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Mish<>Update on Sweden (from Sweden); Another Look at the UK "In Isolation"

Following the Merkozy summit, much was written regarding the UK "Standing Alone". While it's true that Sweden, Hungary, and the Czech Republic did not say "No" to the Merkozy agreement, the fact remains they did not say yes.

Moreover, it's just a matter of time Sweden does say "No", according to reader Kenneth from Sweden who offers this interesting political opinion.

Kenneth writes ....

In spite of what was reported immediately following the Merkozy proposal announcement, the Swedish position has not changed.

Rather, Swedish political parties are taking time to think about how they will react. They have even yet not got the detailed draft from the EU (should come within a week).

The greatest opposition party, the socialdemokrats have said NO from the start, and so have the other smaller opposition parties also said. And with the government in minority, the case should be closed. Sweden underwrites the treaty that it is OK for the EURO countries, but NOT valid for Sweden. So Sweden stays outside the treaty in practical manner.

Of course no one knows what happens in politics till March. But the socialdemokrats have stated categorically NO, and without socialdemokrats on the bandwagon Sweden will stay outside.

The socialdemokrats opinion is that it would be a way to take us back doors in to the EURO area, and the Swedish people has voted NO to the EURO in referendum 2003.

Besides that UK is not alone, Hungary has already stated that they will not participate, and the Czech Republic has said that they will take time to take a decision. So there are now four countries that eventually will not go along with the treaty. And then you have Finland which IS a Euro country.

Kenneth

In a second follow-up email Kenneth noted "Recent polls show that at least 80% of the Swedish people should vote NO to the EURO today. So the socialdemokrats can win votes with their categorical NO to the treaty."

As I have said, support for this treaty is rapidly disintegrating in numerous ways and in numerous places.

For details, please see ...

Portuguese Socialists Threaten "Economic Atomic Bomb"; Fitch Sets France Rating Outlook to Negative; Head of French Central Bank Attacks UK and Rating Agencies

France in Recession; Italy in Recession; Poles Protest; Credit Agricole Quits Commodity Business; Poetic Irony and Credit Crunch Math

Crumbling of Comprehensive Solution No. 4; Treaty "Legally Doubtful"; Cracks and Splinters Everywhere; Repeated "Pet Lies" by EC President Van Rompuy


Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com