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Slovakia hates being in a Greek Tragedy
The European Union has become its own worst enemy. By design, there is no real leadership at the top of the structure. This is now undermining the unity of the Union, when it needs it most.
The US has its separately elected President of the United States
while Russia has its Putin. Europe, however, has ministers with
overlapping responsibilities, who may or may not be authorized to take
any action.
The endless parade of finance ministers in front of microphones, each
with a specific sound bite for their own economy while taking pot shots
at neighbor’s budgets, is damaging the appearance of unity. In fact, to
the rest of the world, Europe appears to be coming apart at the edges.
The soft weak underbelly of the Union has been exposed for all to
see. The Union is dissolving into a tit for tat exchange between
sovereign finance ministers. Each is now trying to show how strong they
are, by showing how weak a sister state is. Some states now want to
sacrifice other states in an attempt to regain their own stability.
The core problem is that the EU is suffering from its intentional
lack of a central leader. The second major intentional structural
weakness is its lack of a central funding mechanism for the bureaucracy
itself. These two simple rules, which provide checks and balances to
central banks and legislatures, are missing in Europe.
Fundamentally, this keeps the ECB from being able to issue Euro bonds
to fund EU financial needs. It also opens up the EU to rogue actions
taken by its members, like Ireland guaranteeing their banking system
without permission from the ECB or EU itself. One of the ECB’s current
fears is that Ireland is going to go rogue and start generating
electronic Euro’s to stimulate the Emerald Islands economy.
The buck does not stop anywhere in the EU. The bureaucracy grinds on
with, or without, a legal mandate to do so. There are no checks and
balances on the system as it exists today.
You only have to look to the different rescues packages that are
being hatched to follow the different cross currents in play. When
everyone is responsible for bailing out everyone else, what limited
*REAL* capital is available starts to matter.
The
stabilization fund does not seem to have been designed as a real
bail-out fund. As such, with the line of nations that need help seeming
to grow weekly, the smaller nations in the EU who are struggling on
their own, are looking at larger and larger draws on their own limited
capital as a % of GDP.
Austria, with its banks heavily invested in loans in Eastern Europe,
does not want to help fund the Irish bail-out. If there is a bail-out,
Austria and its banks will need to keep their capital closer to home.
This is about sovereign survival, disregarding the effects of a failed
EU itself.
“In the financial sector, stabilization has been achieved, as the accelerating rise in lending shows,” he said.
“However, in 2011 Austrian banks will have to strengthen their
own-capital balances further in order to satisfy the requirements of
Basel III and other regulatory measures.”
In Slovakia the conversations are even more pointed, with Slovakia
requesting that Greece accept reality and default on its debt. If
Greece were to do so, Slovakia would be free from its proportional share
of helping Greece with its continued funding.
“I believe that a debt restructuring would be a better
solution for Greece,” Slovak Finance Minister Ivan Miklos told the Thema
weekly newspaper, according to an advance copy of the Sunday edition.“I think the (bail-out) loan to Greece was a fatal mistake from the
beginning. Setting up the European stability fund was also a mistake,”
Miklos was quoted as saying.But Miklos said restructuring the debt would help Greece more than
the bail-out. “Very simply, we do not believe these (bail-out) programs
will help overcome the debt crisis that is expanding in Europe,” he
said.“Our refusal to participate in the (loan) for Greece was not a
hostile act towards the country. It was an expression of our belief that
your economy can be cured more effectively with a restructuring.”
The European Union longer term credibility is suffering from the
seemingly endless number of damaging sound bites being released by what
appears to be every finance minister on the continent. If press
release sound bites were bullets, this would be called an active
shooting war. The airing of dirty internal politics and national
priorities is going to undermine any attempt at building an economic
coalition.
It
is economic warfare in Europe again. This time, like past times, the
groups are dividing up along economic self interests. There is no sign
of “Union” in European politics.
What is clear, however, is that the Icelandic solution is the
elephant sitting quietly in the corner of the room. If nations with low
national debts, write off their own banking system, organic growth is
possible. It just takes the will of the people to speak.
As Claus Vistesen pointed out in his article today at Fist Full of Euros,
“Finally, I crucially assume that you can’t have both austerity and growth at the same time.
If you want growth it will cost a higher fiscal deficit and if you to
run down the fiscal deficit you must endure deflation (negative nominal
GDP growth in essence) and it is this latter which the ECB and EU are
pushing. Especially this last assumption is absolutely crucial to
understand since it is this situation the periphery faces with an
internal devaluation in the euro zone.”
The Slovakian finance minister has broken new ground this weekend by
pointing out that the Greek government is naked. What happens next
concerning the continued funding of the Greek Bailout will be
interesting.
Everyone knows the Greek government cannot service the old debts, let
alone the new debts being heaped upon it by the EU & IMF rescues.
Slovakia, at least, is not shy about asking why it must help pay for the
Greek hangover.
The only question is when is it acceptable for the Greeks to
acknowledge what Slovakia has pointed out. Greece is going to be unable
to service the debt it already has. So why continue to throw good
money after bad? or said another way. Do you want Austerity or do you
want Growth? You can not have both.
»
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My Platform:
1) Repeal Commiecare (dhimmitude) 2) Deport All Illegals 3) Seal The US Border With a 3 mile wide minefield covered with salt 4) Defund,The EPA, Dept of Education, NPR and all but the most necessary federal gvt depts and only those authorized by The Constitition 5) Drill our own oil and natural gas 6) End all Affirmative Action in employment and education 7) Allow the states that must to go bankrupt and restructure. NO BAILOUT 8) Go to a 16% Flat tax on consumption 9) Breakup goldman sachs and jp morgan and try their boards for treason 10) Put a moratorium on all foreign aid 11) Put a moratorium on all immigration 12) Dismiss all unelected czars 13) Repeal NAFTA 14) Ban unions from all government jobs and bring all salary and benefits of gov. workers down to the level of the private sector. 15) Kill the Estate tax so family businesses/farms don't have to be sold off to pay it. 16) Reinstate NASA Funding 17) Pull out of the UN 18) Repeal the charter of the Federal Reserve 19) Ban the operation/maintenance of roads/ports and their tolls by private companies 20) End all welfare amd gvt support for women who have more than one child out of wedlock.
So, you would replace your fascism for theirs? We don't need solutions, we need people to stop trying to produce them. People can figure life out without all the people who think they "know" better.
To the degree you eliminate government, you develop liberty- the ratio is without exception.
Mine are all repeals and moratoria, you nitwit.
I tend to agree, although I disagree that what he is proposing could be considered fascism. If you take each proposal by themselves, he is suggesting the end of Government subsidized corporate fascism.
And, if we eliminate the Leviathan, a lot of the problems he delineated would be solved by themselves, except of course the refunding of NASA.
With the way things are going, NASA will become kaput, as space becomes increasingly militarized. Not only by the Americans, but by the Chinese and Russians as well.
Of course one could say America is becoming a militarized corporate fascist state. I like to call it the Military-Space-Industrial-Complex, but that's a rhetorical argument for another day.
"you can't have austerity and growth at the same time"
This sounds like Phillips Curve ][ -justification for what they do.
But does he mean growth of the state or growth of the private sector?
I agree with tim73 that the yanks need to get their house in order, if they weren't the "world's reserve currency" then they'd never have gotten this far; however, one must not ignore the fact that a per capita cost of the Irish bailout (total Eu 85b) would be the equivalent of almost 10 Trillion dollars in the US. An equivalent bailout for Spain (population 45,957,671) will be ~976 billion Euros.
Bond holder haircuts all around is the only way out.
Jubilee, bitchez.
Please, we already have our house in order, we're just trying to show you Euro Trash the proper path to follow.
Namely, we're ruled by a criminal banking elite, with the Federal Reserve at the head of that hydra, which pulls the strings of our incompetent and corrupt politicians from the federal to the state to the local level. We live in a police state, Patriot Acts, or as Hitler called them, "Enabling Acts", and are racing at the speed of light to emulate how the Peoples Republic of China governs its proletariate, or sheeple.
Although Europe has been around for 1500 years, you've let yourself go quite a bit. If you hadn't indulged in pattycake games of genocide during the 20th Century and then turned to us to pull your pants out of the fire we would have no excuse to poke our nose, much less our cocks, into your business, literally and figuratively. (Those Parisian women were sure grateful when we liberated Paris.)
As it is, we own your asses lock stock and barrel and rule you through NATO. So get used to it. Or, why else are European banks taking advantage of the Fed's FX open swap lines.
http://www.zerohedge.com/article/fx-swap-lines-horses-mouth
http://www.zerohedge.com/article/why-fed-extending-its-central-bank-dollar-swap-lines
You dont even own your own asses, dude. Wake up and smell the coffee, finally. Eh, so many disillusioned americans on the blogs these days ...
Hello Kitty!
Ah shucks, thanks for the compliments.
I could never get mad at such an awesome Bengal Tiger.
Everyone knows the Greek government cannot service the old debts, let alone the new debts being heaped upon it by the EU & IMF rescues. Slovakia, at least, is not shy about asking why it must help pay for the Greek hangover.
The only question is when is it acceptable for the Greeks to acknowledge what Slovakia has pointed out. Greece is going to be unable to service the debt it already has. So why continue to throw good money after bad?
Simple answer - because major Euro banks in Germany & France (as well as the US) are the creditors to Greek (& other Euro) sovereign debt & these banksters, like their American counterparts, believe that their losses should be socialized & born by taxpayers, while they get to keep any profits...
And since Merkel & Sarkozy lack the integrity & courage to tell their bankster friends to stuff it, the entire EU appears helpless & out of control...
Hopefully, Ireland, like Iceland before them, will tell the banksters to go directly to He11...
the country being first to do that will get the blame for the fall of the dollar. seems to me there are not too many volunteers for the job ...
you mean to say the fall of the dollar will be attributed to Iceland or Ireland telling the banks to stuff it??? That's pretty rich imo...
Some more interesting reading...(bolding added)
As part of the drive to bring capital markets under their control, the Nazis made bankers mere functionaries. Like their counterparts in industry, big bankers eagerly entangled themselves in the web of state power by accepting bailouts to avoid bankruptcy during the banking crisis in 1931. By the time the Nazis came to power, the state owned a majority of the shares of the big banks.
In 1933 the state declared its "control of all credit institutions" and began to license banks, collect information on debtors, and scrutinize banking operations. The state dictated to them what investments they were permitted to recommend to investors, namely government bonds and bonds of the enterprises subsidized by the state. Bankers were forbidden to express less than optimistic assessments of the state's financial condition. For investors who refused such advice and withdrew their capital from banks to invest on their own initiative, bankers were obligated to report their activity to the state. A large bureaucracy was formed to oversee banking, centered in the Reichsbank
Faced with the dearth of profitable opportunities in the shrinking market economy, investors turned to what they thought would be safe-havens from state power such as real estate and precious metals and gems. Thus, even the capital not consumed by the state was directed away from the capital structure.
http://mises.org/daily/1935
sounds scarily similar to today's US banking & political system...
Iceland did not tell UK or Netherlands to shove it. but they will never be able to pay the money back lost in icesave. the icelandic people know, they voted en masse against the payback, even the president is against it, but does government listen ? no way.
Ireland is part of euro, they gave away the power to shove it, only thing they could do is leave euro and that would be economic suicide also. they will behave.
there is a lot of smoke out there, hard to see what is really happening, and pretty impossible to predict the outcome of this mess. it feels it is getting closer though ...
According to Maastricht Treaty other countries are not allowed to assume liability for debts or other commitments of a fellow country (no bail out clause in article 103). There are EU rules though which allow financial aid between countries in case of an exceptional crisis. But what is an exceptional crisis? Is reckless fiscal spending and fraudulent statistics to hide it a good enough reason? Or is predatory lending by the banking cartel to fuel exceptional real estate bubbles which are bringing some countries down to their knees good enough reason?
just look at euro's MtM gold reserves...
how this plays out noone can know for sure, but gold will play an important factor in any scenario, big difference between dollar and euro there ! think about the consequences ...
Woah, say what you mean Tim73! heh...
I had a similar thought that Jack was a Europhobe and that just because the Fed can print money simply makes it the lead lemming off the cliff when there might be a way around the steep drop!
The quote from Hitler is disturbing (Talmud kid, 879452) , barring the dark and murderous racism lurking behind the effect of challenging the finance model and blaming the Jewish culture, what he aid sounds rational, albeit naive.
Perhaps relating value on an individual basis as the loan implies and not "bundling" cash flows is correct and there is some dynamic about securitization that is flawed.
However, logistics (my favorite social politik for the bottom 75% of the population) favours some form of aggregation to enable economies of scale. We (the world) is now the ant colony where nothing matters more than eating, drinking and staying clean.
Maybe you Yanks shoud pipe down the criticism of EU, take care of your own house first. The one that is about to collapse and burn. Thanks to your fucked up elite leadership in Washington DC. We do not need the same kind of crap here in EU.
You might want to do a little research. The same elites run the EU and the US as well as China and Japan. Of course, this little competition over "patriotism" does play into their hands. Do you enjoy being played?
"Maybe you Yanks shoud pipe down the criticism of EU, take care of your own house first. The one that is about to collapse and burn. Thanks to your fucked up elite leadership in Washington DC. We do not need the same kind of crap here in EU."
The soverign CDS theme theme/bet in Europe look better to me. Nothing personal, I would have gone the other way, had the dynamics been reversed.
PS - the US and European "elite leadership"can go work a (trademarked Harry Wanger )double ended dildo for all I care.
Be sure to smile pretty for the cameras, and to bring your sisters and daughters to the mosque so that they may be gangraped while you stand by and do NOTHING, ok Alistair?
FYI, Muslims have been part of Europe hundreds of years, long before USA as nation even existed. I have not seen any gangraping, bloodthirsty hordes of bearded Muslims. It looks like your Christian storm troopers are doing that kind of shit to their sisters and daughters in Iraq and Afghanistan instead...
Really?
http://www.scam.com/showthread.php?t=135002
http://barenakedislam.wordpress.com/2009/04/16/rape-by-muslims-epidemic-in-europe-and-headed-this-way-thanks-to-ever-increasing-muslim-immigration-to-the-u-s/
http://www.iris.org.il/blog/archives/757-Pan-European-Arab-Muslim-Gang-Rape-Epidemic.html
http://europenews.dk/en/node/22631
and in Australia
http://archive.frontpagemag.com/readArticle.aspx?ARTID=6267
And, I guess all those "youths" rioting and burning cars in France were just misunderstood leprechauns.
Check out the picture on this one:
http://majorityrights.com/index.php/weblog/comments/muslim_rape_wave_in_sweden/
More lies from the blue eyed white devils:
http://www.freerepublic.com/focus/bloggers/1372959/posts
http://www.brusselsjournal.com/node/938
Ah, what the hell, just Google 'European Muslim Rapes' and sit back and wallow in the lies and rubbish.
Here are some more lies about the patriotic, freedom loving, law and order Somali citizens brought to Minnesota by the benevolence of the US Government:
http://www.google.com/#sclient=psy&hl=en&q=minnesota+somali+crime&aq=0&aqi=g1g-o1&aql=&oq=Minnesota+somali+cr&pbx=1&fp=4ef1ed213f96a03d
Of course it's all just lies and rubbish, so go back to sleep for twenty years so that you can wake up like Rip Van Winkle living in dhimmitude.
I have checked all these articles, to be sure, so do you also have any normal sources ? this is no more then just plain rubbisch and you know it. and when you don't, well so sorry for you ...
You're a fucking liar unworthy of a moment's time.
It´s funny to see how some americans are obsessed with rape in general and gangrape in particular. I think you watch too much porn, dude. Two suggestions for you:
1. grow-up
2. start treating your europhobia
Physician, heal thyself.
Bitch.
Rand is that you? I thouight I told you to stay off ZH.
5yo can be physicians in US? Good to know.
btw: dont forget to junk this one, too
:-)
I would suggest the liar is most often the one that needs badmouthing to get his points across
I always wondered what went through the mind of a deer when it is first bracketed by headlights. Thanks to your comment I now know.
I salute your defiance!
+ Sum(QE3 + Spanish Bailout)
Miklos saying that a partial default is a better solution for Greece - is missing the point entirely.
No one gives a monkeys about saving Greece. The EFSF and earlier bailouts are not to save Greece, they are to save the non-Greek banks which are exposed to Greece. Bondholder haircuts is the right thing for Greece, but not for its creditor banks and sovereign wealth funds. The latter want to exit their Greek debt at full value by transferring the debt to the taxpayers of their native home countries.
The EFSF is basically a monstrous stealth bailout for non-PIIGS banks and sovs.
PS. Slovakia's bleating becomes obvious when searching for any Slovakian bank exposed to Greek debt. Slovakia was always too poor to invest in foreign bonds. So now the sh*t has hit the fan for everyone else - Slovakia just wants to sit back and watch.
WHY doesn't Slovakia just bail out of the EuroZone and get this party started?
because they would be bankrupt in a second
Does someone read that Philip K. Dick book, The Man in the High Castle with an unrelenting erection?
I think we should help the Man in the High Castle with the unrelenting erection by spending the fiat dollars relentlessly being blown out of Banana Ben's ass on whores and trannie porn.
Would Mary Shapiro like to comment on that?
Brilliant sir.
"The core problem is that the EU is suffering from its intentional lack of a central leader."
It isn't a problem
It's an intentional design feature, just waiting for the right moment to be solved
The strong man will come, not striding forth as a conqueror, but a savior, drawn forth by the wailing of the suffering masses, to by coronated to the cheers of millions
The Red House Report
http://www.dailymail.co.uk/news/article-1179902/Revealed-The-secret-report-shows-Nazis-planned-Fourth-Reich--EU.html
On 10 May 1945 President Truman approved JCS (Joint Chiefs of Staff policy) 1067 which directed the U.S. forces of occupation in Germany to "...take no steps looking toward the economic rehabilitation of Germany [nor steps] designed to maintain or strengthen the German economy". This was a modified version of the Morgenthau Plan. The net effect was that Germany wasn't allowed to realistically produce goods for export in order to purchase food; millions of Germans were supplied only meager starvation rations, with 1947 being the worst year. It took 2 years (1945 to 1947) of death and disease, and fears that starving Germans might "go Communist" before U.S. Secretary of State James F. Byrnes made his Stuttgart speech.
Dismantling of (West) German industry ended in 1951, but "industrial disarmament" lingered in restrictions on actual German steel production, and production capacity, as well as on restriction on key industries. All remaining restrictions were finally rescinded on May 5, 1955. "The last act of the Morgenthau drama occurred on that date or when the Saar was returned to Germany."[7]
Wartime Consequences of the Morgentau Plan
The Republican presidential candidate Thomas Dewey complained in his campaign that the Germans had been terrified by the plan into fanatical resistance, "Now they are fighting with the frenzy of despair."[39]
General George Marshall complained to Morgenthau that German resistance had strengthened.[40] Hoping to get Morgenthau to relent on his plan for Germany, President Roosevelt's son-in-law Lt. Colonel John Boettiger who worked in the War Department explained to Morgenthau how the American troops that had had to fight for five weeks against fierce German resistance to capture the city of Aachen had complained to him that the Morgenthau Plan was "worth thirty divisions to the Germans." Morgenthau refused to relent.[41]
On December 11, OSS operative William Donovan sent Roosevelt a telegraph message from Bern, warning him of the consequences that the knowledge of the Morgenthau plan had had on German resistance; by showing them that the enemy planned the enslavement of Germany it had welded together ordinary Germans and the regime; the Germans continue to fight because they are convinced that defeat will bring nothing but oppression and exploitation
http://en.wikipedia.org/wiki/Morgenthau_Plan
I wonder how many American & allied lives the Morgenthau plan cost
Watch "The Eye of Vichy", its available on Netflix.
The Vichy and Nazi war propoganda essentially lay out a playbook for the current EU.
BIS is the former nazi bank, but the true nazi's these days speak english ...
The BIS was a creature of Britain and the US created in the late 1920's as a precursor to an international central bank and was chaired by JP Morgan. The Nazi's had nothing to do with it.
The strong man will come, agreed. But it would appear thats been the plan all along.
And I don't mean from Germany.
Good things the Axis was defeated in WW II or the whole continent would be speaking German.
Wait, what?
"We were not foolish enough to try to make a currency coverage of gold of which we had none, but for every (new reich´s) mark that was issued interest free [non usury system], we required the equivalent of a mark's worth of work done or goods produced. . . .we laugh at the time our national financiers held the view that the value of a currency is regulated by the gold and securities lying in the vaults of a state bank." -Adolf Hitler, 1937 (CC Veith, Citadels of Chaos, Meador, 1949.)
"And it proved sound. It worked. In less than ten years Germany became easily the most powerful state in Europe. It worked so magically and magnificently that it sounded the death knell of the entire (Zionist) Jewish money system. World Jewry knew that they had to destroy Hitler's system, by whatever means might prove necessary, or their own [system of usury] would necessarily die. And if it died, with it must die their dream and their hope of making themselves masters of the world. The primary issue over which World War II was fought was to determine which money system was to survive. At bottom it was not a war between Germany and the so-called allies. Primarily it was war to the death between Germany and the International Money Power." - William Gayley Simpson
When we fail to focus on the problem (fractional reserve banking) and choose to denigrate a people, we are playing into the hands of those same people.It matters not whether it was Jew, Gentile or Zionist that perpetrates a system of debt slavery. It is the sysytem and those that protect and manage it now that are the issue.
These people should be eliminated and their system as well. As for there ethnic composition- we can figure that out after the fact.
This type of discussion is designed to sow seeds of division and the people are easily divided. By identifying the problem and destroying it, we can free all of us.
Thanx for some much needed common sense and common decency.
.!
William Gayley Simpson (1892 – 1991) was an American White supremacist, activist ,and author.
His views seem to be quoted more frequently around here these days. Feel free to read on. Or not.
http://en.wikipedia.org/wiki/William_Gayley_Simpson