Staying out of the Eurozone is costing the average Brit dear. The value of the pound sterling continues to decline and decline. The pundits are now already talking of parity with the euro. This is happening because of mismanagement of our economy and mismanagement of our currency.
Gordon Brown is guilty of the mismanagement of both the economy and the currency; but he is not alone. Successive governments since World War II have allowed the value of the pound sterling to halve approximately every ten years. That means to say that what one could buy for ten shillings in 1940, one would have had to pay a pound for in 1950, two pounds in 1960, four pounds in 1970, eight pounds in 1980, sixteen pounds in 1990, thirty-two pounds in 2000, and in 2010, it will cost one a staggering sixty-four pounds.
This rule holds for so many goods and services. If you don’t believe me, ask your grandmother what she paid for goods and services back in ‘the old days’, and compare prices today. Do some research on prices inbetween. You’ll find that the rule works a treat. I should be surprised if your conclusion will not be the same as mine: namely, that the value of our beloved pound sterling has halved approximately every ten years. Interestingly, in 1961/62, there were eight US dollars to the pound, and twelve Swiss francs. How many are there now? As of writing this, the pound is worth 1.62650 US dollars, and 1.68912 CHF, or Swiss francs. (Verify these figures here.) So if this is allowed to go on, we shall all be using the currency of a banana republic in just a few years. The pound sterling is becoming worthless!
I, for one, would prefer the euro, for the euro is proving itself to be a strong currency. I would like to handle such a currency on a day-to-day basis. I would have more faith in it than I have in the pound. The British authorities cannot be trusted to manage our currency; otherwise, they would not have allowed it to go to the wall as they have.
To all the sentimental people, I say this: We can’t afford to be sentimental; there is no room for sentiment in business. And to all those naysayers who worry about our sovereignty, I say this: We lost our sovereignty when we entered the European Union. That happened long ago. That train has already left the station. It’s time to catch the next train. The one that leads to the Eurozone!
Bring on the euro, I say. I can’t wait! – © Mark Alexander
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