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necessary to Italy and Ireland didn't stand a chance of passing the
French Assembly. The latter had also recently served notice that no
increased authority would be given the soon-to-be expanded directly
elected European Parliament.
..
The Brussels summit thus once again revealed the below-surface tensions
of the continent's "Big Two"--Germany and France--even in the light
of their unprecedented "convergence" in the last few years in foreign
policy. The Wall Street Journal, Dec. 5, 1978 reported: "Underneath
the present relationship remain latent French fears of Germany.
France has made plain that it's entering the EMS currency plan partly
to keep Europe from becoming a Deutschmark zone, as a means of counter
ing Germany's economic domination of Europe--and of France. President
Giscard has set France the goal of catching up, in 10 years, with
Germany's economic development and power to provide Europe with 'at
least two countries of comparable influence.' A Europe dominated by
Germany is 'unacceptable,' according to Mr. Giscard. France still
fears the prospect of being 'dictated to' by Germany, explains a
government official."
The cloud over Brussels which suddenly appeared December 5, must be
seen in proper perspective, however. The EMS will begin on January
1, with its strong six members fully in tow. Ireland and Italy are
said to be keeping an open door, hopeful of negotiating entry on terms
more favorable to their situations. The Daily Telegraph reported on
December 7 that "the Irish Republic is having second thoughts about
remaining outside the European Monetary System" and that it was "by
no means definite that Ireland was opting out."
The EMS, after all, represents a major decision for Ireland, not to
be taken lightly. Since Britain is not likely to join up, Irish
membership entails breaking the comfortable 152-year link with sterling.
Observers feel .that if the EMS does get off to a good start, and doesn't
collapse like previous currency "snake" alignments (it shouldn't,
because this "snake" has a formidable multi-billion dollars worth
reserve fund backing it up}, that both Ireland and Italy will have no
choice but to hop on the train quickly before it gets too far down the
track. It's either that or be permanently assigned to second-rate
status in Europe, at a permanent disadvantage to those who have linked
their fortunes to the powerful deutschmark.
--Gene H. Hogberg, News Bureau