor Angela Merkel has used stark language to reject a Left-led government, arguing that Ramelow’s victory is equivalent to putting Karl Marx in charge of government.

But that’s a fairly oversimplified narrative.

Ramelow and the Left will govern in coalition with two far more moderate center-left parties, the Die Grünen (the Greens) and the Sozialdemokratische Partei Deutschlands (SPD, Social Democratic Party). The SPD, nationally, governs in a ‘grand coalition’ with chancellor Merkel’s conservative Christlich Demokratische Union Deutschlands (CDU, Christian Democratic Union).

Moreover, the Left isn’t even the largest party in the Thuringia Landtag, the regional assembly:

thuringia landtag

Far from bringing a police state or a socialist revolution to the tranquil streets of sleepy Erfurt, the Left will be governing in coalition with two far more moderate partners. With the support of the Greens and the SPD, Ramelow’s government will have a one-vote margin in the Landtag. So even if it wanted to introduce radical far-left measures, the Left wouldn’t get very far.

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RELATED: Thuringia and Brandenburg results: Left & AfD on the rise

RELATED: Left hopes to make eastern breakthrough
in German state elections

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It’s not clear, however, that it wants to do so. Thuringia provides the party with the opportunity that it can govern responsibly, even with a different ideological perspective than Merkel’s prevailing CDU or the moderate SPD. While the Left is relatively pro-Russia, plenty of former chancellors, from Gerhard Schröder to Helmut Kohl, have struck more lenient views toward Russia than most European figures. While the Left is also anti-NATO, that’s because it’s on the more ultra-pacifist side of a political culture that for decades has been incredibly pacifist.

Ramelow, a Lutheran union leader born in West Germany, is hardly a flamethrower, and he’s an advocate of pro-growth, anti-austerity policies. He’s called for wider investment in education and wants to provide a free year of kindergarten to every child in the state.

Continue reading Germany’s Left Party comes of age with Ramelow victory →

Germany

Photo of the day: Helmut Kohl at Brandenburg Gate

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amazingPhoto credit to Andreas Mühe/VG Bild-Kunst Bonn for BILD.

This is perhaps the most haunting photo in world politics in 2014.Germany Flag Icon

Helmut Kohl, who was first elected chancellor of West Germany in 1982 and who left office in 1998 following his final term as the chancellor of a reunified Germany, is today long out of frontline politics and, since a 2008 stroke, has been confined to a wheelchair. He sits alone in this photo for Bild at night in the glow of the Brandenburg Gate, one of many points that divided East Berlin from West Berlin for the better part of 28 years.

It’s astonishing that, with Sunday’s 25th anniversary of the fall of the Berlin Wall, which ultimately resulted in the reunification of Germany and became a harbinger of the collapse of the Soviet Union, we’ve almost reached the point where the Berlin Wall has been down longer than it initially stood.

Even as Mikhail Gorbachev, still around as an icon of the revolutionary change of that era (and despised, to this day, in Russia), is warning that Ukraine could spur a new 21st century cold war, Sunday was an opportunity to celebrate the universal desire for freedom. That was as true in 1989 as it is in 2014, when many walls still remain, from Gaza to China’s ‘great firewall.’

For Germany, the reunification of East and West has been very successful in some ways, others not. It’s almost comical today to imagine British prime minister Margaret Thatcher telephoning Gorbachev, frantically and practically begging him to stop German reunification. But when we think about the chiefly German-led European Union of 2014, with its emphasis on tight budgets (instead of GDP and jobs growth) and its peculiarly German reticence as regards debt and inflation (even in the face of growing deflationary pressure), there may have been something to Thatcher’s warnings, after all. Ulrich Beck captures the peculiar problem of German Europe in a new short book, translated earlier this summer into English.

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RELATED: Has the first Ossi chancellor been good or bad
for the former East Germany?

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German reunification is itself something of a cautionary tale about the perils of implementing a currency union in what, in 1990, was most certainly not an optimal currency zone. Though the past 25 years haven’t been horrific for the six eastern German states that once constituted the German Democratic Republic, it’s hard to say that the former GDR has done better than Poland or other former ‘Iron Curtain’ countries. That, in part, may have been due to the effects of conversion of East German currency on a 1:1 ratio with the West German deutsche mark.

Continue reading Photo of the day: Helmut Kohl at Brandenburg Gate →

Russia, United States

Putin tops world power rankings

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It’s far from scientific, but less than 24 hours after Republicans appeared to defeat US president Barack Obama in midterm congressional and gubernatorial elections, Russian president Vladimir Putin defeated him to the top spot on Forbes‘s 72 Most Powerful People in the World.USflagRussia Flag Icon

The rankings don’t really mean that much in the grand scheme of things, of course.

The Forbes rationale?

We took some heat last year when we named the Russian President as the most powerful man in the world, but after a year when Putin annexed Crimea, staged a proxy war in the Ukraine and inked a deal to build a more than $70 billion gas pipeline with China (the planet’s largest construction project) our choice simply seems prescient. Russia looks more and more like an energy-rich, nuclear-tipped rogue state with an undisputed, unpredictable and unaccountable head unconstrained by world opinion in pursuit of its goals.

Hard to argue with that, I guess.

But the rankings represent a nice snapshot of what the US (and even international) media mainstream believe to be the hierarchy of global power. Though I’m not sure why Mitch McConnell, soon to become the U.S. senate majority leader, isn’t on the list.

So who else placed in the sphere of world politics this year?

  • Obama ranked at No. 2 (From the Forbes mystics: ‘One word sums up his second place finish: caution. He has the power but has been too cautious to fully exercise it.’).
  • Chinese president Xi Jinping, who took office in late 2012 and early 2013, ranked at No. 3. (Tough break for the leader of the world’s most populous country!)
  • Pope Francis, ranked at No. 4, even though Argentina lost this year’s World Cup finals to Germany.
  • Angela Merkel, ranked at No. 5, third-term chancellor of Germany and the queen of the European Union.
  • Janet Yellen, ranked at No. 6, the chair of the US Federal Reserve.
  • Mario Draghi, ranked at No. 8, the president of the European Central Bank.
  • David Cameron, ranked (appropriately enough) at No. 10, the Conservative prime minister of the United Kingdom, who faces a tough reelection battle in May 2015.
  • Abdullah bin Abdul Aziz Al Saud, No. 11, the king of Saudi Arabia.
  • Narendra Modi, No. 15, India’s wildly popular new prime minister.
  • François Hollande, No. 17, France’s wildly unpopular president.
  • Ali Khamenei, No. 19, Iran’s supreme leader, especially as Iranian nuclear talks come to a crucial deadline this month.

Continue reading Putin tops world power rankings →

Uncategorized

ECB’s Draghi on raising inflation in Europe: ‘We will do exactly that.’

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Italy’s Mario Draghi, the president of the European Central Bank, joined Stanley Fischer, the vice chair of the Federal Reserve, in an hour-long program at the Brookings Institution earlier today.European_Union

Draghi addressed at length both the ECB’s steps to confront deflation and the need for EU countries to enact bolder economic reforms in his remarks and in his discussion with Fischer, the former president of Israel’s central bank and a former professor at the University of Chicago who once taught Draghi.

Deflation as Europe’s chief economic threat

DSC00853Draghi stressed that he understands the biggest risk to European Union’s economic recovery is deflation. He noted that the ECB is transitioning from a more passive approach to a much more active ‘QE-style’ approach to the bank’s balance sheet — in part by moving last month to purchase private-sector bonds and asset-backed securities. Even if Draghi’s efforts still fall short of the kind of quantitative easing (e.g., outright asset purchases) that the Federal Reserve introduced to US monetary policy five years ago, Draghi committed himself to lifting the eurozone’s inflation from ‘its excessively low level’:

We will do exactly that.

It’s not exactly ‘whatever it takes,’ but it’s a sign that Draghi realizes the dangers that deflation presents, with the eurozone inflation rate falling to just 0.3%, the lowest level since the height of the eurozone’s existential sovereign debt crisis:

Euroarea-Inflation1

Draghi has been one of the leading voices for a more active ECB approach to boosting inflation to 2% within the next two years, though Germany’s powerful central bank, the Bundesbank, and its president Jens Weidmann (also a member of the ECB’s 24-person governing council), remains skeptical of full-throated quantitative easing.  Continue reading ECB’s Draghi on raising inflation in Europe: ‘We will do exactly that.’ →

Austria, Bulgaria, Denmark, Estonia, European Union, Finland, France, Germany, Greece, Latvia, Slovenia, Sweden, The Netherlands, United Kingdom

The 13 key EU players in the proposed Juncker Commission

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juncker

On Wednesday, the incoming president of the European Commission, Jean-Claude Juncker (pictured above), released full details on the proposed commissioners within his Commission, which will serve as the chief executive and administrative body of the European Union between 2014 and 2019.European_Union

The most important feature of the proposed Juncker Commission is that he’s introduced the greatest amount of hierarchy in an institution that used to be flat. It’s not a secret that some portfolios have always been more desirable than others, especially as the Commission has expanded to include all 28 member-states. But Juncker has introduced a first vice president and five vice presidents, who will also serve alongside Italy’s foreign minister Federica Mogherini, who was appointed two weeks ago to serve as Commission vice president and high representative for foreign affairs and security policy.

The delegation of so much power to five ‘super-commissioners’ with roving, supervisory briefs indicates that Juncker intends to be a much less hands-on Commission president that his predecessor, José Manuel Barroso. But it also reflects a Commission that, including Luxembourg’s Juncker, contains five former prime ministers (Finland, Slovenia, Latvia and Estonia).  It also contains four incumbents (Germany, Sweden, Bulgaria and Austria) who have served throughout the full second term of the Barroso Commission. That makes the Juncker Commission possibly the most distinguished in EU history.

Each commissioner must be approved by the European parliament and, while individual nominees have had troubles in the past, the parliament typically approves the vast majority of a Commission president’s appointments, all of whom were nominated by their respective national governments.

With nine women, it’s not as unbalanced as feared even a week or two ago, and with 14 members of the center-right European People’s Party (EPP), eight members of the center-left Party of European Socialists (PES) and five members of the Alliance of Liberals and Democrats for Europe (ALDE), it generally reflects the results of the May 25 European parliamentary elections, though some social democrats and socialists are grumbling that the left doesn’t have enough representation.

So what can we expect from this illustrious college of commissioners?

Here’s a look at the 13 most important players in the proposed Commission (aside from Juncker and Mogherini, of course). Continue reading The 13 key EU players in the proposed Juncker Commission →

Germany, Saxony

CDU wins Saxony, but faces tougher road in two weeks’ time

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tillichmerkel

It’s not necessarily that Saxony is shifting to the right, as The Economist wrote earlier this week about the results of last Sunday’s state elections in Saxony.Germany Flag Iconsaxony

It’s more that right-leaning voters are switching allegiances from one party to another, not unlike similar shifts in western Germany and at the federal level. 

Though the Christlich Demokratische Union Deutschlands (CDU, Christian Democratic Union) will have to find a new junior coalition partner, there’s no doubt that it will continue to govern under minister-president Stanislaw Tillich (pictured above with German’s chancellor Angela Merkel), who won his second reelection after assuming the office in May 2008. 

Neither its junior partner in the outgoing government, the liberal Freie Demokratische Partei (FDP, Free Democratic Party), nor the neo-Nazi Nationaldemokratische Partei Deutschlands (NPD, National Democratic Party) met the 5% hurdle to return their legislators to  Saxony’s 126-seat state parliament, the Landtag.

Many of their voters appear to have supported the newly formed, anti-euro Alternative für Deutschland (AfD, Alternative for Germany) instead, which won 9.7%, making them the fourth-largest party in the Landtag with 14 seats. 

saxony 2014

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RELATED: Left hopes to make eastern breakthrough in German state elections

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None of this news, however, was unpredictable, because the results largely lined up with polls. 

The election was most disastrous for the Free Democrats, a party that, it’s not an exaggeration to say, faces political extinction.  Though the FDP made some of its strongest gains in its history in  2009 at both the federal and at state levels, it’s been facing backlash  for the past four years. In last September’s federal elections, it lost all 93 of its seats in the Bundestag, the lower house of the German parliament, shut out for the first time in postwar history. Now that it’s lost all of its seats in Saxony’s Landtag, it will no longer be a part of any state government, a massive turn for a party that just one year ago controlled the German foreign ministry, among other portfolios. It now holds seats in just eight of 16 state assemblies, a number that could drop to six if it wins less than 5% of the vote in upcoming September 14 elections in Brandenburg and Thuringia. 

The AfD, also a party with center-right tendencies, is best known for its relatively eurosceptic stand, even if its euroscepticism is muted by the standards of the United Kingdom, France and even The Netherlands. Continue reading CDU wins Saxony, but faces tougher road in two weeks’ time →

European Union, Italy, Poland

Tusk, Mogherini appointed to top European offices. What next?

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tuskrompuy

The European Council appointed Polish prime minister Donald Tusk as Council president and nominated Italian foreign minister Federica Mogherini as its new high representative for foreign affairs and security policy.Italy Flag IconEuropean_UnionPoland_Flag_Icon

The appointments of both Mogherini and Tusk were widely expected in the days and hours leading up to today’s EU summit.

Tusk (pictured above, left, with his predecessor, Herman Van Rompuy), age 57, was first elected prime minister in 2007 and reelected in 2011 as the leader of the center-right Platforma Obywatelska (PO, Civic Platform), each time defeating the more conservative, nationalist Prawo i Sprawiedliwość (PiS, Law and Justice). Essentially a moderate liberal and European federalist, Tusk has governed Poland for seven of the 10 years during which it’s been a member of the European Union. His elevation to the Council presidency marks the first time that a central or eastern European has held a top EU office, and it reflects Poland’s growing clout as one of the engines of the European Union.

ashtonmogherini

Mogherini (pictured above, right, with her predecessor, Baroness Catherine Ashton), age 41, only recently became Italy’s foreign minister in February, when prime minister Matteo Renzi maneuvered his way into the premiership. Though some Baltic and eastern European leaders doubted her level of experience and questioned whether she might be too sympathetic to Russia, she’s received strong marks in her six months as Italy’s foreign minister, marking her as a rising star in the new generation of leaders in Renzi’s center-left Partito Democratico (PD, Democratic Party).

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RELATED: Who is Federica Mogherini?

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Together with Jean-Claude Juncker, the former Luxembourg prime minister, who was nominated by the Council in June as the president of the European Commission, the EU’s chief executive and regulatory body, Tusk and Mogherini will be responsible for setting EU policy through 2019.

The Council presidency was created by the Treaty of Lisbon, which came into effect only in 2009. Before Lisbon, the Council president was simply the leader of the country that held the six-month rotating Council presidency. Van Rompuy, a former Belgian prime minister, served as the inaugural Council president. Upon the Council’s decision today, Tusk will begin his first term of 2.5 years in December, with the option for reappointment to a second term of 2.5 years.

The high representative role existed prior to the Lisbon Treaty, but it was greatly expanded when Ashton, a former Labour member of the House of Lords, was appointed to the role in 2009. Technically, Mogherini will serve as Italy’s representative on the European Commission and, accordingly, her term will run for five years and is  subject to the approval of the European parliament. 

Given their different backgrounds, Tusk and Mogherini were viewed as a complementary team. Eastern and central Europeans are delighted to see Tusk, a relatively hawkish voice on Russia, elevated to the Council presidency. Meanwhile, Mogherini brings gender diversity to the Commission, and she will join Martin Schulz, a German social democrat, as the chief voice of the center-left at the top of the EU policymaking apparatus.

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RELATED: Forecasting the EU power summit, part 1
Europe’s next high representative

RELATED: Forecasting the EU power summit, part 2
Europe’s next council president

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But what does it mean for the next five years of European policy? Continue reading Tusk, Mogherini appointed to top European offices. What next? →

European Union

Forecasting the EU power summit, part 1: Europe’s next high representative

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Mogherini

With the European parliamentary elections finished on May 25, and the emergence of former Luxembourg prime minister Jean-Claude Juncker as the president of the European Council nearly a month later, the next two pieces of EU governance will be determined at a summit of all 28 leaders of the European Union on Saturday.European_Union

The EU leaders, who together comprise the membership of the European Council, will meet at a summit on August 30 that is expected to determine outgoing Council president Herman van Rompuy’s successor, an office created under the Treaty of Lisbon that went into effect in 2009. 

They are also expected to appoint a candidate to succeed Catherine Ashton as high representative for foreign affairs and security policy, as well as informally consider which European Commission will hold which portfolios, though those decisions are unlikely to be announced until later in the autumn. 

It’s easiest to think about the two offices sequentially — first high representative, then Council president. That’s because there are just two major candidates viewed as credible possibilities for the EU foreign policy role — Italian foreign minister Federica Mogherini and Polish foreign minister Radek Sikorski — with a third, dark-horse candidate in Kristalina Georgieva, an economist and Bulgaria’s current commissioner, responsible for humanitarian aid and international cooperation.

The choices for the European Council presidency will  follow from the choice of high representative, and from the decision to name Juncker, a center-right federalist from Western Europe, as Commission president. (More on the Council presidency will follow in part 2).

From the available public reports, Mogherini (pictured above) appears to be the slight favorite for the role. Continue reading Forecasting the EU power summit, part 1: Europe’s next high representative →

Brandenburg, Germany, Saxony, Thuringia

Left hopes to make eastern breakthrough in German state elections

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bodo

Bodo Ramelow (pictured above) isn’t a Stasi throwback intent on socializing Thuringia into a communist hellhole.Germany Flag Icon

Instead, he’s a rather boring Lutheran born in West Germany, but he could also become the minister-president of the former East German state after state elections on September 14, which could give Die Linke (Left Party) control of its only state in Germany. Thuringia is just one of three eastern states voting throughout the next month, joining Brandenburg on September 14 and Saxony two weeks earlier on August 31.

The Left Party, in particular, has a strong following in the former East Germany, given its roots as the former Partei des Demokratischen Sozialismus (Party of Democratic Socialism), the successor to the Socialist Unity Party that ruled the eastern German Democratic Republic during the Cold War. As such, the traditional Western parties have been wary of partnering with the Left Party.

That’s beginning to change as the German left increasingly considers a more unified approach, and eastern Germany has been a laboratory for so-called ‘red-red coalitions’ between the Left and the center-left Sozialdemokratische Partei Deutschlands (SPD, Social Democratic Party). As such, the Left Party served as the junior partner in Berlin’s government for a decade between 2001 and 2011 and in the state government of Mecklenburg-Vorpommern between 1998 and 2006. Furthermore, a red-red coalition currently governs Brandenburg, and its leaders hope to renew a second term for the government in September’s election.

Though the outcomes aren’t roughly in doubt, the elections take place under the backdrop of news that the eurozone could be sinking back into economic contraction. Initial numbers from the second quarter of the year showed the economy contracting by 0.2% — the first contraction since 2012 — after first-quarter growth was revised down from 0.8% to 0.7%.

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RELATED: Has the first Ossi chancellor been
good or bad for the former East Germany?

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That’s in addition to the income gap that still plagues eastern Germany, where economic growth lags significantly behind the states of former West Germany, nearly a quarter-century after reunification:

Primary_income_of_private_households,_in_purchasing_power_consumption_standard_(PPCS),_by_NUTS_2_regions,_2011_(1)_(PPCS_per_inhabitant)_RYB14

The east’s lagging economic growth, the strength of Die Linke, and  growing unity between the SPD and Die Linke are common themes in all three state elections over the next month.

Saxony: August 31

saxony

Saxony is the most populous of the three eastern states voting over the next month, making it the biggest prize. But it’s also where the governing Christlich Demokratische Union Deutschlands (CDU, Christian Democratic Union) of chancellor Angela Merkel are most assured of winning reelection. Continue reading Left hopes to make eastern breakthrough in German state elections →

European Union

European Council proposes Juncker as Commission president

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juncker

Bowing to pressure from European parliamentary leaders, the European Council has proposed as its candidate for the presidency of the European Commission Jean-Claude Juncker, the former prime minister of Luxembourg and former head of the Eurogroup, the informal gathering of the eurozone finance ministers. European_Union

That makes it virtually certain that the European Parliament will elect Juncker (pictured above) as the next Commission president, likely with the full support of the two major pan-European parties in the Parliament, Juncker’s own center-right European People’s Party (EPP) and the center-left, social democratic Party of European Socialists (PES). It also likely means that the PES candidate for the Commission  presidency, Martin Schulz, will become the Commission vice president. 

It’s obviously a defeat for British prime minister David Cameron who, just last week, was still holding out hope that he could pull together a blocking minority to keep Juncker from receiving the Council’s endorsement. But by the time the Council gathered to vote, only Hungarian prime minister Viktor Orbán joined Cameron in opposing Juncker. Not only did Cameron fail to win over allies, he failed to keep both Dutch prime minister Mark Rutte and Swedish prime minister Frederik Reinfeldt, neither of whom are enthusiastic about the prospects of a Juncker candidacy.

Contacted by a reporter for the Moscow-based RIA Novosti earlier today, I had a chance to put together some quick thoughts on what the Juncker decision means. Here are my real-time responses, which will double as my real-time analysis on where things go from here.  

On how the choice reflects the European parliamentary elections on May 25:

The choice reflects the fact that Juncker was the candidate of the European People’s Party, the pan-European group of center-right, Christian democratic parties, and the EPP won the greatest number of seats in the European parliamentary elections on May 25. The EPP nominated Juncker as its candidate for the European Commission presidency prior to the May 25 parliamentary elections, just as several other European parliamentary parties nominated their own candidates. The candidates — the German term ‘Spitzenkandidaten‘ developed widespread use across Europe — campaigned throughout the spring, and they participated in a set of debates on the EU’s future.

Under the Lisbon treaty, the European Council is supposed to ‘propose’ a candidate for Commission president, which will be ‘elected’ by the European Parliament, with the Council ‘taking into account’ the results of the parliamentary election. No one knows exactly what that means, but Juncker and the other parliamentary leaders believe firmly that the Council must propose Juncker as its candidate. In so doing today, the Council has set an important precedent for future parliamentary elections, though national leaders will be loathe to admit it.

Proponents of the Spitzenkandidaten system argue that Juncker represents the will of the European electorate, because he’s the candidate of the party that won the most votes, but it’s not so simple as that. There’s no real indication that the majority of European voters were voting on the basis of this or that Commission presidential candidate. Voter turnout has dropped significantly since the first European elections in 1979, and voters often cast their ballots on the basis of national governments or other factors. To the extent there was a unifying theme to the elections, it was the rise of euroscepticism on both the far right and the far left, with the victories of groups like the United Kingdom Independence Party, France’s Front national (National Front) and Denmark’s Dansk Folkeparti (People’s Party). Whatever ‘mandate’ you take away from the European elections, it’s hard to argue there’s a groundswell of genuine democratic support for Juncker. It was only last October that Juncker’s own center-right Christian Social People’s Party suffered so many losses in Luxembourg’s national elections that he was forced out as prime minister after 18 years.

Continue reading European Council proposes Juncker as Commission president →

European Union

It won’t necessarily take much to block Juncker in Council vote

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David Cameron and Angela Merkel

One fact that’s becoming increasingly clear in the current tussle over electing a new president of the European Commission is that the eventual candidate must win a qualified majority on the European Council, as well as an absolute majority in the European Parliament. European_Union

Though the rules for qualified majority voting on the Council are greatly simplified under the Treaty of Lisbon, it’s worth noting that those rules don’t take effect until November 2014.

That means that the old rules, under the Treaty of Nice, will be in effect during the current fight this summer over whether former Luxembourg prime minister Jean-Claude Juncker, the candidate of the European People’s Party (EPP), can become the next Commission president.

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RELATED: Here come the Spitzenkandidaten! But does anybody care?

RELATED: The mother-of-all-battles over
European integration has begun

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With the current president of the Council, Herman Van Rompuy, currently taking the lead on the process, the Council will submit a formal proposal for Commission president during its next official summit on June 26 and 27.

That explains why the focus of the fight over Juncker has moved from the Parliament to a fight between German chancellor Angela Merkel and British prime minister David Cameron (pictured above, last week, left, with Swedish prime minister Frederik Reinfeldt and Dutch prime minister Mark Rutte).

Under the Lisbon rules, qualified majority voting means that a proposal under consideration by the Council must meet three requirements:

  • a majority of countries within the European Union (15 out of 28 countries);
  • a supermajority (74%) of countries according to a formula of voting weights; and
  • a supermajority of countries representing  at least 62% of the EU-wide population.

The trickiest hurdle is meeting the 74% hurdle. The system assigns weights, roughly corresponding to population, to each country, with a maximum of 29 for each of Germany, France, the United Kingdom and Italy, and a minimum of three for the smallest member, Malta. With a total of 352 weighted votes after Croatia’s July 2013 EU accession, that means Juncker must win at least 260 weighted votes. Conversely, it means that a minority consisting of 93 weighted votes can block Juncker.

Cameron is committed to opposing Juncker.

Hungarian prime minister Viktor Orbán, who belongs to the EPP, has also opposed Juncker in retribution for Luxembourg’s outspoken role on the Commission in the past five years attacking Orbán’s questionable respect for democratic norms and press freedom in Hungary.

Reinfeldt, the Swedish prime minister, has also voiced doubts about Juncker’s candidacy, even though he also belongs to the EPP. If Juncker fails to pass muster in the Council, Reinfeldt himself has been mentioned as a compromise candidate, given the likelihood that his center-right Moderata samlingspartiet (Moderate Party) is expected to lose national elections in September.

Rutte, the Dutch prime minister, has joined Reinfeldt in his hesitation over Juncker. Rutte, like Cameron and Reinfeldt, is generally a Merkel ally on European economic policy and the need for trimming national budgets, but he belongs to the Alliance of Liberals and Democrats in Europe (ALDE), the third-largest European parliamentary bloc.

If Sweden (10 weighted votes) and The Netherlands (13 votes) join Hungary (12 votes) and the United Kingdom (29 votes), Cameron will have 64 votes to block Juncker — and he’ll need just 29 more votes to do so.

Those votes could come from Italy, where prime minister Matteo Renzi has demanded a more flexible interpretation of EU budget rules and a greater emphasis on economic growth stimulation (instead of austerity) in exchange for backing Juncker. A deal seemed imminent earlier this week, though Renzi hasn’t yet declared either support or opposition for Juncker.

Right now, the momentum seems to be with Merkel and Juncker, and flowing away from Cameron. Either Rutte or Reinfeldt could back down from their criticisms. Furthermore, Renzi might be wary of alienating Merkel just four months into his premiership and days before Italy assumes the six-month rotating Council presidency. But Cameron, who has suggested Denmark’s social democratic prime minister Helle Thorning-Schmidt as an alternative Commission president, might yet persuade Renzi to join him for at least one shot at obtaining a more reformist Commission president than Juncker.

It’s worth noting that French president François Hollande, like Renzi, would like to see a greater emphasis on growth at the European level, and he hasn’t firmly indicated that he’ll support Juncker, either.

Continue reading It won’t necessarily take much to block Juncker in Council vote →

Finland

Katainen hopes to trade Finland’s premiership for EU presidency

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Just three years after taking power as Finland’s prime minister, Jykri Katainen is set to step down both as leader of Finland’s center-right Kansallinen Kokoomus (National Coalition Party) and as prime minister later this month, following the Saturday leadership election of Alexander Stubb as the party’s new leader. finland flag

Though Katainen (pictured above) is just 42 years old, he’s been at the helm of the National Coalition Party for a decade. Katainen stunned Finland in April when he announced he was resigning, with an eye toward pursuing a top job in the European Union. At the time, everyone assumed he was angling to become Finland’s next commissioner within the European Union, replacing Olli Rehn, the influential vice president of the Commission and, since 2010, the commissioner for economic and monetary affairs.

Rehn previously served from 2004 to 2010 as commissioner for enlargement, and he was recently elected to the European Parliament as a member of Finland’s liberal Suomen Keskusta (Centre Party).

But as the wrangling continues among Europe’s leaders over whether former Luxembourgish prime minister Jean-Claude Juncker should become the next president of the Commission, Katainen has tried to position himself as an attractive alternative.

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RELATED: The mother-of-all-battles over European integration has begun

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Juncker seems likely to command an absolute majority of the European Parliament, but there’s no sure bet that he’ll win the qualified majority within the European Council that he’ll need to win the Commission presidency. Juncker, led the pan-European campaign of the European People’s Party (EPP) in the May parliamentary elections, which won the largest number of seats in the 751-member legislature.

Enter Katainen, who’s guided a tenuous six-party (now five-party) coalition in Finland for the past three years, pushing through tough budget cuts, like so many other European governments over the last half-decade, in the face of economic recession. Before his National Coalition Party won the April 2011 national elections, Katainen previously served as finance minister and deputy prime minister, so he would bring to the job — or to any other top EU position — the experiences from governing through the eurozone sovereign debt crisis.  Continue reading Katainen hopes to trade Finland’s premiership for EU presidency →

European Union

The mother-of-all-battles over European integration has begun

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Three days after the European elections, the reverberations are still shaking the entire continent, with leaders at the national and European level firing the first shots in what promises to be an epic battle over European integration — and that will determine who really calls the shots in the European Union.European_Union

Last night, at an informal meeting of the European Council, the leaders of all 28 member-states of the European Union met to discuss how to approach the election of the next president of the European Commission, the powerful regulatory and executive arm of the European Union. The term of current president José Manuel Barroso, who has served in the role since 2004, will end within six months.

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They poured cold water on the notion that they would automatically propose former Luxembourg prime minister Jean-Claude Juncker as Commission president. Since Sunday, Juncker has stridently made his case that as the Commission presidential candidate (the ‘Spitzenkandiat‘) of the European People’s Party (EPP), which won the greatest number of seats in Sunday’s EU-wide elections, he should have the first right to attempt to assemble a parliamentary majority. That’s a position that, ironically, even the center-left Party of European Socialists (PES), the second-largest bloc in the European Parliament has endorsed:

Commenting on the leaders’ decision, outgoing Socialist group leader Hannes Swoboda tweeted that it’s “absurd that Juncker has our backing to start negotiations but is blocked in the Council by his own EPP family!”

It’s already starting to appear that, behind the scenes, the EPP, which won around 214 seats, and the PES, which won around 191 seats, are coming closer to forming a ‘grand coalition’ to back Juncker’s candidacy in a bid to assert the precedent that the Parliament should be the institution to determine the Commission presidency, not the Council. Both Juncker and the PES Spitzenkandidat, German social democrat Martin Schulz, have argued repeatedly that the Parliament should reject any Commission president that wasn’t among the original Spitzenkandidaten.

But it’s not so simple. The Commission president must win not only a parliamentary majority. He or she must also win a qualified majority among the heads of government and state that comprise the  Council, and enthusiasm among those leaders seems to be flagging for Juncker.

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RELATED: Here come the Spitzenkandidaten! But does anybody care?

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The key player, German chancellor Angela Merkel (pictured above), seemed testy in two press conferences since the election when asked about the looming showdown. As the leader of one of the top parties in the EPP, she officially supports Juncker, but her comments should hardly give Juncker comfort:

She also thanked Juncker for the “good campaign” he ran for the European People’s Party, but seemed slightly irritated by the avalanche of questions as to whether she backs Juncker to become the next EU commission president.

“I don’t decide who gets the post. Juncker is our candidate, the EPP candidate, and we will put his name forward in the discussions. It’s always been said that it’s up to the strongest group to put forward the candidate, but just being the strongest group is not enough, a majority is required,” she said.

European Union, Germany, Greece

An interview with Greek-German MEP Jorgo Chatzimarkakis

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Chatzimarkakis

If there’s anyone in European politics who straddles the line between the two cultural realities of Europe today, it’s Jorgo Chatzimarkakis.European_UnionGermany Flag IconGreece Flag Icon

Born in 1966 to Greek migrants in the Ruhr Valley, in what was then West Germany, Chatzimarkakis has served for the past 10 years as a member of the European Parliament from Germany’s liberal Freie Demokratische Partei (FDP, Free Democratic Party). 

Over the course of the past five years, that’s put Chatzimarkakis in one of the most unique roles of any European policymaker. As a German MEP, he belonged to a party that was one of the most outspoken critics of using German funds for what seemed, at the heart of the eurozone’s sovereign debt crisis, like an endless number of bailouts for troubled European economies, including Greece’s.

But as an MEP of Greek descent,  Chatzimarkakis also understood the emotional and social toll of the economic crisis from the other perspective, in light of the pain Greece continues to suffer due to the bailout — often referred to in Greece simply as the ‘memorandum,’ in reference to the Memorandum of Understanding that sets out the terms of the Greek bailout with the ‘troika’ of the European Central Bank, the European Commission and the International Monetary Fund.

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RELATED: In-Depth: European parliamentary elections

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Though the bailout program has kept Greece inside the eurozone, it’s come at a huge cost. The conditions Greece accepted in exchange for the loan program required tough budget cuts, tax increases, and reduced state salaries and pensions, exacerbating an economic downturn that, for Greece, has now developed into a full-blown depression. Unemployment is still nearly 27%, youth unemployment is even higher, and the Greek economy has contracted for six consecutive years:

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Cuts to education, health care and other programs have strained the Greek social fabric, civil strife and strikes are seemingly endless, and politician violence has increased. The neo-fascist Golden Dawn (Χρυσή Αυγή) is now the third-largest party in the Hellenic Parliament, despite the efforts of the current national government to prosecute many of its leaders. Though Greece’s economy may expand this year, for the first time since 2007, it’s clear that the effects of the downturn will reverberate for years to come.

In the 2014 European elections, Chatzimarkakis is running for the European Parliament in Greece, having formed a new political party, the Hellenic European Citizens (Έλληνες Ευρωπαίοι Πολίτες).  Continue reading An interview with Greek-German MEP Jorgo Chatzimarkakis →

European Union

Here come the Spitzenkandidaten! But does anybody care?

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If you believe the hype, the contest between Luxembourg’s Jean-Claude Juncker (pictured above, right) and Germany’s Martin Schulz (pictured above, left) is the European equivalent to the American election of 1800.European_Union

Fully 214 years ago, American voters (or, more accurately, white, male American property-holders) went to the polls in what was just the second contested presidential election in US history, pitting the incumbent, John Adams of Massachusetts, against Thomas Jefferson of Virginia.

The aftermath of that election demonstrated flaws in the nascent American democracy’s constitution when Jefferson and his running mate, Aaron Burr, both received 73 votes in the US electoral college.  The clear intention was always that Burr was Jefferson’s running mate. Yet as a technical matter, the two candidates were tied in the only presidential vote that mattered in the electoral college. Jefferson ultimately prevailed, but only after 36 grueling ballots in the US House of Representatives. Four years later, the United States adopted the 12th amendment to its constitution, separating the electoral college vote for president and vice president.

Which is to say, new political systems often go through growing pains and their fair share of trial-and-error.

So it will be with the European Union. The Treaty of Lisbon, which came into effect in 2009, directs the European Council (the group of 28 European heads of state and/or government) to ‘propose’ a candidate for president of the European Commission (the European Union’s chief executive and regulatory body) to be ‘elected’ by the European Parliament.

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RELATED: In Depth: European parliamentary elections

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Each of Europe’s major families of political parties took the new treaty language as a sign to field Commission presidential candidates in advance of this weekend’s European elections. Though five groups ultimately selected candidates, the greatest attention has focused upon those of the two largest blocs in the European Parliament, Juncker’s center-right, Christian democratic European People’s Party (EPP) and Schulz’s center-left, social democratic Party of European Socialists (PES).

As the Europe-wide candidates of their respective parliamentary groups, Juncker and Schulz have become the standard-bearers of the most pan-European election campaign in history. They’ve traveled the breadth of the European Union, and they’ve faced off in debate after debate. The challengers have become delightfully known as the Spitzenkandidaten in Germany, a neologism that’s caught on throughout the European Union.

But beyond the symbolism and the novelty, does anyone in Europe care? Continue reading Here come the Spitzenkandidaten! But does anybody care? →