Research

"France and Germany's stance is to extend regulation in previously unregulated entities," said Philip Whyte of the Centre for European Reform in London. "The US and UK priority is to make sure we revise the way banks are regulated."

Today Hugo Brady, one of the senior researchers at the Centre for European Reform, a wildly pro-EU think tank in Brussels, put out a fantasy history 'published in 2070' of what a 2010 coalition government of Cameron-Clegg meant for Europe… Brady goes on with fantasies of closer British-French ties on defence and common rules across the EU on corporate taxation, then a new treaty to establish a centrally-managed euro zone treasure fund equal to 3 percent of EU GDP - and on it goes, though the list of all the powers of which eurocrats dream.

Chief economist Simon Tilford, of the London-based Centre for European Reform, says insurance and air freight companies, along with delivery companies like United Parcel Service are also taking a hit. "Some of the most vulnerable people are actually some of the poorest. So, if we look at the exporters of produce, much of which is flown from East Africa to Europe and the US - they are going to be hit very, very hard," Tilford said.

"This is not a defining moment for the euro zone. What is concerning is that at every stage in recent weeks the EU has been resisting the inevitable and has been forced into action by financial markets," said Simon Tilford, an economic analyst at the London based Centre for European Reform think tank. "The immediate danger is averted but very little has been done to address longer-term problems. This is not a blueprint for additional crises. It might work for another small country like Portugal but not a big country like Italy or Spain."

"The Obama government has set out to form a closer political and economic relationship with China, raising fears in Europe that such a G-2 could further reduce Europe's influence in the world," the Centre for European Reform said in a recent study.

"The entire top military brass, including the chief of defense and all the services, were on the plane," said Tomas Valasek, of the Centre for European Reform. "If that is true, then you're looking at a situation, in effect, of the decapitation of the military services."

Philip Whyte at the Centre for European Reform think tank, said the pressure is on European leaders to produce "a proper rescue package" similar to backing for European banks that ended a 2008 market panic... "Frankly the agreement that they came up with a couple of weeks ago was smoke and mirrors ... it wasn't a real agreement," Whyte said. "If yields remain at 7 per cent plus, given the amount of debt that Greece needs to roll over this year, we could well see a default within the eurozone," Whyte said.

It woud be "misguided" for the AKP to hastily adopt a new constitution now in an attempt to ensure its own political survival, writes analyst Katinka Barysch in an insight article for the Centre for European Reform. "Such a strategy may work, in the sense that it would prevent a 'judicial coup' against the government. But it would hardly assuage the concerns of those who suspect the AKP of using democracy as a means to pursue a hidden agenda of Islamisation," Barysch writes.