Euro minister misses Weldon, cites debt worries

John Bruton, the European Union's ambassador to the United States and an ex-Irish prime minister, gave me a lift in his limo from the airport to his talk for the World Affairs Council (and the local Euro-US Chambers) at the Union League today. He asked after former U.S. Rep. Curt Weldon, R-Pa, voted out of office two elections back after the FBI reportedly investigated favors he did for clients of his daughter's lobbying firm. Weldon, said Bruton, "was an original. He had great knowledge of Russia and other countries. And he gave me a great introduction into American political life."

How's Europe's coping? "Europe is handling the crisis very differently from the U.S. It's not borrowing or spending so much." Partly that's because Germans, in particular, don't like government borrowing and fear inflation. Also, "the euro is a new currency. We're trying to create a European currency on a scale that would gain extra confidence. One has to be extra prudent in the early years of establishing something like this."

So if the U.S. comes out of this deep in debt, won't the euro replace the dollar as the world's strongest currency? "In the long run that could be good for the U.S.," Bruton told me. "I've spoken to senior people in the Federal Rseerve who hope the euro would emerge as an alternative. It would force the U.S. to use greater fiscal discipline."

But Bruton doesn't believe Europe will actually have a chance to replace the U.S. Europe's aging populations will have a tough time paying itself pensions and benefits, and that will erode the euro's value. By contrast, the U.S., with its young population of immigrant workers, will have an easier time paying its bills.

"It's more likely that in the new world economy we'll see in 10 years' time, a bigger slice of the action will be being taken by Brazil, China, and India," Bruton said. (Russia is more like Europe, aging.) "We have to ensure systems of global government are altered so due weight is given to other countries and they have a success in the stake of the global economy. In that way we'll get peace and prosperity."

I asked if it's true that Europeans like Americans better since we elected Obama. "That's true among the people," Bruton said. But among diplomats, "over the last four years, Bush was very open to working with the European Union. He was exceptionally well-briefed and interested in what was being discussed. Those who actually worked with him would be very happy on most issues.

"President Obama coming in has taken positions we would regard as improvements in regards to Israel and Palestine, the possibility of dialogue with Iran, Cuba, and in regard to accepting, as Hillary Clinton did, that Americans and Europeans consuming illegal drugs are contributing to the problems encountered in countries like Mexico. Willingness to accept responsibility by this administration is good. Those were things that didn't happen under Bush."

Are Americans unusually ignorant of the rest of the world? "Not at the World Affairs Councils. And I do enjoy visiting your high schools. Private schools and public schools, I get a lot of very good questions. They're very penetrating. They're not ashamed."