The question's simple, the answer might not be.
Perspective is probably the issue. There is a new president whose outlook doesn't help. The former PM of Luxembourg - Mr Junckers - is a federalist, 'United States of Europe' and all that jazz, which might not work for us here. We have issues that most European countries don't face, the biggest being we'll run out of space quicker than say, France, Germany, Spain or Italy.
We can't get rid of undesirables (terrorists, criminals etc) very easily as it is. Another layer of bureaucracy would just tip the balance. Strasbourg doesn't care about victims' rights, and some of these people have clever 'shysters' who look after their cases in courts here. (It doesn't help that the Criminal Prosecutions pen-pushers don't get their paperwork right).
And that's just the tip of the iceberg.
what is wrong with federalism? And who defines an Undesirable?
In large, continental federal states with one language like the US or Australia 'federalism' helps to unify, whereas in a collection of separate states with different cultures it's like 'treading on toes' when one member wants to impose its ideas
I lived in Greece for a few years and have seen first hand how federalism in a group of countries with diverse cultures does not work.
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