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More economic pain is in store for Europeans after European Commissioner Ursula von der Leyen announced an economic deal with President Trump over the weekend.
There’s no formal text of the deal yet, so we’re left with what the two leaders say is in it. If we take them at their word, the deal is a win for the U.S. — and a loss for Europe.
Europe has agreed to invest $600 billion in the U.S., spend $750 billion on American energy, and commit to purchasing U.S.-made military equipment.
But wait, didn’t von der Leyen just push through a €2 trillion budget which promised to invest in European-made military equipment? So Europeans are now doubling down on weaponry purchases? How are they to pay for this?
They’ll tax their heavily-taxed citizens of course. Most EU countries are already above the Maastricht Treaty’s 60% debt-to-GDP limit — but if von der Leyen tells you to take on more, what choice do you have?