Lack of leadership is how many have characterised the European Union over the past years. Europeans reacted too slowly to the Euro crisis, it is argued, and kicked the can down the road as their divisions prevented them from defining a sound economic policy. But the current polarization in Washington and the vitriolic rhetoric against political opponents beats what I have witnessed in Brussels.

The episode over a possible government shutdown next Tuesday by the House Republicans, and a Treasury alarm note over a mid-October default continue an American saga that started two years ago. In 2011 a first round of haggling over the debt ceiling occurred, with Standard and Poor decreasing by a notch its US credit rating. To end the saga, political leadership in today’s Washington requires not so much finding common ground, Continue reading →