Sánchez’s fate is one more signal of the crisis facing European social democracy. It was shaped for three decades around the certainties of neoliberalism. Now the free-market model has failed, social democracy seems stripped of the intellectual resource to renew itself.
The free market, neoliberal, answer in Spain was to bring back the peseta. In Greece, the drachma. And don’t give us any bollocks about this. Standard IMF practice – haircut the debt, devalue the currency, lend a bit to tide over until this all starts to work.
It’s that the EU, this Lisbon shit, is not neoliberal is the reason it doesn’t work.