NEW YORK (TheStreet) -- There is basically one purpose for the existence of the European currency union and that is to create an economic region that can be competitive economically and politically in the greater world.
In order to be successful in its current negotiations, the Greek government must distract us from this fact. Consequently, the Greek prime minister, Alexis Tsipras, and his government, cite the fact that the Greek people elected his party to end the austerity that has been forced on the country and to moderate the reforms needed to bring the nation up to the standards of other members of the community.
Tsipras argues that he cannot violate this trust in trying to resolve the differences that exist between him and the members of the Eurozone. His cry is the cry of national sovereignty.
Yet, the leadership of the European Union appears to be sticking to its vision. These leaders seem to realize that the only way that Europe can be competitive in world markets and be able to bargain politically with world powers is to create an economic community that is as efficient and productive as its main competitors, the United States and China.
Since the Second World War the United States, more or less, has ruled the world as its major economic, political, and military power. China is on the rise and wants to be competitive with the United States and its leaders are relentless in pursuing this goal.
If Europe wants to play at this level -- economically and politically -- then it is going to have to create an economic juggernaut to face these powers on an equal basis.