News and Prophecy Staff

EU Council President Herman Van Rompuy recently warned that the “EU is in a survival crisis… the eurozone and the European Union itself are fighting for their life as a result of the ongoing sovereign debt shocks, most recently in Ireland and Portugal… if the eurozone does not survive, neither will the EU.”

Speaking at a recent security conference in Berlin, German Defense Minister Karl-Theodor zu Guttenberg urged Germany to “be prepared to use its military to defend the country’s economic interests.” Baron Guttenberg noted that the competing demands of nations today for raw materials made it imperative that Germany—a nation whose export-driven economy is heavily dependent upon imported raw materials—should be prepared to use its military forces to secure trade routes for raw materials and exported goods.

Ireland is among the top third of European nations in per capita income. They have a debt ratio lower than that of France, Germany and the UK, but the Celtic Tiger sees major financial issues ahead. Ireland’s banking sector is now at a point where the government cannot bail it out.

A German news magazine, Der Spiegel, recently headlined an article: A Superpower in Decline; Is the American Dream Over? Photos in the article of abandoned American factories, lines of unemployed citizens seeking jobs, houses in foreclosure, and unfinished housing developments project a dreary picture of life in the United States.  The article claimed that “Americans have lived beyond their means for decades,” and “everything was paid for (homes, cars, college tuition, etc.) with borrowed money—which has driven the total US household debt to almost $1 trillion, nearly 20 t

In September, the United Nations called a special meeting to address the global rise in food prices.  In July and August alone, worldwide food prices rose 5%. Droughts in Russia’s wheat growing region prompted a continuation of its ban on the export of wheat outside Russia.  Simultaneously, lower corn yields in the U.S. led to a record-high trading price for corn for the year.