T he European Union will have us all believe their financial meltdown is now resolved. Yeah dream on,as the heading describes when a fish is rotten it stinks from the head so be the “Democratic European Union. Greece the equivalent of Lehman’s in banking terms,had the potential to bring the whole of Europe to its knees in financial terms. One has to ask the question why a country the size of Greece, whose economy is miniscule in comparison with Germany/France, could have such an impact on the rest of Europe.Greece could not be allowed to show up the hall of mirrors which is capitalism. To protect this decaying system which has outlived its usefulness and cannot continue to survive within its own national borders.It must expand beyond these borders, not as competitors but in unison,to be a world class competitor, for it to survive into the future,such is the work in progress called the European Union.
Greece defaulted and has lost its financial sovereignty. It is now in a situation which is more akin to a country after a war, financial repression is the order of the day, its called taxation. Taxed into poverty. While social cannibalism is implemented,one third of Greeks live below the poverty line,half of the youth population are unemployed with no future in economic terms. For Europe to avoid an economic collapse,its poured billions into Greece under conditions determined not by the people of Greece,but an unelected government sponsored by the Troika in Europe. ( like a south American dictatorship) This money will be controlled by the Troika and only used for repayments not for any benefit to the Greek people. Greece cannot survive repayments and austerity,it will have to return with the begging bowl for more. It is more like a colony of European Union.
Best in the Class
Ireland splutters along dancing to the Troika’s tune making payments it does not have. It’s time Ireland defaulted with the trillions in the markets, Ireland’s debt is but a pimple on the financial markets. For Irish people the continuing austerity means mass immigration and all it’s consequences. Everyone pays a special social charge on there weekly/monthly wage,plus more indirect taxes.On top of this a tax on every house of 100 euro tax per year, this will increase in future years.Those who refuse to pay are threatened with fines which will be taken from their dole money or added to gas or electric bills. Cutbacks throughout the social fabric,hospitals,schools,etc of this society. Unemployment is at an all time high workers thrown on the scrapheap and now facing reduction in their unemployment rates, by the political class which defend the system which created this crisis.This will not get better poverty will get worse for those who work for the system,and yet have no stake in it. Now the best in the class, are told hand over your economic powers to Europe. Then you can come back with your begging bowl, we will need too,for all the bleating of the blue shirts and their Labour side kicks. These same political careerists tell the financial markets we are like a rocket ready for take off,yeah on rates of pay and conditions which have regressed twenty years and more.
The centre of the present crisis have been spoon fed at least two trillion euro on interest rates of minimum one percent. This is then lent out at rates of 5%-6% . these are private banks getting your money for little or nothing and giving it back to you for a substantial mark up. This raises a question for the E.C.B. of the Euro facing devaluation with so much Euros flooding the market.Another problem for Europe is some of these banks getting this money are already bankrupt so are using it for it’s own end. Who pays for this the working class of Europe. These banks should be expropriated with state banks set up in their stead. For this to happen a state under workers control with it’s own organizations,with re callable representatives is essential.
Is Europe either of the above ?. While in the past I have used both terms neither are entirely accurate. While Germany is the most powerful economic power in Europe it does not control Europe it must cooperate with it’s fellow Europeans. While it wants more unity in terms of the economy its collaborators are only prepared to go so far, after all Europe is made up of competing imperial powers. It is at this point unlikely German jackboot’s are about to descend on Europe,to establish a European Fourth Reich or Empire. However in the present period European capitalism either expands beyond its national borders to compete with China/India/America or it will slide into stagnation and all this entails. In this context Greece/Ireland/Portugal are mere flies in the ointment. It was interesting to see with the Greek default the financial markets rally,like a horse race the bets are now placed we have not seen the end of this crisis yet. One spark in anyone of these newly impoverished European nations could set a flame across Europe.