08.53 The BBC’s business editor Robert Peston has stressed that even a little bit of give by Germany would take the pressure off Italy: This all comes back to Germany. It can at least take the crisis down a few notches by saying it’s prepared to commit some of its substantial resources. a statement of that sort would be immensely helpful. Today we’ve seen contagion to the implied price of Spain and France to borrow – there is a genuine risk that the eurozone is unravelling before our eyes and it’s down to Germany to prevent that.
SORRY – it is pointless. A “little bit” won’t do it. A couple of trillion laid on the line are required. Going down “a few notches” will only be TEMPORARY. The ROOT CAUSES must be grubbed out, and these are a corrupt and self-serving political elite, bloated bureaucracies, too much “socialism” = vast benefits going out to the idle and feckless, especially in Britain. Everyone else knows this – why don’t you?
And Germany has not GOT “substantial resources”. It ALSO has large debt, though better covered by its economy. You want Germany to sanction the ECB to print vast sums of money? Thankyou. By law the ECB is ONLY supposed to control inflation. But now it is asked to do the EXACT OPPOSITE – which is in fact ILLEGAL – just to suit the cretins running Europe who got us into this mess. No thankyou.
Italy et al are corrupt, inefficient basket-cases. The ONLY hope for proper structural reform is if the full force of default hits them and the people start taking over. At the moment there is a catastrophic disconnect between plebs and rulers. This explains the absolute HORROR of the EU AND most national leaders at the thought of the plebs having a direct say on how their OWN MONEY is used.
Europe’s democracies have been taken over by venal and incompetent career politicians in league with their countries’ top industrialists and banks. Even the UK is now doing QE, which raises inflation and destroys what pitiful savings most people have. THIS IS FASCISM BY ANOTHER NAME; the control of the plebs without their consent. The five-yearly vote does not do it. It is WAY behind the times.
And stop proposing SHORT-TERM solutions. What’s happening now was clearly INEVITABLE and PREDICTED years ago, since when we have just seen the idiotic spectacle of one Eurosummit after another with the participants emerging with fatuous smiles and handshakes declaring all was solved. It will NOT BE SOLVED until the fundamentals are put right.
STOP BORROWING – not rocket science.
There is no “BORROWING REQUIREMENT”
LIVE WITHIN YOUR COUNTRY’S MEANS.
However, the austerity measures affect of course the plebs most. How many Italian MPs will give up their vast salaries and benefits? How much of the bloated French state will the Snarlkozy regime cut? In the UK, despite the massive crisis, bonuses are STILL being paid to Civil Service mandarins. There are vast savings all over the place that could be made, including on paying housing benefit of up to GBP100,000 to immigrants so that they can live in Central London.
Governments will NEVER vote to cut their own empires and benefits. Do you WONDER why there was mass hysteria among the elite at the idea of the Greek people being given a referendum? Not only at what they might VOTE but for the terrible PRECEDENT it would set. Soon you’d be having referendums all over the place, which of course VASTLY cuts the power of the arrogant political elite.
Germany – keep your money. You have already paid TRILLIONS over the decade into the poorer areas of Europe. You have DONE your duty. We FORGIVE you for the wars, especially as all the guilty are dead. The REST of Europe has taken you for a ride, pigged out on your money, NOT fulfilled their side of the EU-contract, which in itself was not an ignoble one. They must sort themselves out once and for all. Do they want to become more like you? Serious, well-off and (moderately) well-run? Or do they want to go on as they are?
THEIR CHOICE, but don’t ask ME to pay for the one that sees them continue as before, which is the one their LEADERS will take unless FORCED to change their ways by “the markets” and subsequently the PLEBS they so despise.
Oh, and THANKYOU to the markets, without which this INSANE, RECKLESS AND CRIMINAL BORROWING would no doubt have gone on for ever.
PS Spain and France are in the frame because of their reckless borrowing over long periods. Personally, I am a bit tired of hearing what OTHER countries should – or even MUST – do to save the bankrupt incompetents from their own idiocy. Just ONE example: soon after the euro started, France went over the eurozone rule about not exceeding debt of 3% of GDP. When challenged, a govt spokesman said:
“That rule was designed for little countries, not those like France.”