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Six years of failed austerity and now the EU is forcing Greece to commit suicide

Europe and Greece haven’t been able to agree on what austerity the latter will do in return for money from the former. What is certain is that Europe is intent on destroying anything that is left of Greece.

Alex Christoforou

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Post originally appeared on the Washington Post.

History repeats itself, first as tragedy, then as farce, and finally as trolling. That, at least, is the case in Greece, where its lenders want it to cut its pensions rather than hike its business taxes, because they’re afraid those increases would, as the Financial Times’s Peter Spiegel reports, “crimp economic growth.”

Oh, so now they’re worried that austerity hurts the economy. Too bad they weren’t a little more concerned about that before it made Greece’s economy shrink 25 percent.

Now, the latest Greek drama isn’t over, but it is in its last act. A deal should—admittedly one of the more dangerous words in the English language—be imminent. The problem, as it has been for the past five years, is that Europe and Greece haven’t been able to agree on what austerity the latter will do in return for money from the former. This time, Europe has wanted Greece to cut its pensions more than the 40 percent they already have, but Greece hasn’t. And that was that. Both sides thought the other would cave the closer they got to the deadline, so there was a lot of talk about “red lines” and “final offers” but not much actual negotiation.

That’s changed now. Why? Well, Greece has discovered it has much less leverage than it thought. Part of it is that panic about Greece has stayed in Greece because the European Central Bank has both begun to buy other countries’ bonds and promised to buy as many as it takes to keep their borrowing costs down. And the rest is that Greece’s banks aren’t so much an Achilles heel as an Achilles whole. In other words, they’re pretty easy to pressure. Greece’s banks not only need emergency loans from the ECB to stay afloat, but are also sitting on a pile of Greek government bonds and deferred tax assets that would presumably be worth a lot less if there isn’t a deal and Athens defaults.

So all Europe has to do is say it isn’t sure Greece’s banks have enough cash to stay open, and people will pull their money out even faster than before. That’s what happened when European officials leaked that they weren’t sure Greece’s banks could make it past Monday, and followed it up by saying they might have to stop people from moving their money out of the country. That’s yelling run in a crowded bank. And it worked. Greek depositors pulled out three times as much as normal the past few days, and that’s left their banks even more at the mercy of the ECB — which has forced the government to either leave the euro or accept Europe’s terms.

Greece gave in. Well, mostly. It’s proposing to cut its pensions about half as much as Europe wants — raising contributions and retirement ages, as well as cutting back on early retirement — and then raising taxes to make up for the rest. Specifically, it would levy a new tax on corporate profits and increase its value-added tax, basically a national sales tax, to 23 percent on all but a handful of items. In all, this would be a fiscal tightening of 1.5 percent of gross domestic product this year and 2.9 percent the next.

The only thing holding up a deal is that Europe thinks this is the wrong kind of austerity. Spending cuts don’t seem to be as bad for the economy as tax hikes, so that’s what Europe wants Greece to do. On the one hand, this is sound economic advice. But on the other, are you freaking kidding me? It’s like making someone commit suicide, and then disapproving of how they did it. The real question is why Europe is forcing Greece to do any more austerity at all. It’s already done so much that, before this latest showdown, it actually had a budget surplus before interest payments. And that’s all it should shoot for, really: the point at which it doesn’t need any more bailouts from Europe. Anything more than that, though, would just inflict unnecessary — and self-defeating! — harm to the economy. When interest rates are zero, like they are now, budget cuts of 3 percent of GDP would, by Paul Krugman’s calculation, make the economy shrink something like 7.5 percent. So even though you have less debt, your debt burden isn’t much better since you have less money to pay it back.

There’s only one reason to make Greece do more austerity, and it makes no sense at all. That’s to try to make it pay back what it owes. Indeed, one European official said that the entire point of this was that they “want to get our money back some day.” The problem, though, is everybody knows Greece will never do that. Its debt should have been written down in 2010, but it wasn’t because it was “bailed out” to the extent that it was given money to then give to French and German banks. The longer Europe pretends this new debt will be paid back, the longer Greece’s depression will go on. Now, it’s true that Europe has lowered the interest rates and extended the maturities on Greece’s debt so far out that, for now at least, it’s like a lot of it doesn’t exist. But eventually it will, and at that point they’ll either need to extend-and-pretend some more or hope that Greece has returned to growth.

Until then, Greece will be stuck in its economic Groundhog Day. It keeps trying to resist these pointless budget cuts that just keep it in a perpetual state of high unemployment, but then gives in at the last minute. On second thought, history is just repeating itself as tragedy over and over again.

References:

http://www.washingtonpost.com/blogs/wonkblog/wp/2015/06/23/europe-is-destroying-greeces-economy-for-no-reason-at-all/

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World War I Homage – A Triumph of Lies and Platitudes

The unilateral, lawless imperialism that engendered World War I and 20 years later World War II is still alive and dangerously vigorous.

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Authored by Finian Cunningham via Strategic Culture:


World leaders gathered in Paris on Sunday under the Arc de Triomphe to mark the centennial anniversary ending World War I. In an absurd way, the Napoleon-era arc was a fitting venue – because the ceremony and the rhetoric from President Emmanuel Macron was a “triumph” of lies and platitudes.

Among the estimated 70 international leaders were US President Trump and Russian counterpart Vladimir Putin, each sitting on either side of Macron and his wife. German Chancellor Angela Merkel was also given pride of place beside the French president.

Macron’s address to the dignitaries was supposed to be a call for international multilateralism. He urged a “brotherhood” for the cause of world peace. He also made a pointed rebuke of “nationalism” as posing a danger to peace – a remark which seemed aimed at Donald Trump who recently boasted of his politics with that very word.

But, ironically, everything about the ceremony and Macron’s speech resonated with jingoistic French nationalism, not his avowed multinationalism. As the politicians sat under the Arc de Triomphe, Macron walked around its circular esplanade in a salute to assembled French military forces bearing assault rifles and bayonets. The French anthem – The Marseillaise – was played twice, once by an army brass band, the second time sung by an army choir. There was also a military plane flyover displaying the blue, red and white tricolor of the French national flag.

In his speech, Macron talked about soldiers coming from all over the world to “die for France” during the 1914-18 Great War. He even said at one point that the war was fought for “the vision of France” and its “universal values”.

This was fluent drivel, French-style. No wonder Russia’s Putin momentarily gave a look of boredom as Macron waxed lyrical.

The speechifying and commemoration was completely detached from current realities of conflict and international tensions.

Among the “brotherhood” whom Macron was appealing to were Israeli Prime Minister Benjamin Netanyahu whose military forces continue to bomb and slaughter Palestinian civilians in illegally occupied territory. Also present was Ukrainian President Petro Poroshenko whose armed militias continue to terrorize the people of eastern Ukraine with the blatant objective of instigating a war between the US-led NATO alliance and Russia.

Listening to Macron one would think that World War I erupted mysteriously from no specific cause and that an estimated 10 million soldiers were all killed in heroic battles for noble principles.

There was, of course, no mention by Macron of imperialist warmongering and the barbaric sacrifice of humans as slaves in the service of national capitalist power interests.

Grotesquely, as the world leaders donned solemn faces and mouthed pious platitudes for peace, the whole occasion was a triumph in burying reality and the ongoing causes of wars, as well as whitewashing the very culprits responsible for wars. Among the war criminals wearing a mournful black suit was former French President Nicolas Sarkozy who launched the NATO blitzkrieg on Libya in 2011.

While the empty, self-indulgent rhetoric was ringing out, one couldn’t help but recall some of the most glaring contemporary contradictions that were blocked out with awesome Orwellian efficiency.

Just this week, reports emerged of the horrific civilian death toll from the American air force bombing the Syrian city of Raqqa. The city was razed to the ground by US air strikes last year – supposedly to defeat the ISIS terror group. Some 8,000 bodies of civilians, mainly women and children, have now been recovered by Syrian government forces. And that’s only from clearing away a tiny area of rubble for the whole city.

What the Americans did in Raqqa was a monumental war crime, all the more criminal because US forces, along with their NATO partners Britain and France, are illegally present in and assaulting sovereign Syrian territory.

As Macron was telling world leaders about “the vision of France”, hundreds were being killed in Yemen in a battle to strangle the entire population by taking the port city of Hodeida. The genocidal war on that country – which is putting up to 16 million people at risk from starvation – has been fully backed by France, the US and Britain, from their supply of warplanes and bombs to the Saudi and Emirati aggressive forces.

We could mention other specific conflicts where the culprits are clearly identified. For example, the multi-million-dollar support from Washington for the Azov Battalion and other Neo-Nazi militias in Ukraine, which openly emulate the genocidal conduct of Hitler’s Third Reich to exterminate ethnic Russians.

We could mention how US-led NATO forces continue to expand towards Russian territory with outrageous provocation. The mounting earlier this month of the biggest-ever NATO war drills since the Cold War in the Arctic region adjacent to Russia’s northern border was a brazen threat of rehearsing invasion. The announced tearing up of yet another nuclear arms control treaty unilaterally by Washington is a reckless undermining of global security.

Washington threatens China with naval forces marauding near Beijing’s maritime territory in the South China Sea. Washington blockades Iran with illegal economic warfare and openly agitates for regime change. Washington declares Venezuela, Nicaragua and Cuba a “troika of tyranny” and reserves the right to threaten each of these countries with military invasion at any time.

Meanwhile, this weekend, Russia hosted peace talks in Moscow between the warring parties of Afghanistan. It was seen as a major breakthrough in trying to bring peace to the Central Asia country which has been wracked by 17 years of violence since US forces began their ongoing military occupation – allegedly to defeat terrorism.

Elsewhere, Russia has engaged with Turkey, Germany and France to convene a summit for peaceful reconstruction of Syria. The latest summit held in Ankara at the end of last month follows several other such meetings in Astana and Sochi, largely at the behest of Russian leader Vladimir Putin, to find a political settlement to the nearly eight-year war in Syria – a war that was fomented covertly by Washington and its allies for regime change.

France’s Macron talks about “multilateralism” for world peace, yet the two countries which have arguably supported and implemented multilateralism in practice are Russia and China in their calls and policies for global partnership and economic development.

And yet it is Russia and China that are being harassed with American and European sanctions, and US military provocations.

The unilateral, lawless imperialism that engendered World War I and 20 years later World War II is still alive and dangerously vigorous. We only have to look around the present world to realize that. But when the culprits indulge in a triumph of bullshit then we also know that the world is once again in very grave danger.

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Creepy Porn Lawyers’ disgusting assault on Tucker Carlson and his 19 year old daughter (Video)

The Duran Quick Take: Episode 14.

Alex Christoforou

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Days after ANTIFA targeted Fox News’ Tucker Carlson’s home, trying to intimidate and scare the TV host into curbing his free speech against totalitarian mob rule propagated by ANTIFA and their paymasters, it appears that the SJW establishment swamp is going after Tucker with everything they got…sending in the expendable, and always eager to get publicity, Creepy Porn Lawyer, Michael Avenatti, to try and ensnare Carlson in some sort of racist assault scandal.

The entire event appears to be a staged, purposefully hitting upon all the right identity politics buttons…so as to maximize full SJW pressure on Tucker and Fox News.

The Gateway Pundit reports that Tucker Carlson has denied Michael Avenatti’s charges of assault, and explains that his actions were prompted by an unhinged gay man calling his daughter a wh*re and a c**t…

Creepy porn star Michael Avenatti made headlines again this weekend with trumped up charges of assault against FOX News host Tucker Carlson.

On Saturday Avenatti released video of Tucker Carlson in an argument with a crowd of people at a country club in Virginia.

Avenatti claims Tucker assaulted a gay Latino immigrant for no reason.

Avenatti posted this video made the allegations on Saturday.

RT CrossTalk host Peter Lavelle and The Duran’s Alex Christoforou take a quick look at the SJW swamps’ latest attempt to smear Tucker Carlson, by going after his 19-year old daughter, in a disgusting display of misogyny and hate towards the very women that establishment liberal claims to defend.

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Here’s Carlson’s full statement about the incident:

“On October 13, I had dinner with two of my children and some family friends at the Farmington Country Club in Charlottesville, Virginia. Toward the end of the meal, my 19-year-old daughter went to the bathroom with a friend. On their way back through the bar, a middle aged man stopped my daughter and asked if she was sitting with Tucker Carlson. My daughter had never seen the man before. She answered: ‘That’s my dad,’ and pointed to me. The man responded, ‘Are you Tucker’s whore?’ He then called her a ‘f—— c—.’

“My daughter returned to the table in tears. She soon left the table and the club. My son, who is also a student, went into the bar to confront the man. I followed. My son asked the man if he’d called his sister a ‘whore’ and a ‘cunt.’ The man admitted he had, and again become profane. My son threw a glass of red wine in the man’s face and told him to leave the bar, which he soon did.

“Immediately after the incident, I described these events to the management of the Farmington Country Club. The club spent more than three weeks investigating the incident. Last week, they revoked the man’s membership and threw him out of the club.

“I love my children. It took enormous self-control not to beat the man with a chair, which is what I wanted to do. I think any father can understand the overwhelming rage and shock that I felt seeing my teenage daughter attacked by a stranger. But I restrained myself. I did not assault this man, and neither did my son. That is a lie. Nor did I know the man was gay or Latino, not that it would have mattered. What happened on October 13 has nothing to do with identity politics. It was a grotesque violation of decency. I’ve never seen anything like it in my life.”

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Former Hillary Clinton Advisor: She’s Running Again in 2020

Clinton admitted that while she doesn’t want to run again — she would “like to be president.”

The Duran

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Via The Gateway Pundit…


Hillary Clinton’s former adviser Mark Penn is warning the public that we should brace ourselves for another run from the power hungry sore loser in 2020.

Penn co-wrote in a Sunday op-ed for the Wall Street Journal that she “won’t let a little thing like two stunning defeats stand in the way of her claim to the White House.”

“True to her name, Mrs. Clinton will fight this out until the last dog dies,” the op-ed that Penn authored with Andrew Stein claims. “She won’t let a little thing like two stunning defeats stand in the way of her claim to the White House.”

Like a cockroach that just won’t die, or the final boss in a video game that keeps obnoxiously coming back after each defeat — Clinton just won’t go away.

Penn said that by “reinventing herself as a liberal firebrand, Mrs. Clinton will easily capture the 2020 nomination.”

“You can expect her to run for president once again,” he said. “Maybe not at first, when the legions of Senate Democrats make their announcements, but definitely by the time the primaries are in full swing.”

Last month, Clinton admitted that while she doesn’t want to run again — she would “like to be president.”

Even some of her closest allies want her to give it a rest though.

“She’s more likely to win Powerball,” Philippe Reines, Clinton’s longtime adviser, told The Hill.

While nobody really wants to hear that woman’s voice ever again — at least the right can recycle all their best memes from 2016.

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