We do not know what course will take the corona crisis. But we know today that the consequences for the health systems and economies will be enormous. Therefore, the hours of civil protection and the economic policy beat now.
The Bundestag has put together in the last week, the first Hilfspakte for the company. Even if you are a beginning, not help them all and need to be expanded and improved. Because if it is not possible to prevent a free fall of the economy will self-sign the core of a healthy corporate insolvency. Millions of jobs are at stake. This results in a financial immediately – and sovereign debt crisis has awaken.
The corona crisis, but only due to the financial crisis, comparable. The Shutdown of the economy hits this time all the States alike – also structurally well-positioned States. The European Union is a community of solidarity. We help each other! The responsible politicians must think in the choice of support is also beyond this very day. “If you help, they will be used”, has Ursula von der Leyen, declared a few days ago, to the question of the introduction of the Corona-Bonds.
All the developments on the stock exchanges:News-Ticker to the Corona Crash
Corona-Bonds: Huge explosives for the cohesion in the EU
Behind the high-sounding name of the Corona bond is hiding powerful explosives for the cohesion of the EU. In the public discussion is often forgotten, is what are the negative long-term consequences of joint and several liability. Germany or another country would not only be liable for his expenses, but also for all other Euro-countries. The connection of responsibility and liability will be overridden.
The experience of the last crisis have shown that only the market forces discipline had a transforming effect on the debt of States. We turn, these market forces completely, it for all States it is rational to maximize their borrowing. Not only for the German state of excessive financial risks would arise. Corona-Bonds are showing a lack of solidarity and the wrong way from the corona of a crisis.
to say the obvious: in Germany, There are almost no voices that refuse to accept the solidarity in this dark hour. This is good. Solidarity, however, is only real, when shared by all according to the width of your shoulders. Instruments for this purpose we have enough.
Corona is currently a crisis in the company
It is therefore, the first step is to save the many lives that are not the fault of falling into economic problems. With the European investment Bank (EIB), we have an often-misunderstood Institution, which can provide many companies in Europe, the necessary liquidity available. The funds go directly where they are needed most. This must be done in the crisis. The member States correspond to their strength for the necessary guarantees.
With the ESM is an Instrument with 410 billion Euro credit volume available to individual aid to States to set up. Negotiations on a targeted program line with long repayment periods can be completed quickly.
Europe needs to act quickly and decisively. The European bodies but also the Federal government must set the right signals. A moral charge of the tools to be used is not a good counselor, and appropriate to the Situation. Eurobonds would introduce a transfer Union in the Eurozone countries and would be the end of the, as yet, lived solidarity in the EU. We should therefore make use of instruments that all involved and – more importantly – everyone will support.
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