http://www.stratfor.com/geopolitical-diary/europe-when-unthinkable-becomes-possible#axzz3Kf435r7Y


Europe: When the Unthinkable Becomes Possible

Geopolitical Diary <http://www.stratfor.com/geopolitical-diary>

Wednesday, December 3, 2014



Europe's economic crisis is slowly but steadily eroding the political
systems of many countries on the Continent. New actors are emerging and
threatening the supremacy of the traditional players. Alliances and events
that seemed impossible only a few years ago are now being openly discussed
across Europe. On Dec. 3, for example, Sweden announced it would hold early
elections, partially because of political moves from the far right. In
Spain, the ruling center-right party is openly discussing the possibility
of entering an alliance with its traditional center-left rivals to prevent
a protest party from taking over. Key members of the European Union,
including Sweden, Spain, the United Kingdom and possibly Greece, will hold
elections in 2015. In most cases, these countries will see outcomes nobody
would have thought possible in 2008.
*Sweden*

Swedish Prime Minister Stefan Lofven announced the snap elections after his
center-left government lost a budget vote less than three months after
coming to power. Lofven's announcement was precipitated by a decision by
the far-right Sweden Democrats party to support the opposition during a
budget vote. Sweden's early elections, the first for the country in almost
60 years, will be held March 22, with the anti-immigration Sweden Democrats
likely playing a central role. In Sweden's parliamentary elections in
September, no coalition managed to form a majority government, but the
elections were marked by the strong performance of the far-right party,
which received 12.9 percent of the vote, up from 5.7 percent in 2010, when
it entered parliament for the first time.

While Sweden is one of the fastest growing economies in Europe,
unemployment remains above pre-crisis levels. More important, Sweden has
the largest number of asylum applications per capita in the European Union.
Last year, violent riots shook Stockholm's immigrant-heavy suburbs,
revealing Sweden's struggle to integrate its immigrants into mainstream
society. Opinion polls show that Swedes still largely support the idea of
living in a country that is open to asylum-seekers, but they are also
worried about the economic and cultural impact of increased immigration
<http://www.stratfor.com/analysis/swedens-electoral-season-reveals-growing-concern-immigration>.
If the Sweden Democrats hold their place as the country's third-largest
party, they will probably become key in the formation of a new government.
This would put a far-right party in a position of power in one of Europe's
main economies.
Spain

Spain's general elections, which will be held in late 2015, will likely
have an even greater impact on its political system. The country's enduring
economic crisis and a series of corruption scandals involving the ruling
party led to a dramatic rise in popular support for Podemos
<http://www.stratfor.com/geopolitical-diary/europes-anti-establishment-wave-reaches-spain>,
a left-wing protest party that wants to renegotiate the European Union's
debt and deficit targets and restructure the Spanish debt. Podemos was
created less than a year ago, but recent opinion polls put its popularity
at around 28 percent — above that of the mainstream center-right Popular
Party and center-left Spanish Socialist Workers' Party, commonly known as
PSOE. Podemos' rise in Spain has been so resounding that on Dec. 2, Popular
Party chief Maria Dolores de Cospedal said her party would consider an
alliance with PSOE in order to form a government.

PSOE rejected the idea, while members of the Popular Party had backed away
from it by Dec. 3. However, Cospedal's statements highlight the extent of
the threat to Spain's two-party system, which was created after the end of
the Franco dictatorship in the late 1970s. Before the crisis, Spain's
mainstream parties normally captured between 70 and 80 percent of the vote.
The 2015 elections will probably mark the first time in modern Spanish
history that their combined support falls below 50 percent. The situation
is particularly awkward for PSOE, which recently moved slightly more to the
left to appeal to some of Podemos' voters. The party has yet to decide
whether it wants to risk losing voters to the left by siding with the
Popular Party or risk losing moderate voters by siding with Podemos.
Greece

Greece offers an example of what Spanish politics could look like in the
future. Like Spain, Greece had a relatively stable two-party system that
saw the center-right and the center-left alternate periods in power. But
the economic crisis led to the rapid rise of the left-wing Syriza party,
which opposes the EU austerity measures supported by the mainstream
parties. In 2012, it took two elections
<http://www.stratfor.com/analysis/greece-pushes-eurozone-crisis-further> for
the mainstream parties to form an alliance to keep Syriza at bay. In
Greece, where political rivalries are old and deep, such an alliance would
have seemed impossible before the crisis.

Greece will probably return to the center of the European crisis next year
when the Greek parliament attempts to elect a new president. If the
parliament fails, it will be forced to hold early elections. With Syriza
still at the top of the opinion polls, it would be more difficult to keep
the upstart party from power this time around. Syriza has promised to
restructure Greece's debt, a move that would probably make financial
markets nervous and generate uncertainty across the eurozone at a time when
Europe thought it had found some stability. When the European Central Bank
promised to intervene in financial markets almost two years ago, the
European Union lost the sense of urgency it had in the early stages of the
crisis. The European Union, and particularly Germany, chose caution instead
of action. Should Greece generate financial turmoil in Europe again, the
Europeans will have to go back to the negotiating table and discuss all the
issues that have so far been avoided.
United Kingdom

Finally, Euroskepticism will also be a key player in the United Kingdom,
which will hold elections in May. Britain also had a functioning two-party
system before the crisis, making coalitions relatively uncommon. But the
rise of the anti-immigration UKIP party is seriously threatening this system
<http://www.stratfor.com/analysis/cameron-fails-election-test>. A coalition
between the Conservative Party and the Labour Party or an agreement between
the Tories and UKIP both seem impossible for now, but either would be
conceivable if no party wins enough seats to govern on its own.

The current norm in Europe would have seemed impossible only five or six
years ago. Most people would not have believed that unemployment in Spain
or Greece could go above 25 percent or that nationalist, protest and
Euroskeptical parties would become key players in European politics. More
important, most Europeans would never have thought that the survival of the
European Union would be under such a serious threat. For many Spaniards,
Greeks, Swedes and Britons, the transformation of their political systems
may still seem unlikely, but for some a surprise is likely coming next year.




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Posted by: "beowulf" <[email protected]>
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