Three terrible things have happened to Europe in the last ten years. First, a demographic collapse began to get under way threatening runaway budgets; second, European competitiveness was challenged by the emerging powers and its energy dependence on Russia; third, the era of free security and guaranteed protection by the United States may be at an end, further straining budgets.

Will Europe face these huge challenges? Or will it retreat into fantasy, into a world of green shopping bags and carbon trading, like demented old aunt? This may be “it”, one way or the other; make or break.