Newsweek recently reported: "Mayhem in the euro zone is a major contributor to the international financial crisis. The immediate cause may be reckless policies pursued by governments and banks, but the institutional structure of the European Monetary Union is the stubborn root of the problem" (John Eatwell, "Euro Vision," Sept. 5, 2011).
The magazine article went on to ask: "Can the Europeans build the necessary institutions to run an effective monetary union—institutions that took 100 years, a civil war and a Great Depression to build in the United States? Or will the euro collapse?"
Three days later the Financial Times published an article stating, "Angela Merkel, German chancellor, declared on Wednesday that 'the euro will not fail'" ("Merkel Promises Euro 'Will Not Fail,' Sept. 8, 2011). It continued with the Chancellor's explanation that "Germany would continue to demand drastic debt reduction from its eurozone partners in exchange for providing them with financial guarantees."
Yet Merkel faces a great deal of opposition from the greater German ruling intelligentsia. The International Herald Tribune observed that "the euro zone's debt crisis gets messier, and Germany, the euro's self-styled guardian, is playing a large role in magnifying the uncertainty.
"Despite repeated pledges by Chancellor Angela Merkel to keep Europe together, the cacophony of dissent within her country is becoming almost deafening. That is casting fresh doubt—justified or not—over the nation's commitment to the euro" ("Dissent Adds to Euro Zone Uncertainty in Germany," Sept. 12, 2011).
Financial commentator Thorold Barker of The Wall Street Journal asked, "What is the future of the euro if old hands from Germany's Bundesbank have lost faith in the institution charged with overseeing the currency?" ("Stark Signal for the Euro," Sept. 12, 2011).
One key person has resigned from the European Central Bank apparently because of the prospect of further decisions like the purchase of Italian and Spanish sovereign bonds. The Journal article concluded with this stark assessment: "Even when compared with weak currencies like the dollar, the euro's future as a store of value looks bleak."
Still, many seasoned observers consider scrapping the eurozone at this stage highly unlikely because they believe an economic catastrophe would ensue for Europe. One recalls the Germany of the early 1930s, when economic conditions were so bad that a wheelbarrow full of German marks would purchase just one pound of butter. So much has been invested in monetary and human resources that it's considered foolhardy to turn back because of the current crisis!
But catastrophic occurrences are clearly possible, if not likely, in this world of unstable and uncertain economics and politics. As Time magazine somewhat counterintuitively declared earlier this year: "Out of times of chaos and uncertainty can come a world order that is strong and vital. It happened in Europe centuries ago" (Parag Khanna, "For a New Renaissance," Jan. 31, 2011).
From the biblical point of view, this semi-prophetic declaration certainly has been accurate a number of times in centuries past. Parts of Europe are in economic travail now, but make no mistake: Europe is indeed in the process of becoming a great superpower empire, with Germany in the forefront.
Some great factor—quite possibly the economic crisis that is increasingly shaping up in Europe—will force the transformation of the European Union into a new, more tightly integrated and powerful alliance. It will be the last in a series of revivals of the old Roman Empire foretold in Bible prophecy. To understand more, request or download our free booklets The Book of Revelation Unveiled and Are We Living in the Time of the End?