Tag Archives: Greece
Yesterday, Greece defaulted on 1.6billion euros in debt payments owed to the International Monetary Fund (IMF) and has been stubbornly refusing the demands of European Central Bankers and European Union ministers to structurally reform its economy.
It’s being reported that Tsipras sent a letter to EU ministers giving in to all their demands with just a few “minor” amendments.
Prime Minister Alexis Tsipras wrote to European leaders and the International Monetary Fund late Tuesday, accepting most of the conditions they had attached to releasing more cash, a European official told CNNMoney.
Tsipras faces considerable difficulty in his own country as the games of kick-the-can down the road, truth or dare, poker and “Let’s Make a Deal” but without numbers on the doors all fail to convince European and IMF leaders that Greece is serious.
Every move Tsipras has made has been to delay and reduce any re-payments to the IMF and ECB. Not because he doesn’t want to pay them back, but because Greece has no functioning economy and, without structural reforms, will never be able to pay the loans back.
The changes Greece requested are hundreds of millions of Euros apart from the requirements the creditors placed upon them. German Financial Minister Wolfgang Schäuble expressed disdain saying that Greece’s changes “aren’t basis for serious measures”.
Schäuble responds to latest #Tsipras letter: "Accepting something, rejecting something – doesn't exist anymore," as prog already expired.
— Open Europe (@OpenEurope) July 1, 2015
This week, Tsipras announced a referendum to allow each and every Greek citizen to vote on whether to accept the bailout conditions from the EU/IMF.
A “no” vote basically ends all discussions with the EU, ECB and IMF and Greece is on its own. Grexit, or the exit of Greece from the EU, is a foregone conclusion.
A “yes” vote means Tsipras gives in to 100% of the conditions of the bailout, implements the required austerity measures and gets billions to fund his broken financial system. It also signals a lack of confidence in his strategy, tactics and ability to lead the government.
A referendum is the purest form of democracy – the people directly voting on policy. But, pure democracy has a problem: mob rule. Mob-rule means that emotions and hysteria take the place of sound leadership. It is the reason that America was founded as a representative Republic, not a democracy. Tsipras may be about to discover that failing at his own hand.
Polls are increasingly turning against the anti-austerity government. As Greeks get a taste of Tsipras brand of economic justice, they are finding out that it doesn’t sound anything like he promised. Empty ATMs, pensioners not getting paid, goods becoming unavailable, vendors only accepting cash and soon – economic collapse.
Greek’s prime minister is simply trying to instill enough faith in his government to survive the referendum he demanded. He needs a “no” to claim victory – although for only a short time.
In a comment to parliament this morning, Tsipras tried to convince the nation that he’s not capitulating. “It is true that we are seeking an honest compromise with our lenders but don’t expect an unconditional agreement from us.”
European leaders have already notified Greece’s prime minister that if he wants to restart the conversation, he needs to cancel this Sunday’s referendum. Otherwise, they’ll have to wait for the result to see where the purely democratic vote takes the small nation.
Continuing the WTH (“what the heck” happened) series, this week we look at Obama’s Iran capitulation, a rocket explodes,Greece implodes, single payer closer than thought, gay marriage and concealed carry, Obamacare subsidies, flags of our forefathers, Jindal enters the race and more!
Shockingly, Obama isn’t serious about the Iran nuclear talks. Today, reports surfaced that Obama has given into Iran’s demands and that the deal can progress even if the Iranians never submit to inspections. Trust, but verify is now trust, and hope. But, we’ve been there already.
Unless you’re in the Foreign Exchange (forex or FX) investing community, you may not be paying attention to the collapse of Greek society. Capital controls, bank runs, money flight, you name it. Greece is in trouble. But have you evaluated America’s similar situation?
Next up, Elon Musk’s SpaceX project has suffered its first cargo loss after several failures in recent months. The video shows a perfect flight, until about the 2:30 mark. It goes so terribly wrong so very fast.
Many predicted that Obamacare was not intended to save anyone money on healthcare, but instead be a bridge to a single-payer system. Well, voila, recent merger propositions and changes in the marketplace are making it happen – whether you’ve noticed or not.
How in the heck are gay marriage and concealed carry linked? Thank the Supreme Court! The decision on Obergefell v. Hodges said that same-sex couples have a constitutionally protected right to marry and that all states must recognize that right. Some in the pro-gun community are saying that the reasoning used to protect gays should extend to those that bear arms in a concealed manner. In other news, now that gay marriage is law of the land, the ACLU has decided that it no longer supports religious freedom. #eyeroll
The Supreme Court had more great news – Obamacare’s subsidies are legal even if someone gets insurance from the federal exchange. Somehow the justices got confused by the “natural wording” of the law. Now, we all get to pay for something the law was not intended to fund. Greece anyone?
In the wake of the South Carolina shooting by captured psycho Dylann Roof, liberal groups have decided that the Battle Flag of the Northern Virginia Army is to blame. Charlie Daniels makes an intelligent and reasoned argument why they are doing nothing more than making a straw man argument against a piece of cloth. Some are even pointing at the Duke’s of Hazard’s “General Lee” as a new symbol of hate. yeah, a 1969 Dodge Charger with a Virginian Battle Flag painted on it signifies Jim Crow laws and segregation … or something.
Finally, Lousiana Governor Bobby Jindal has entered the race for the GOP nomination for president. A pointedly Christian announcement speech made it clear that he’s ready for prime-time, but is he ready for mainstream?
The PIGS (Portugal, Ireland, Greece and Spain) have been under scrutiny for months due to their unsupportable mountains of debt in comparison to their incomes – on Monday, Greece may be the first to go down.
Despite Greek Priminister Tsipras’ plea for calm in this video:
Greeks lined up to drain ATMs of every ounce of cash they contained.
Reports say that Greece will not open banks on Monday at a minimum and it may take days or longer to get them open due to lack of cash.
Greece said it would temporarily close banks on Monday in a bid to prevent its banking system from collapsing after the European Central Bank moved to cap the amount of emergency loans it provides for the country’s cash-strapped lenders.
The ECB said earlier on Sunday that it wouldn’t increase the lifeline of emergency liquidity that has been sustaining Greece’s banks, even as nervous Greek depositors appeared to withdraw their money at a greater pace over the weekend.
Zerohedge is reporting that the Greek stock market may not open Monday. Without capital inflows, why would they?
This entire event is due to debt. Just debt. Nothing more than debt. It’s what happens when a nation offers services it cannot possibly pay fore and as Margaret Thatcher put it “eventually runs out of other people’s money.”
The United States should watch what happens to Greece closely as America’s debt-to-GDP is even worse than it looks. Remember that the government decided to include R&D and pension write-downs in GDP just recently. That only makes GDP look better while the government hides how bad American debt really is.
It’s not the real thing anymore. The country of Greece, facing continuing problems learned today that Coca Cola Hellenic will leaving them. This news is particularly devastating as unemployment in Greece jumped over 25% this week.
Coca Cola Hellenic announced it will be shifting its trade listings from Athens to London and moving headquarters to Switzerland. As the largest company in Greece this loss is a further blow to the sinking Greek economy.
From the Economic Times: CCH’s announcement coincided with data that showed Greek unemployment climbing for a 35th consecutive month in July to 25.1 percent from a revised 24.8 percent in June. The jobless rate has more than tripled since the country’s now five-year-old recession began.
Fifty-four percent of Greeks under 24 continue to be jobless fueling more riots as the country struggles to regain its footing.
A Muslim cleric introduced Egypt’s new President, the Muslim Brotherhood’s Mohamed Morsi by saying: Our Capital ‘shall be Jerusalem, Allah willing’. For his part, Morsi pronounced: Abroad women are ‘free,’ but not here.
These types of proclamations do not bode well for Egyptian minorities, which includes members of the Coptic Church community, who make up about 10 per cent of Egypt’s population. Despite Morsi campaign spokesman Gehad el-Haddad’s assurances that Morsi would work to be “president for all Egyptians”, Coptics worry how Morsi’s election might result in a restriction of their personal freedoms.
Regardless of joyous proclamations by Mosi supporters, the newly elected president did not receive enough support to consider his election a mandate. Ahmed Shafik, former prime minister under Hosni Mubarak, received 12.3 million. Morsi picked up 13.2 million votes, giving him about 51 per cent of the vote. A vote as close as this portrays the presence of a divided electorate.
New Democracy (ND) the conservative party edged out the leftist Syriza party, achieving victory in Greece’s parliamentary elections. The winning margin for ND was less than 3 points. In Greece, as in Egypt, the vote was so close it indicates the presence of a divided people.
In France, Socialists won the National Assembly. Final results showed the Socialist Party won 280 seats. Two closely allied parties gained 34 seats, giving the Socialist bloc 314 seats. The leftist Green Party won 17 seats and the far-left Left Front collected 10. The Socialist Party now enjoys a lock on French politics.
Newly elected President Hollande’s domestic mandate will allow him push back on budget cuts being demanded by Germany. Greece and other indebted countries say budget cuts are deepening the Eurozone’s recession by suffocating growth. Clearly, there is division within the European Union.
Meanwhile in the United States, largely ignoring the historical lessons of American economic success, obama continues to call for bottom up economics. This not so newly minted campaign tact is but one element of his overall class warfare election strategy.
Desperate for cash to combat GOP candidate Mitt Romney’s growing money juggernaut, obama’s campaign is asking his supporters to tell wedding guests to donate to his campaign rather than give gifts to the newlyweds. The campaign is also turning to overseas American ex-patriots, seeking cash.
There is a new strategy to inflate the economy on obama’s behalf by Ben Bernanke at the Federal Reserve Bank. obama and other Democrats are coordinating attacks on Romney with the American media, which completely flies in the face of a free press dutifully reporting facts to the electorate so as to facilitate voters being equipped with the knowledge necessary to make informed political decisions.
Bill Maher, $1 million obama campaign donor and known airwaves extremist, continued to spew hollow, hateful, leftist fringe rhetoric by spouting: Conservatism is not an ideology, ‘It’s just about being a dick’. Joy Behar, one of Maher’s many fellow “progressive” extremists who populate Hollywood, felt compelled to chime in with “Gay Conservatives only think with their penises”.
Whatever happened to the angst, dismay and regret over harsh partisan rhetoric, so in vogue among “progressives” in the aftermath of the Gabby Gifford shooting?
In light of the Tea Party led midterm election landslide in 2010 and the Tea Party fed Scott Walker victory in Wisconsin’s recall election, it is quite appropriate to observe that, like much of the world, the population of United States is divided.
The division in America is distinctly between those who wish to “fundamentally transform the United States of America” and those who wish to restore the country to its Constitutional roots.
The Constitution established a small government featuring division of powers, protection of individual liberties and fostering a free market economic system uninhibited by the shackles of an overbearing central government. Since the early 20th Century “progressive” politicians have incrementally increased prohibitive regulatory controls while intruding upon individual liberties by imposing “progressive” taxation used to fuel the growth of big government ”entitlement” programs and bloated federal bureaucracies that far exceed the powers delineated to the federal government by the United States Constitution.
As they participate in Chapter 2012 of the age old power struggle between tyranny and freedom, the choice is clear for American voters. To further enable unconstitutional usurpation of powers by disciples of Marx and Alinsky wishing to dismantle and eliminate the fundamental political, and socioeconomic structure of the United States, or to elect representatives who will insist upon restoring the Constitutional Republic envisioned by George Washington, Thomas Jefferson, James Madison, Benjamin Franklin and America’s founding patriots.
Israel issued warnings over security problems with Egypt. Militants from the Sinai Peninsula crossed over into southern Israel Monday and fired on a border security fence, killing one Israeli. The IDF moved tanks and other armed forces to the Israel-Egypt border in response to the attack. Egypt is on the offensive against Israel.
Egypt’s presidential election results lean towards victory for Mohammed Morsi, the radical Islamist Muslim Brotherhood candidate. Thanks at least in part to vocal White House support for the “Arab Spring”, which ushered the Muslim Brotherhood to Egypt’s presidency, Egypt is now likely to be more inclined towards acting offensively towards Israel.
Russia’s General Staff announced Russian Black Sea fleet warships may head for Syria, saying: “The Mediterranean Sea is a zone of the Black Sea Fleet responsibility. Hence, warships may go there in the case it is necessary to protect the Russian logistics base in Tartous, Syria”. Several warships, including large landing ships are ready for deployment. Russia supports Syria, an active agent for radical Ismanists in Iran, who also just happen to support the Muslim Brotherhood in Egypt. Russia exerts new influence in the Middle East while Russia’s President Vladimir Putin plays the White House like a fiddle.
The Euro survived over the weekend after a close call in Greek elections. Early market euphoria on Monday diminished when persistent uncertainty over the situation in Spain, Italy and other eurozone countries resurfaced. Despite Greece’s election result easing fears that the single currency will disintegrate, indications that Greece will run out of money in mid-July stalled initial market optimism. Multiple countries in Europe are now in economic decline after decades of following Socialist policies.
In France, Socialist President Francois Hollande was given a mandate to follow through with his tax-and-spend agenda when France’s Socialists won control of parliament on Sunday. Hollande now has the majority he needs to combat France’s debt crisis by following the very formula that created a debt crisis in France, Greece, Spain, Italy and the rest of the eurozone.
Meanwhile, in an address to the UN sustainability conference in Rio, Great Britain’s Prince Charles issued warnings about climate change. In a pre-recorded speech the Prince declared: “Catastrophic consequences of carrying on with ‘business-as-usual’ are bearing down on us faster than we think, already dragging many millions more people into poverty and dangerously weakening global food, water and energy security for the future”. The Prince then went on to say: “We do not have nearly enough knowledge on which to base the decisions that will be the best for the long term.” So, which is it? Either “we do not have nearly enough knowledge on which to base the decisions that will be the best for the long term” or we know enough to say “many millions more people” have to worry about poverty, food, water and energy security. You can’t have it both ways, “your majesty”.
In America, Al Gore cashed in on the hysteria he and his fellow climate change propagandists created when New York city Comptroller John Liu OK’d a $16.56 million contract with Generation Investment Management, the former vice president’s environmentally friendly investment firm. Generation Investment Management will help manage New York City pension funds to the tune of hundreds of millions of dollars. Given the track record of green energy capital investments, New York City pension funds are going to be another candidate for a taxpayer funded federal bailout. As with any investment management company, Generation Investment Management will earn their fees no matter what happens to the funds they invest. Apparently it pays to be a global warming alarmist. Perhaps Prince Charles fears the British Monarchy faces pending austerity measures and is just trying to get on the global warming gravy train.
Over the past three and a half years while current world events were taking shape, the White House has been spending money it does not have ala Socialist Europe. All the while enacting another big government socialist “entitlement” program to “nudge” Americans towards European style government dependency.
They championed bureaucratic violations of the free exercise of religion, using the presidential bully pulpit and complicit media lapdogs to convince uninformed voters that it was really a Republican attack on women’s healthcare.
Drones and unmanned airplanes began spying on private property in America’s heartland to ensure American Citizens are complicit with stifling new draconian EPA regulations. An EPA that is now attempting to redefine ditches as bodies of water in order to grant itself additional regulatory power.
Exceeding the Oval Office’s Constitutional and statutory authority to give work visas to a hand picked group of illegal aliens was deemed more important than creating a business friendly, jobs creating economic environment for American Citizens and legal immigrants.
This coming from an administration that pledged in 2008 that it would cut the federal deficit in half by the end of its first term. Instead, the size of the federal government, federal spending and the deficit are all at record high levels. The U.S. national debt has increased by over $5 trillion in less than four years, and after surviving WWI, the Great Depression, WWII, the economic disaster that was Jimmy Carter’s presidency and the global financial crash of 2008, the United States of America’s credit rating has been downgraded.
Insinuating his name into the online biographies of former Presidents and releasing a photo-montage of himself in his “private moments” became priorities, as did attending a record number of fund raising events and playing 100 rounds (and counting) of golf. Never mind that David Axelrod, his 2012 re-election campaign chief, called former President George W. Bush “out of touch” for playing golf while the country struggled with a bad economy.
That’s what his deep-pocketed out of touch with reality millionaire and billionaire Hollywood elite friends expect from their “cool” friend in the White House. To be truly “cool”, one must be seen as being above it all.
America and the world will be better off once the current Chief Executive of the United States begins spending his days playing golf full time as a former government employee.
God Save the Queen.
Spain’s economy is under such duress that the country is prepared to request a 40 billion Euro cash injection from the Euro zone this weekend. The request comes after Fitch Ratings reduced Spain’s credit by three notches on Thursday. This move will make Spain the fourth country to need a bailout since the European debt crisis began. The Spanish banking sector’s weakness and contagion from Greece’s debt crisis have put Spain’s economy in such a precarious position that the International Monetary Fund reported a need for 90 billion Euros to entirely cleanse Spain’s banking sector.
Much has been said about the problems of Greece and how those problems will impact the Eurozone. However, the size of Spain’s economy is over four times that of Greece’s. Spain’s 11.5% share of the Euro zone’s GDP has a far greater impact on European finances than does Greece’s 2.5%.
What the world is witnessing is the collapse of the European socialist economic model; the failure of government dependency. As more people become dependent on government, fewer people are left to pay the cost.
But it goes beyond simply spending other people’s money. The socialist entitlement mentality makes people less productive. As more and more people become less and less productive, an ever-smaller minority of productive people become responsible for shouldering the burdens of a completely lopsided, unfair system. When a tiny number of productive people are required to deprive themselves of the fruits of their own labor in order to finance the lives of the remaining population, where is the incentive for them to produce?
If that is not enough, reliance on a big government nanny state makes people less responsible for themselves, less self-reliant. That is the antithesis of the American way of life.
When European settlers colonized the New World, they left the security of Europe behind in favor of North America’s unknown wilderness. They left homes, family, friends and country behind in exchange for an opportunity to build better lives for themselves. They were freed from the constraints of Europe’s restrictive class system. They openly rejected the European way by leaving.
When the British Monarchy deemed to re-impose that system on Britain’s thirteen North American Colonies, that attempt was adamantly and thoroughly rejected. Hence the Declaration of Independence, the American Revolution and the founding of the United States of America.
When America’s pioneers ventured west to traverse the Great Plains and cross the Rocky Mountains they were completely self reliant. They took care of themselves. They didn’t have, want, or need a big nanny state government to take care of them from cradle to grave.
This is the stuff of which America is made.
Because it gives them control over “the masses”, “progressives” have long sought to fashion America after the European socialist model, to make Americans more government dependent. There was FDR with the New Deal and Social Security. LBJ gave America the Great Society, Welfare Programs and Medicare. Now obama forces upon an unwilling America the crown jewel of European style socialism; government controlled medicine.
Every time obama holds a press conference he sounds exactly the way he has always sounded: he inherited the worst economic crisis since the Great Depression. his policies are working, but need more time. Congress needs to quit stalling and enact more of his policies. The private sector is doing fine but to grow the economy government needs to spend more money to create more government jobs at the state and local level.
Coming as it does on the heels of the Wisconsin recall election, where such policies were rejected, this shows precisely how out of touch obama is with the private sector, how the economy works, American history and the nature of America’s people…and with reality.
Europe won’t work in America. Neither will an out of touch narcissist who insists on imposing a long rejected European system upon America.
obama, you are fired.
The year 2012 is rapidly becoming a year of historic elections.
Greece held one recently where no single Party won enough of the vote to form a government. In ensuing weeks, no progress was made by the nation’s Parties while negotiating to form a coalition. This potentially could lead to a chaotic situation – not just for Greece. The eventual outcome might lead to that country’s exit from the Eurozone. Fragmentation or an unraveling of the Eurozone would have enormous impact on Europe as well as a sagging global economy.
France elected a Socialist president who plans to reopen the spigot of government largess. What’s noteworthy about the French election is that Hollande’s victory was due in large part to a boost from Islamist voters. Having a presidential election within one of the European Union’s largest economic powers decided by voters whose cultural background includes centuries of antagonism and hostility towards Europe should be quite alarming to all of western civilization.
Now Egypt’s presidential election is apparently headed for a runoff between Mohammed Mursi, the Muslim Brotherhood’s candidate and former Prime Minister Ahmed Shafiq. The Egyptian election, declared by world leaders as an historic first, could well be a harbinger for the Middle East, Europe and the world
Egypt was the first Arab country to officially recognize Israel and sign a peace agreement in 1979. The Muslim Brotherhood has since called for an end to the Egypt-Israeli peace treaty. The strongly conservative Islamic movement wants Egypt to move away from secularism and be ruled by the Quran. That does not bode well for western civilization. If an Egyptian government dominated by the Muslim Brotherhood ends the Egypt-Israeli peace treaty, the front line of western civilization will be in enormous peril. Not only is Israel the only true democracy in the Middle East, it’s the sole nation in the region where religious tolerance is practiced.
In America, November’s election will also hold historical significance. Will voters in the United States re-elect an incumbent who sat silently by while a tyrannical, Quran ruled theocracy in Iran slaughtered it’s own citizens in cold blood for disputing election results? Will voters re-elect the candidate who openly supported the Arab Spring revolts that led directly to the ascension of the Muslim Brotherhood in Egypt? Will voters choose to retain someone who so lusts to bask in glory for “getting” Osama bin Laden that his administration granted access to highly restricted national security information to Hollywood producers to make a movie glorifying “his” achievement? A movie scheduled for release right before the election? Will the United States choose to keep those in power that leaked to Pakistan the name of the doctor who helped find bin Laden, resulting in his being sentenced to decades in prison by what’s at best a fair weather ally? Will voters elect to continue an administration that insists on calling the war on terror “an overseas contingency operation”? That continues calling terrorist attacks “man caused disasters”? That’s own Secretary of State officially refers to Osama bin Laden as a murder, instead of a terrorist?
The current White House occupant violated the Constitution by accepting the position of Chaimanship of the UN Security Council. He reduced NATO security by canceling missile defense shield installations in Europe, supported a pro-Chavez candidate in Honduras and violated the Law by engaging the United States military in overseas hostilities without the consent of Congress. He’s abandoned enforcing the security of American borders while transferred billions of taxpayer dollars to enemies of the United States through Foreign Aid. He’s snubbed Britain, one of America’s traditional allies repeatedly, and treated the duly elected Prime Minister of Israel the way a member of the KKK would treat a Negro.
Over the past century, especially post WWII, America has been leader of the free world. Having originated from and being comprised primarily of former European colonies, America is naturally the leader of the western world. By extension, that makes the President of the United States the leader of western civilization. Will U.S. voters re-elect someone whose own actions indicate open hostility towards western civilization, or elect someone who will defend the west?
History shows Americans will vote to defend the west. What “progressives” will choose is largely foretold by the actions already taken by their choice in 2008 for the Office of the Presidency.
The November 2012 U.S. elections will indeed be historic. Not just for Americans.
European business activity fell in May, nearing a 35-month low, according to a survey by Markit. Its survey, based on European manufacturing and service sectors, fell to 45.9. The euro fell to a 22-month low against the dollar in response. Disagreement at Wednesday’s summit between European leaders about how to solve the dilemma did nothing to boost confidence.
Chris Williamson, chief economist for Markit, said research indicated the downturn had “gathered further momentum in May. The survey is broadly consistent with gross domestic product falling by at least 0.5% across the region in the second quarter, as an increasingly steep downturn in the periphery infects both France and Germany,”
Economic reports show that concerns over Greece are having a broader economic impact than originally expected. “It clearly indicates that the evaporating sentiment that we have seen in recent weeks, as the Greece crisis has intensified, is having a big impact on the economy” said Peter Dixon from Commerzbank.
Socialist President Hollande wants France to increase spending; a plan Chancellor Angela Merkel says Germany will oppose until there is more budget discipline across Europe.
Facing the reality that sovereign nations will retain and defend their own national views, interests and sovereignty is bad news for Globalists. New World Order proponents saw Establishment of the European Union and eurozone as an important step in the march towards their grand vision of One World Government.
Theorists within the “progressive” movement have envisioned such an eventuality since the early Twentieth Century. Woodrow Wilson, after winning re-election in 1916 on the campaign slogan: “He Kept Us Out Of War”, entered WWI in order to involve the United States in world affairs, thereby creating justification for his desire to establish the League of Nations.
While in Paris after the war, Wilson engaged in creation of the League of Nations while also helping shape the Treaty of Versailles. The Versailles Treaty resulted in economic devastation within Germany, leading to the rise of Adolph Hitler’s Nazi Germany. In 1919, Wilson and a Republican controlled Senate fought over giving the League of Nations power to force the U.S. into a war, a clear violation of Article One, Section Eight, Clause Ten of the United States Constitution, which assigns Power to declare War to the U.S. Congress. To the credit of Republicans in the Senate, they stood for U.S. sovereignty, rejecting the Treaty of Versailles, and voting against U.S. entry into the League of Nations.
Although the League of Nations proved completely impotent in the prevention of WWII, that didn’t deter “progressive” Globalists from forming the United Nations. The original aim of the UN was to keep peace throughout the world, develop friendly relations between nations, to help eliminate poverty, disease and illiteracy, stop environmental destruction and encourage respect for rights and freedoms. These aims were based on, among other principles, that all member states would have sovereign equality and that the UN was not to interfere in the domestic affairs of any country.
Pending before the United States Senate today are threats to U.S. national sovereignty:
The Convention on Biological Diversity, the Law of the Sea treaty, the International Labor Organization Convention No. 111, the Inter-American Convention against the Illicit Manufacturing of and Trafficking in Firearms, Ammunition, Explosives, and other Related Materials, the Stockholm Convention on Persistent Organic Pollutants.
Additionally, there’s Agenda 21, which dictates action to be taken globally, nationally, and locally in every area where humans directly affect the environment. If the Agenda 21 agenda doesn’t clearly describe the UN interfering in America’s domestic affairs, what would? The Law of the Sea treaty, if ratified, would grant the UN mineral rights within U.S. territorial waters. If that’s not a violation of national sovereignty, what is? Were the firearms treaty to be ratified, the UN would then have control over arms within the United States, an open violation of the Second Amendment to the U.S. Constitution.
It’s time for Americans to stand up for national sovereignty and kiss the UN, Globalists and One World Government “progressives” goodbye. The best way to accomplish this is to do what Americans did in 1920 after Woodrow Wilson’s early attempt to violation American sovereignty. Elect Republicans in a landslide.
For weeks, Greek citizens and companies have been pulling money out of Greek banks at alarming rates as fears rise that the island nation will exit the Euro in a chaotic fashion. This week, Spanish banks are seeing record withdrawals signaling that Greece’s failing economy is having disastrous effects in other EU nations.
It has been long expected that Greece would exit the Euro with disastrous effects on other financially weak EU member nations. The PIGS (Portugal, Ireland, Greece and Spain) have banking systems that are on the verge of a liquidity crisis and need only a nudge to go into default. It would appear they will be getting a shove from Greece that will cascade throughout the EU.
The partially-nationalized Spanish bank Bankia has seen its shares lose more than 25% of their value on a report that customers had withdrawn more than a billion Euros in a single week. This run on Spanish banks is an echo of the bank run going on Greece where customers withdrew more than $900 million on Monday and another $600 million on Tuesday. Experts say that even though some level of withdrawals has been occurring for years, the Greek and Spanish bank runs of late are indicative of panic.
In an effort to slow the outflow of cash, Spanish authorities have announced that customer’s deposits are safe and that there is no “run on the bank”. But, why wouldn’t there be?
Greece has failed to enact austerity measures required to receive additional bailouts from the EU. Greek voters chose socialist candidates that promised to end austerity and that the EU would come to their rescue anyway – something that is looking much less likely. This, along with heavy depositor withdrawals, leaves Greek banks without capital and unable to operate. Within days or weeks, the system will collapse if the EU does not dump billions into the tiny island nation.
Spanish banks are in similar trouble. Bankia, now taken over by the government, is swimming in highly-toxic assets after Spain’s real-estate market crashed in 2007-08. Although the government took over the bank, the asset bomb is so large that a country with as much sovereign debt as Spain cannot manage to bail it out. Considering the nation’s debt crisis, Spain has no choice but to borrow money at ever-increasing interest rates.
With a report coming out today that American manufacturing activity suffered a startling reversal, the pressure on the global economy may be that one straw for the oft mentioned camel.
Greece is set to fail, Spain is close behind and Italy will likely be the next big story as their citizens and companies accelerate withdrawals and expatriation of the money ahead of a euro crash.
Alexis Tsipras, head of Greece’s Radical Left Coalition, declared that country’s commitment to austerity is over because voters have rejected those deals. “There is no way we will sneak back in again what the Greek people threw out”, Tsipras said. “This is an historic moment for the Left and the popular movement and a great responsibility for me,” he added, saying he would try to form a left-wing government that will “end the agreements of subservience” with Greece’s bailout creditors. “The pro-bail-out parties no longer have a majority in parliament to vote in destructive measures for the Greek people,” he added. “This is a very important victory for our society.”
In France, Socialist François Hollande said he will move quickly to implement traditionally Socialist tax-and-spend programs, which call for boosting taxes on the rich, increasing state spending, raising the minimum wage, hiring some 60,000 teachers and lowering the retirement age from 62 to 60.
Meanwhile, in California, Gov. Jerry Brown is calling for more social services cuts to help eliminate $15.7 billion deficit. Brown revealed a revised budget that calls for higher income and sales taxes to avoid deep cuts to K-12 and higher education. Rather than canceling an ill advised bullet train to nowhere that will cost the state at least $6 billion to build, Gov. Brown chose to scare Californians into voting for tax hikes by threatening cuts to education.
What do these three states have in common? They’re either already broke or will be soon due to government spending money it doesn’t have on socialist welfare programs, characterized within institutionalized “progressive” leftist circles as “entitlements”.
Greece, where the population is already suffering from 20% unemployment, describes austerity measures they’re expected to follow in order to receive additional bailout money from the EU as “barbaric”. With an economy so weak that it can’t employ one fifth of its own citizens, where does Greece expect to find the money necessary to become financially solvent?
France, if it enacts Hollande’s pledge to mimic Greece’s socialist welfare spending, will soon experience similar fiscal troubles. By following Greece down the road to fiscal insolvency, France will ensure that Germany stands alone in continental Europe as the sole, fiscally responsible, productive society.
California has been on a similar, European style path for decades, which is why California is closer to a fiscal cliff that most of the United States. The legislature in California continuously acts on the belief that it can spend the state into prosperity. California has taxed the rich, spent money on socialist programs, established sanctuary cities that fund the lives of millions of illegal aliens and spent huge amounts of money on education. Much of the cost of that education goes for the children of unlawful residents.
On the list of most business friendly states, California is currently ranked fiftieth. California has held that rank for the last eight years. Meanwhile, businesses are fleeing California in droves, seeking residence in states like Texas, where tax and regulatory policies are friendlier to business. The California tax base is fleeing along with those businesses.
In Sacramento California, government employee unions are running the show. Not only do “progressive” politicians vote overvalued salaries and perks for themselves, they also obediently kowtow to union demands for ever escalating salaries, benefits and pensions. This occurs because those politicians depend on union money, muscle and turnout for their own re-election. Rather than choosing to run the state responsibly, self interested career politicians continuously submit to demands from “civil servants” who are too often far from civil. The looming, unfunded costs of union benefits and pensions are among the largest liabilities contributing to the state’s $15.7 billion deficit.
These are precisely the results all Americans can expect for future generations if the cradle to grave mentality continues to be legislated by “progressive” me first career politicians. These results are predictable if the cradle to grave lie remains propagandized in schools, promoted in television programs, glorified in the movies and dutifully drubbed into the minds of sound bite voters by the news media.
If America is to be saved, these combined forces of the institutionalized “progressive” left must be stopped; starting with voting “progressive” politicians out of office. That’s the first order of business. When a patient arrives in an emergency room, stopping the bleeding receives top priority. The detailed surgery needed to excise the root problem, while still necessary, comes later. It took years for “progressives” to infiltrate and infect academia, Hollywood, the media and political class with their cancerous agenda. And while delay is not an option, it will take years to repair those institutions.
Unless that happens, today’s Americans will spend their declining years describing to young people who’ll listen, how the United States was once the place where the world’s people came for otherwise unavailable opportunity. How the land of the free and the home of the brave was more than just a line in a song.
In America, for an increasingly limited amount of time, cradle to grave suicide is still an option.
The austerity express may have already left the station in Greece but the pain train bringing massive fiscal cutbacks arrived in even greater force in Spain this past week. Unsurprisingly, austerity is just about as popular in Spain as it was in Greece – inciting violence, riots and general strikes in Barcelona and other major Spanish cities last Thursday. Protests erupted just before the announcement in Madrid of the biggest public sector cutbacks since Franco, Spain’s erstwhile right wing caudillo.
The Spanish government introduced a mix of spending cuts and new taxes amounting to roughly 27 billion euros in public sector cuts. The Spanish government plans to raise corporate tax rates, which will augment higher income and capital gains tax rates already implemented in December. Civil servants will see pay increases stop and consumers will pay higher fees to use electricity and gas. To be sure these are tough pills to swallow, especially in a weak Spanish economy suffering unemployment levels above 20% – the highest in the eurozone.
Tensions flared Thursday between the estimated 800 thousand protesters and riot police, causing injuries, detentions, and burned trash containers. Despite these disruptions Spanish officials have remained steadfast in their commitment to austerity.
Economy Minister Luis de Guindos, commenting from Copenhagen, said “Spain is going to stop being a problem, especially for the Spanish people but also for the European Union.” The new conservative government, less than 100 days old, has put concerns over the debt at the top of their priority list.
De Guindos and his government’s main concern is averting a financial disaster. The danger of rising interest rates on government bonds threatens total economic collapse. The bond yield on ten year Spanish bonds was at 5.4% last week though it was only 4.96% just a month ago (the US is about 2.2%). If investor confidence is shaky borrowing costs soar, something already witnessed in Greece where rates on government bonds exploded. When borrowing costs go up financing becomes very difficult if not impossible, particularly in times of sluggish economic growth and falling revenues.
But Spain’s situation, like that of Greece, is soon to be repeated throughout the Eurozone. Like it or not the austerity express is scheduled for trips to Italy, Portugal, Ireland, and even France and Germany. Even said, the eurocrats continue to discuss still more bailout funds with plans to combine ESFS (European Financial Stability Facility) and ESM (European Stability Mechanism) funds while others are pushing for greater IMF lending capacity all in the hopes of strengthening the euro “firewall.”
Meanwhile, across the Atlantic conservative lawmakers in Washington continue to fail to make any headway with major budget reform. House Republicans like Representative Paul Ryan and Congressman Jim Jordan of the Republican Study Committee have put forth viable proposals that could prevent a financial crisis in America, but none of them have any chance of passing.
Plus, as long as prominent Keynesian economists like Paul Krugman and Larry Summers continue to demote budget problems as “long term,” many Americans will remain convinced that Washington’s fiscal problems are remote from what is happening in Europe – an utter fallacy.
Ironically, instability in the Eurozone has been a source of strength for America’s bond markets thus far, making them a safe haven for investors fleeing Europe. However, that blessing won’t last long. What very few people in the Eurozone and in the US realize is that the game is over, the markets have already decided. As such the developed countries of the world face a very difficult choice: painful austerity now or financial catastrophe later.
Cameron Macgregor is a USNA grad and former Naval officer. He is writing his first book America Resurrected.
The E/U plutocracy also known as “The Troika” has approved a second round of bailouts for Greece early Tuesday in Brussels. The details include supposedly bringing down the Greek debt to GDP ratio to 120.5% by the year 2020 by asking private creditors to take substantially bigger losses on their Greek debt holdings in the form of a 53.5% loss on the face value of their bonds. Greece is also given a break on the interest they were required to pay on the first round of bailouts, as euro-zone countries agreed to lower the interest rates to 1.5%, down from 2 to 3 points currently, in a move the E/U says will cut the Greek debt load and thus lower the need for future bailouts. Many European economists reject the seemingly bloated projections about the latest bailout package, and believe that Greece will in fact require another bailout, and that these projections will fall far short of the stated goal of reducing Greece’s debt to GDP ratio to 120.5 % by 2020.
From The Guardian we see the following statements concerning the viability of the Greek bailout package 2.0:
Michael Hewson, senior market analyst at CMC Markets: “After hours of tortuous negotiations Greece was finally granted its second bailout in the early hours of this morning and thus now will be able to meet the €14.5bn bond payment in March, and avert a messy default. It has come at a cost though, after an IMF/Troika report laid bare the problems facing the Greek economy, and it now rests on whether markets think the programme is even remotely credible, or achievable for that matter, as Greece seeks to rebuild its broken economy. While the package may buy more time it remains highly debatable whether it will achieve the measures it is designed to, given the magnitude of the problems in the country.”
Once again the appearance of reaching a deal to solve Greece’s debt-load problems is seen by many as just another episode of “kicking the can down the road” instead of any real solutions being enacted. While the latest Greek bailouts do buy the E/U more time to try to help Greece dig out from under decades of big government debt-spending, some economists believe this bailout package will fall far short of it’s stated projections.
Sony Kapoor, managing director of economic think-tank Re-Define: “Based on what we have seen today, Greece will almost certainly need another bailout. The Troika have had to do some arithmetic gymnastics in order to make the numbers add up but their optimistic assumptions are unlikely to hold. The mechanism for the contribution of profits on central bank holdings of Greek bonds is unnecessarily complicated and creates additional uncertainty and future potential disagreements. If haircuts had been imposed to private holdings of Greek bonds when debt restructuring was first discussed in 2010, the situation for Greece would undoubtedly have looked significantly better now. One can’t help but get the feeling that everyone involved is going through the motions, doing what they feel they have to do, rather than what they want to or what they believe in. Confidence in the success of what has been agreed is rather low.”
Of course the “strictly confidential” debt sustainability report drawn up by the E/U also paints a completely different picture of whether or not the latest bailout package will actually lower the Greek debt to GDP ratio, as Gary Jenkins of Swordfish Research exposes: “The Troika has agreed to lower the bailout loan rates, the private sector bondholders have agreed to take a larger write-down than was previously agreed (53.5% of face value rather than 50%) and the ECB has agreed to give up its profits in order to reduce the debt/GDP figure to 120.5% by 2020. The figures are the EU’s baseline numbers but according to a ‘strictly confidential’ debt sustainability report, under a slightly more pessimistic ‘tailored downside scenario’ debt/GDP will only fall to 160% by 2020 and Greece would need considerably more bailout cash. Obviously other risks are that the Greek people turn against the austerity measures and that at some stage the Greek politicians decide that a default is the only option.”
Notably absent from the recent “successful Greek bailout package 2.0,” announcements are just what added austerity measures will be forced onto the people of Greece, such as further tax increases, cuts to public sector workers who have been taught that they have a “right” to unsustainable salary and benefits packages, and any viable proposed solutions to Greece’s current 20%+ unemployment rate problem. Much to the chagrin of the E/U plutocracy media managers, this “deal” appears to do nothing more than shuffle the Greek debt around in a never-ending charade of protectionism against any E/U country actually ponying up the cash needed to move Greece’s economy forward. While the UN ramps up it’s call for global income equality and more power to impose worldwide wealth redistribution, the Globalists at the UN were eerily silent about demanding help for the poor and middle Greek citizens that are being crushed under the weight of the E/U plotocrat’s austerity measures. Apparently their “hypocrisy knows no bounds’ as the late Doc Holliday once proclaimed after gunning down Johnny Ringo while wearing a sherrif’s badge in the all-time great movie Tombstone.
For a more thorough understanding of what caused the Greek debt crisis please see, http://conservativedailynews.com/2011/11/greek-debt-crisis-steeped-in-social-mania-style-hope-and-change-politics/.
Well he’s not well known in America, except for political geeks like me, but over in Europe Nigel Farage is known as a political firebrand who supports the democratic leadership of European nation states and vehemently opposes a one world order. His speeches are viral on the Internet and this week he delivered another sizzler to the European Parliament.
U.K Representative to the European Union Nigel Farage took to the floor to criticize the violence in Greece over the weekend and blasts the non-elected, politically appointed technocrat leader of the new Greek government over what continues to be a meltdown of the Greek economy.
See the video below and a transcript of the speech below.
Farage’s comments were directed at un-elected technocratic Prime Minister of Greece Lucas Papademos. In his speech, Farage criticizes the way Papademos was appointed, without the will of the Greeks and states that in the current economic turmoil now affecting the Greek people, that he too would be protesting in the streets.
Papademos was appointed to be the Greek Prime Minister in November of last year after the earlier Prime Minister stepped down under pressure from the E.U. Before his appointment, Papademos was the V.P. of the European Central Bank, and before that the Governor of the Bank of Greece.
Farage says, “Well Commissioner, you picked the right man. Puppet Papademos is in place and as Athens caught fire on Sunday night he rather took my breath away. He said, ‘Violence and destruction have no place in a democratic country.’
“What democratic country!?”
He’s not even a democratically elected prime minister. He’s been appointed by you guys. Greece is not run through democracy now, it is run through a Troika. Three foreign officials that fly into Athens airport and tell the Greeks what they can and cannot do.
The violence and destruction that you saw on Sunday is being caused directly because people are having their democratic rights taken from them – What else can they do?
And I must say, if I was a Greek citizen I would’ve been out there, joining those protests on Sunday. I’d be out there trying to bring down this monstrosity that has been put upon those people.
And in his efforts, in the Puppet’s efforts to get the MPs to vote for the bailout package, he warned them, that if they didn’t do so there would be a dramatic decline in living standards.
Well, has he looked out the front door?
Has he seen the fact that 50 per cent of the young people are unemployed already? Has he seen the fact, that the economy, far from stalling has contracted for five years in a row, and is now accelerating on a downward death spiral – a contraction of 7 per cent per annum?
Greece is being driven into the ground, and I think, frankly, when it comes to chaos, you ain’t seen nothing yet!
“These policies are driving Greece towards a revolution. They need to be set free. If they don’t get the Drachma back you will be responsible for something truly, truly horrible.”
Farage addresses Greek Violence: http://www.youtube.com/watch?v=W8Ayb8P1LbU&feature=player_embedded
Not shy about sharing his opinions, Farage has been sanctioned by the EU leadership for blasting the Head of the EU Parliment, Mr. Van Rumpuy of Belgian in a fiery personal attack. On several occasions he has criticized the EU for undermining the democratically elected governments of European Countries in favor of the European Nation State. See one of his speeches below.
Farage blasts the EU for being undemocratic: http://www.youtube.com/watch?v=BRx-CBlEIcA&feature=related
Farage blasts EU President Herman Van Rumpuy: http://www.youtube.com/watch?v=lqovTGjYjM4&feature=related
Farage’s most recent comments come as the Greeks attempt to get a hold of their massive debts and high unemployment. Eurozone officials attempted on Thursday local time to postpone another massive bailout of the Greek government while at the same time trying to stabilize the Greeks to prevent a national default, according to a report from TVNZ.
TVNZ article: Greece Scrambles for Deal Delays http://tvnz.co.nz/business-news/greece-scrambles-deal-delays-4725630.
According to the article, the bailout delay could last until April when the Greeks are expected to elect a new government. Conditions of the bailout include the requirement that the new Greek governments continue their austerity measures, cutting back on entitlements, continuing with labor reforms and slashing their federal debt.
Potential future Greek Prime Minister Antonis Samaris, the head of Greece’s conservative party, has agreed in writing that he would continue with the austerity measures demanded by the EU if he is elected.
Farage’s speeches continue to garner interest around the globe as he takes his stand against one world government takeovers and massive undemocratic liberal policies. One may wonder if Farage is perhaps the world’s next Winston Churchill?