Wednesday, December 7, 2011

Speech Helmut Schmidt SPD at party convention on Dec. 4th 2011 part two


...continued from page 1:

This economic development and the simultaneous crisis of ability to act by the organs of the European Union have pushed Germany once more into a central role. Together with the French President has the Chancellor accepted this role. But in many European capitals and also in the media of some of our neighboring countries there is once more a growing worry of German dominance. This time it is not about a military and politically over mighty central power but about an economically over mighty center!

At this point a serious thoroughly weighted reminder towards the German politicians to the media and to our public opinion is necessary.


If we Germans let us being seduced based upon our economic strength to demand a role of political leadership in Europe or at least play the primus inter pares a growing majority of our neighbors would effectively defend themselves against that. The worry of the periphery of a to strong center of Europe would return quite fast. The probable consequences of such a development would be crippling for the EU. And Germany would fall into isolation.



The very big and very productive Federal Republic of Germany needs – also for protection against ourselves – the embedding in the European integration. Therefore article 23 of our constitution oblige us since 1992 the times of Helmut Kohl to cooperation „... at the development of the European Union“. The article 23 oblige us for this cooperation also to the „principle of subsidiarity...“ . The current crisis of ability to act of the organs of the EU does not change anything about these fundamentals.


Our geopolitical central position added by our unfortunate role in the cause of European history until the mid of the 20th century added by our today's productivity all of that summed up demands from every German government a very high degree of sensitivity for the interests of our EU partners. And our willingness to help is a must.


We Germans did not achieve our huge reconstruction efforts of the last six decades alone and only out of own power. But it wasn't possible without the help of the western victorious powers not without our embedding in the European community and the Atlantic alliance, not without the support by our neighbors, not without the political movement in the east of Centereurope and not without the end of the communist dictatorship. We Germans have reason for thankfulness. And at once we have the obligation to prove ourselves worthy of the received solidarity by our own solidarity with our neighbors!


In contrast a strive for an own role in world politics and a strive for global political prestige would be rather unuseful possibly even harmful. Anyway a close cooperation with France and with Poland remains imperative also with all our neighbors and partners in Europe.

According to my believes it is within the cardinal long term strategic interest of Germany not isolate itself and not being isolated either. An isolation within the West would be dangerous. An isolation within the European Union or within the Eurozone would be highly dangerous. For me this interest of Germany is definitely higher positioned than whatever tactical interests of all political parties.

The German politicians and the German media have the damned bounden duty to defend this insight vigorously in the public opinion.

If however somebody makes it clear that in the present and in future German would be spoken in Europe; if a German foreign minister means that telegenic appearances in Tripoli , Cairo or in Kabul are more important than political contacts with Lisbon, with Madrid, with Warsaw or Prague, with Dublin, The Hague, Copenhagen or Helsinki; if another one thinks to be obliged to prevent a European „transfer-union“ - then that is just harmful showing off.


As a matter of fact Germany was a net payer over decades after all ! We could afford that and did it since the times of Adenauer. And of course Greece, Portugal or Ireland have been always net receivers.


This solidarity may not be sufficiently conscious enough to current German political class. But so far it was self evident. Also self-evidently – and besides legally binding since Lisbon – is the principle of subsidiarity: That what a state cannot manage itself or deal with itself must be taken over by the European Union.


Konrad Adenauer went since the Schuman plan out of right political instinct and against the resistance of Kurt Schumacher as later against the resistance of Ludwig Erhard into the French proposals. Adenauer had the long term strategic German interest – despite continuing German divide ! - judged correctly. All successors – such as Brandt, Schmidt, Kohl and Schröder – have continued the integration politics of Adenauer.


All daily politics , all domestic politics, all foreign policy tactics never questioned the long term strategic interest of the Germans. Therefore all our neighbors and partners could depend on the steadiness of German European politics – and that independent of all changes of government. This continuity is to be upheld also in future.


Today's situation of the EU demands will to act


Conceptional German contributions have been quite natural. This should remain so in future.
But we shouldn't steam ahead to rapidly. Treaty changes could just correct those facts being created twenty years ago at Maastricht its omissions and errors partially. Today's proposals for changes of the Lisbon treaty seem rather less useful to me for the immediate future if one remembers all the difficulties so far concerning all national ratifications – or the negative decided upon referendums.


I therefore agree with the Italian president Napolitano when he demanded in a remarkable speech in the end of October that we must concentrate today on that what is necessary today. And that we have to use all means that the valid EU treaty allows us – especially to strengthen the budget rules and the economic policy in the Eurozone.


The current crisis of ability to act of the organs of the European Union created in Lisbon must not persist years ! With the exception of the European Central Bank those organs – the European parliament,. the European council, the commission in Brussels and the ministerial council – they all have since the overcoming of the immediate banking crisis 2008 and especially of the following crisis of national debts only contributed very little to today's useful aids.


For the overcoming of the present crisis of leadership of the EU there is no panacea. One would need more steps, partially simultaneously , partially in succession. One would not only need power of judgement and of deed but also patience ! German conceptional contributions should not limit itself to slogans. They shouldn't be trumpeted on the TV market but instead being presented confidential within the framework of bodies of organs of the EU. By doing so we Germans must not propose our economic nor our social order nor our federal system nor our budgetary and financial situation to the European partners as the example or measurement but only as examples among several other available possibilities.


For that what Germany does or omits today we all bear the common responsibility for the future effects on Europe. We therefore need European rationality. We need not alone reason but also a empathetic heart towards our neighbors and partners.


On one important thing I agree with Jürgen Habermas who recently spoke of – I quote - „... we experience indeed for the first time in the history of the EU a decrease of democracy !!“ (end of quote). Indeed not only the European council including his presidents, also the European Commission including their president and additionally the multiple councils of ministers and the whole bureaucracy of Brussels have commonly pushed the democratic principle aside! I was back then when we introduced the peoples vote for European parliament mistaken when I assumed that the parliament would gain weight by itself. In fact it has so far not taken any visible influence to the salvation of the crisis because its proceedings and decisions have been without public impact so far.


Therefore a would like to appeal to Martin Schulz: It's highest time that you and your christian democratic, your socialist, liberal and green colleagues altogether but in a drastic fashion make yourselves heard to the public ear. Probably best qualified for such an uprising of the European parliament would be the item of the since the meeting of G-20 in 2008 once again absolutely insufficient supervision of banks, stock exchanges and their financial instruments.


In fact a few thousand financial players in the US and Europe accompanied by some rating agencies have taken the politically responsible governments in Europe as hostages. It is hardly to be expected that Barack Obama will do much about it. The same for the British government. In fact governments of the whole world have saved in the year 2008/2009 the banks by providing guarantees and with tax payers money. But since 2010 these horde of highly intelligent, but a the same time susceptible for psychosis, financial managers once again played their old game for profit and bonuses. One hazardous game to the disadvantage of all non players which Marion Dönhoff and I criticized already in the 1990s as life threating.

If nobody else want to act then the participants of the Euro currency must do so. To do so the article 20 of the valid EU treaty of Lisbon can be used. There it is clearly stated that one or more EU member states „... to form an enhanced cooperation under each other“ At least the states taking part in the common Euro currency should put harsh regulations of their common financial market into working. From the separation between ordinary banks and investment and shadowbanks on the other hand up to a ban of naked short selling of stocks , up to a ban of trading with derivates as far as they are not permitted by the SEC – and up to the successful limitation of the trades concerning the Eurozone of the so far unregulated rating agencies. I don't want to bore you Ladies and Gentlemen with more details.

Of course would the globalized banking lobby pull all levers to counter that.  They had so far prevented all harsher regulations. They achieved for themselves that the horde of their dealers brought the European governments into the difficult situation of inventing ever more new „safety umbrellas“ - and to enhance them with „leverage“. It is high time to defend ourselves against that. If the Europeans can bring up their courage and power to a wide ranging regulation of the financial market we could in the medium term transform to a zone of stability. If we fail then the importance  of Europe would decrease further – and the world would develop towards a Duumvirat between Washington and Beijing.

For the immediate future of the Eurozone certainly all so far announced and thought of steps remain necessary.  Those include the savior funds , the debt ceilings and their control , a common economic and fiscal policy, accompanied by a range of individual national taxation policies, spending policies, social policies and reforms of the employment policies. But eventually a common indebtedness will be unavoidable. We Germans must not refuse ourselves out of national-egoistic motives.

We must also not demand an extreme deflationary policy for all of Europe. Jacques Delors is right  when he demands  growth promoting projects simultaneously implemented and financed with the consolidation of budgets. Without growth , without new employment no state can consolidate its budget. Who thinks Europe can be healed by budget cuts alone is well advised to study the fatal consequences of deflation politics of Heinrich Brüning 1930/32. It invoked a depression and an unbearable degree of unemployment and by that started the demise of the first German democracy.   

To my friends

Towards the end my dear friends! Normally it is not needed so much to pray the social democrats  international solidarity.  Because the German social democracy is since one and a half centuries minded internationally – in a much higher degree the generations of liberals , of conservatives or German-nationalists. We social democrats also remained holding on to Liberty and the dignity of all individual human being. We held on to the representative, parliamentarian democracy. These basic values oblige us today to European solidarity. 

Certainly Europe will consist also in the 21st century of individual national states, each with its own language and its own history. Therefore Europe will certainly not transform into a federal state.  But the European Union must also not rot into just a confederation of states. The European Union must remain a dynamic itself developing bond. There is no example for that in the whole history of mankind. We social democrats must contribute to a gradual evolvement of this bond.

The older one gets the more one thinks in long time periods. As an old man i still hold to the three basic principles of the Godesberger program : freedom, justice, solidarity. Furthermore I think that today justice also includes equality of chances for kids, for students and young people in general.   

When I look back to the year 1945 or to the year 1933 – I was back then just 14 years old – the progress which we achieved until the present time seems almost unbelievable to me. The progress which we Europeans since the Marshall plan 1948, since the Schuman plan 1950, which we thanks to Lech Walesa and Solidarnosz , thanks to Vaclav Havel and the Charta 77, which we thanks to those Germans in Leipzig and East Berlin since the big change of 1989/1991, have achieved  today. 

When today the largest part of Europe can enjoy human rights and peace then we couldn't imagine that neither 1918 nor 1933 nor 1945. Let us therefore work and fight so that the historically unique European Union will steadfast and self confident evolve out of its present weakness!

original German version (complete)



If you have any suggestions, comments on possibly faulty translation or suggestions of better phrasing feel free leave a comment.

Important notice to media wanting to use this unauthorized translation: It is translated without any commercial intentions. Therefore i return all rights (=> of this translated version) to Mr Helmut Schmidt. If you want to publish it you have therefore to ask him for permission or terms!

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