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A plague hangs over Europe decimating Romania`s population

Published at: 20-10-2017

Posted on: October 20th, 2017 by RaduC

A plague hangs over Europe. And I am not referring to nationalism … Because nationalism is but one symptom of a much deeper problem eroding the future of Europe and decimating the population of Romania. And this, please note, as both Europe and Romania are overall on the same upward path towards economic wealth.

The answer to this seemingly ironic situation is straightforward, but dramatic in its consequences: the feeling of unfair distribution of wealth emerging in the last two decades.

Let us start by discussing the situation in Europe. Globalization proponents have constantly depicted the phenomenon as a win-win benefiting the developed and the emerging countries alike. At macro level, the figures seem indeed to suggest that. Europe`s economies have seen their growth step up as they tapped into the boosting international trade. Zoom in, however, and the details start to show. And they are not looking good.

Even though Europe`s developed economies have by and large grown, that came with a higher, not lower social divide. It is worth observing the changes in wages in one of the main beneficiaries of globalization, Germany which drives the European exports. According to Bloomberg, whereas in the beginning the wage gap was as low as in the Nordic countries, wage inequalities have risen rapidly in the last decade. Low-income employees earn less money compared to the average German pay than in any other OECD country, except for South Korea and the US.

This strongly suggests that behind the rosy picture depicted at macro level by the developed European economies, globalization created a new social group rising rapidly: the left-behind. They saw their wages capped, or lost their jobs to workers coming from Eastern Europe or farther afield. They saw their plants shut down for relocation to emerging countries offering a much larger market or much cheaper labor force.

I have heard political analysts in Romania when commenting on the Europeans` euroscepticism say on more than one occasion: “They`ve got tired of too much of an easy life”. A hasty assessment. The issue is: how do we define “easy”? By looking at the macro picture or descending to the social and professional group dynamics in those countries?  If we opt for the latter, we will see that even in the country deemed the engine of Europe and of the world and one of the largest global exporters, the distribution of wealth has been uneven.

This rather suggests that many got tired of too harsh a living, and that the technological leaps and bounds that we are witnessing will cause more and more people to fail to see a way out of the financial distress they are in. The resulting frustration and a lack of prospects are in point of fact the germ of the plague hanging over Europe: LACK OF TRUST.

A lack of trust that the political elite are still worth following, lack of trust that the current economic and political set-up of Europe continues to guarantee prosperity for all, as in the decades after World War II. A lack of trust, which as a last resort, has many Europeans looking for alternative leaders or pseudo-leaders, alternative solutions or pseudo-solutions to the economic and social problems they are faced with. Brexit, the rise of far-right parties and low voter turnout, nationalism, breakaway movements are all signs of the same disease – LACK OF TRUST – which gnaws away at the living tissue which evolved to become the body we now call the European Union.

Sadly, the European leaders continue to live in a world out of touch with reality. And the fireworks welcoming president Macron`s or Ms Merkel`s victory, symbols of a deeper European integration, increase my feeling of a persistent disconnect between politicians` and people`s agendas. Ms Merkel`s refusal to acknowledge at least in the twelfth hour the mistake of inviting the immigrants to Germany is symptomatic. And as long as this lack of empathy, communication and understanding between elite and the public goes on, we stand a good chance of witnessing the rise of far-right parties, nationalist, separatist and eurosceptic movements, outside the circle of the Visegrad Four, too.

“And what has Romania got to do with any of this?”, you may ask. At the end of the day, Romania is an emerging country heavily benefiting from opening its borders in the age of globalization. Not to mention the assistance funds received from the EU before and after joining the Union. Shouldn`t the four fold increase in euros in the average wage in the last 15 years make Romanians the happiest and most trusting citizens in Europe?

On the face of it, it should. Look again, however, and you will notice that last year 200,000 Romanians emigrated, adding to the few millions already living or working abroad. This, as you may agree, does not indicate trust at all. Quite the opposite. This shows the extent of mistrust that many Romanians have with regards to their future in this country. And the fact that that occurs despite the visible growth in the country`s wealth can, in my opinion, only have a single explanation. That is the public belief that without corruption and nepotism, without an often times arbitrary distribution of the newly created wealth, the standard of living for many Romanians would have been higher and the social divide and geographic disparities lower.

And if to account for the social divide you will quickly point your finger to the “shameless” corporate salaries, allow me to draw your attention that the fortunes of Romania have not been amassed from salaries … a statement which  I make as a reaction to the populist theory of progressive wage tax for the sake of “social equity”. I repeat. Romania`s fortunes have not been amassed from salaries.

The other day, a politician, former minister and currently University Chancellor, urged university professors to instill a patriotic sense in young people so that they stop emigrating. That goes to show that our decision-makers are as European as they can be when it comes to being completely disconnected from reality. Because the problem does not lie with our young, but with the decision-makers themselves.

Give them a reason to have faith in this country`s future, give them a reason to feel useful and wanted in their own country and they will stop leaving.

Otherwise, the lack of trust will continue to plague Romanians, parents and children alike.

Have a nice weekend!

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