The economic crisis continues to compel nations to reconsider relations between governments in time of dislocation of banks and industries. French President Sarkozy has been urging greater cohesion of European Union efforts to deal with the current banking crisis. He is now calling for creation of an “economic government” for countries which use the euro in order to have more effective response mechanisms when the world confronts banking and business failures that threaten the very security of economies.”It’s funny,” he said, “we can have the same bank(ECB), the same currency, the same market and that speaking of a(common) economic policy is not good. Honestly, it’s a curious idea.”
It appears the French leader initially is considering regular meetings of government leaders to focus on joint of cooperation and responses to an economic situation. He fears that other nations will now work more closely with their banks and major industries in order to jump start economies and create new industries. Sarkozy most probably believes the old ideas of a free market that is unsupervised by anyone are a relic of the economic world that is disappearing.
Perhaps, we are living through the birth of a new conception of capitalism that incorporates socialist ideas.