Late last month, more than a decade of indecision over the so-called Southern Gas Corridor linking Caspian reserves to European Union markets finally came to an end with the selection of the Trans-Adriatic Pipeline (TAP) by the Shah Deniz consortium of gas producers in Azerbaijan. TAP was selected over the much more widely recognized and operatically named Nabucco pipeline, which had captivated the energy industry and shaped the geopolitics of the Black Sea-Caspian region for years. Shah Deniz consortium members, which include BP, Statoil, Total and Azerbaijan’s national energy company SOCAR, insist that the selection was based almost entirely on […]

At a NATO-Russia Council meeting last week, Rose Gottemoeller, the U.S. acting undersecretary for arms control and international security, complained about Moscow’s failure to provide advance notice of its recent large-scale military exercises. Gottemoeller stated that Russia had notified the U.S. about an exercise of “unprecedented size” in the Eastern Military District only as the activity commenced, while Washington “received word of the large aviation exercise in the Western Military District only through press reports.” According to the Russians, the “snap” exercises were designed to test the Russian military’s day-to-day readiness without advance warning of any drill. In addition, they […]

An increasing number of Southern Europeans are leaving their recession-ridden countries in search of work and opportunities in the North, especially in Germany, raising fears that these countries’ problems will be compounded by a brain drain should their economies not improve. Between 2009 and 2011, outflows of people from countries most affected by the crisis, in particular in Southern Europe, rose by 45 percent, according to a recent report by the Organization for Economic Cooperation and Development. And Germany, with its low rates of overall and youth unemployment—5.3 percent and 7.6 percent, respectively—is a prime destination for this new migration […]

In May 2010, while the rest of the Western world was busy picking up the pieces from the combined banking and real estate crises, a fiscal crisis hit Greece. The Greek government discovered it was unable to service the country’s soaring public debt, which stood at 129 percent of GDP in 2009. That year, Greece’s budget deficit was 15.6 percent of GDP, while its current account deficit was 15 percent of GDP. Soon the state coffers would be depleted, leaving the 20 percent of the country’s labor force that works in the public sector without compensation and numerous state-owned enterprises, […]

A rather small country by its size and population—65 million, less than 1 percent of total global population—France is nevertheless one of five to 10 countries that can claim to be major powers in today’s world. The French economy is, however, plagued with sluggish growth, an unemployment level now hovering around 10 percent of the active population, a budget that has been in deficit for more than three decades and a public debt that represents more than 90 percent of its GDP—with more than 60 percent of that debt held by nonresidents, as opposed to about 30 percent for the […]

Portugal appeared to be on the brink of government collapse last week after a string of unexpected ministerial resignations. But so far, the coalition government under Prime Minister Pedro Passos Coelho has survived. Jacob Funk Kirkegaard, senior fellow at the Peterson Institute for International Economics, said that Portugal, which has faced three years of recession and has imposed unpopular austerity measures under the terms of a European Union bailout, is more notable for its stability than its turmoil. “This recent political crisis is fundamentally driven by political positioning, not driven by people on the street saying enough is enough, and […]

Last week, the British government announced that it would ban khat, an herbal stimulant popular in the Middle East and Africa. In an email interview, Axel Klein, a lecturer in the anthropology of conflict, criminal justice and policy at the University of Kent’s Center for Health Services Studies, explained the rationale for the ban and its likely effect on khat-consuming communities within the U.K. WPR: What was the British government’s rationale for banning khat? Axel Klein: Interestingly, the arguments for the ban were not laid out clearly. All the home secretary said in her statement was that khat had been […]

The recent revelations about U.S. intelligence programs are causing an uproar in Europe. In particular, the wide-ranging efforts to monitor European diplomatic offices and communications networks have led a number of officials to voice their discontent publicly. German Justice Minister Sabine Leutheusser-Schnarrenberger said that U.S. behavior “was reminiscent of the actions of enemies during the Cold War,” while French Foreign Minister Laurent Fabius was unequivocal: “These acts, if confirmed, would be completely unacceptable.” The question now is: What will be the actual policy implications of recent revelations about PRISM and associated intelligence collection efforts? And to what extent will these […]