Showing posts with label european union. Show all posts
Showing posts with label european union. Show all posts

Wednesday, January 3, 2018

Economic Crisis in Greece Continuous as Result of Incompetent Radical Leftist Government

By Con George-Kotzabasis

Simply put, the crisis is a result of past government over-spending on borrowed funds paid with exorbitant interest rates. A situation that could not be prolonged and would inevitably implode and cascade the country into bankruptcy. Greece therefore had to ask help from the European Union and the International Monetary Fund to save itself from absolute poverty.   Thus came into existence the Memoranda, formulated by the EU and the IMF, prescribing how the country could get out of its dire economic straits.

It is a great fallacy to believe that the Memoranda are the cause of the continuation of the crisis. Certainly mistakes were made by the IMF and the EU, but they were not of such proportions as to sink the country deeper into the morass of the crisis. The main cause of its durability, was the refusal of both the governments of George Papandreou and of Tsipras, with the exception of the Samaras Government, to implement quickly and decisively the reforms and economic restructuring that would put the country on the track of economic recovery.

The Greek electorate doltishly committed a gross error in electing SYRIZA, and choosing the quack economic policies of Yanis Varoufakis and the chicanery of his negotiations with the Europeans, that cost the country 100 billion euros. The people in searching for a scapegoat for Greece’s ills, i.e., the architects of the Memoranda, brought onto the government benches a nightmare of incompetence and bungling to manage the affairs of State. As the Tsipras Government is a synthesis of imbecility, mediocrity, and charlatanism, enshrouded in Marxist dogma. It is totally unfit to pull the country out of the crisis. On the contrary, by staying in power it will continue the dire economic crisis as a result of its total incompetence. Only New Democracy, a Mitsotakis Government, could succeed in ending the crisis, as the Samaras Government began to do so at the end of 2014.   

Wednesday, July 15, 2015

Syriza: Merrymaking While in Opposition Follymaking While in Government

America celebrates The Fourth of July as the day of independence of a great nation; Greece remembers The Fifth of July as the day of ignominy and gross stupidity of an abject nation, fallen from its former illustrious and glorious history, that voted “No” in the referendum and thus opened the door to the exit of Greece from the European Union and its entrance to the drachma.
By Con George-Kotzabasis—July 07, 2015
On last Sunday’s Referendum on The Fifth of July, sixty-one percent of politically and economically illiterate, not to say ignorant, Greeks, voted a “proud” and “dignified” “No” to the EuroGroup’s proposals, thus putting a noose around the neck of the nation, and celebrated this victory by dancing frenetically and entranced in Syntagma Square Zorba dances as if by putting a noose around someone’s neck was a festive occasion. And they did this in the background of closed banks, pensioners mass queuing to get a small part of their pensions, depositors unable to get a preferential amount of cash from their accounts, businesses unable to make transit payments on the exchange of goods and services, tourism, the major export of Greece, decimated by tourist cancellations. All this therefore leading to a free fall of the economy with the prospect of leading the latter to a catastrophic end with innumerable business enterprises closing, the present level of unemployment rising from 1.5 million to three-to-four million, engendering shortages of food and medicines, and with the ghost of the returning drachma--and thus absolute poverty of the country--looming over the head of Greece. Not since the launching of the Sicilian Expedition in 415 B.C. by the fatal decision of the Athenian General Assembly, that according to the great historian Thucydides was the stupidest decision ever taken and which was the cause of the ignominious and irretrievably annihilating defeat of Athens in the Peloponnesian War, has a democracy, as has been shown in last Sunday’s referendum, taken such a ludicrously irrational and fatuous decision on such a crucial question as whether the country should stay within the European Union or not.
Syriza while in Opposition in a crescendo of populism, ‘caressing’ promises, and purported macho stand against the Troika whose Memorandum of austerity, which according to the emotional fulminations of Syriza was humiliating and offending the pride and dignity of Greeks and leading to no end to the economic crisis, promised to the Greek people that by negotiating implacably and strongly with its European partners it would extract an economically better and dignified deal from the latter that would lead the country out of the crisis.
Of course all this merrymaking of Syriza was vacuous and wishful thinking, topped by a mountain of shameful lies, and never had a chance of being realized; it was never grounded on pragmatism and was bound to crash, like a house of cards, at the first touch with reality. The Greek people, however, irate and disgusted with the austerity measures of the Samaras government, but oblivious of the fact that these necessary measures were pulling the country out of the crisis, as stated by serious economic analysts world-wide, ratings institutions such as Standard & Poor’s, and Moody’s, as well as top-of-the-branch European politicians, were enraptured with the demagogy of Alexis Tsipras and became prone and willing to take a ride on the carousel of merrymaking provided by Syriza, that made by a magic wand hard things easy. Hence, on the 25th of January they elected the hardline left of Syriza in government.
Once in power Syriza revealed the inner lineaments of its nature and politics. It was a mixture of political immaturity, administrative incompetence, and hardline leftist ideology. A dangerous cocktail for anyone to hold in one’s hand at any time, especially when one steers among rocks the ship of state. This was illustrated by its two major players, Alexis Tsipras, and Yanis Varoufakis, respectively as prime and finance minister, who both of them, unlike God Who dares not to play dice, to paraphrase Einstein, gambled the fortune of the country in one throw of the dice and lost, as events showed down the track. But the hoodwinked politically innocent people along with the nipple-fed intellectuals aka “useful idiots,” to quote Lenin, still continued to throng as guests the merry party of Syriza in government and still believed the fairy tales of these two political spivs, Tsipras and Varoufakis, that by the strong stand of the Greek negotiators they would force their European counterparts to give in and provide Greece the tailor made program that was sewed up by these two spivs. The Europeans, of course, in their professionalism, would never accept the economically irrational and hare-brained demands of the Greek finance minister Varoufakis. Instead, they compelled the government, on the 20th of February, to sign and pledge itself to the implementation of the second Memorandum extant but which the government shilly shallied and refused to implement thus losing all trust and credibility in the eyes of the Europeans.
This is why the result of the Referendum has no impact in the thinking of the leaders of the European Union as they have lost all trust and have no confidence in the Tsipras government. On the contrary, as already seems likely, they will impose the most severe measures in the third coming Memorandum as an ironclad condition of Greece remaining in the Eurozone. Thus the trumpeted argument of the Tsipras government and its ministers that a “No” vote in the referendum would be a strong negotiating weapon, proved to be a paper sword in the hands of Tsipras, as is currently shown in his negotiations with his counterparts in the European Union.
The comedy of the rise of Syriza by the Aristophanean basket into the clouds of an ideal government is rapidly turning into an Aeschylean tragedy. The same audience that will joyfully be clapping the Aristophanean comedy will sorrowfully wailing and crying when it will be staged as an Aeschylean tragedy. Pride riding high always precedes the inevitable falling.
I rest on my oars: your turn now
.

Thursday, February 7, 2013

The Breaking up of European Union a Blessing in Disguise

By Con George-Kotzabasis

The legal order rests on a decision not on a norm…The exception could not be subsumed under legal concepts and all order was based on the sovereign’s decision. Norms only applied in a normal situation. Carl Schmitt

The ancient Greeks had an aphorism: uthen kakon amiyes kalon, there is nothing bad without some good in it. The possible breaking up of the European Union (EU), its Balkanization, in the aftermath of its ominous economic crisis and the questionable future existence of its common currency, the euro, may be a blessing in disguise: it might bring in its wake the ‘defeat’ of its implacable internal enemy who in the form of a Trojan horse is threatening Europe not only with suicide bombers but also, most portentously, with Islamization.

The economic historian Niall Ferguson cogently argues that “the sovereign debt crisis that is unfolding…is a fiscal crisis of the western world.” Banks and financial institutions are exposed to the sovereign-debt of Greece, Ireland, Portugal, and Spain and to a cascade of government deficits, 14.3 per cent of GDP in Ireland, 12.6 per cent in the UK, 11.2 per cent in Spain, and 9.4 per cent in Portugal, respectively. And all this ill-advised government spending in the past is punching the euro against the ropes. Moreover, concern about the solvency of European nations could lead to an implosion of the euro. And the EU indebtedness could be similar to the sub prime mortgage crisis of the U.S. that almost led to the financial collapse of the latter. Also, the two speed economies on the belt ways of Europe have contracted employment in Greece and Spain while increasing it in France and Germany. European governments therefore are seeking different solutions to this problematic economic crisis that is gravely threatening the downgrading of their peoples standard of living and their general well being.

Germany, the powerhouse of the EU, is seeking a “deeper political and economic integration,” in its enamored quest to build a European super state. But Great Britain—which never abandoned its own national currency, the pound sterling—will vehemently oppose the transfer of any new fiscal powers to the inamorata of Germany, the EU headquarters in Brussels. That alone could trigger a severe split within the EU encouraging other countries to revert to national currencies than give up even more sovereignty to the Brussels bureaucracy. In Italy, Berlusconi’s anti-European coalition partners are considering a contingency plan to pull out of the Euro zone and re-establish their own currency, the lira. “Nor would it be a real solution for the EU to amend its basic treaties to create a permanent stabilization mechanism for sovereign-debt crisis. It would be a self-fulfilling prophesy, virtually guaranteeing that it will be used repeatedly,” to quote John Bolton, the former U.S. Ambassador to the United Nations. The economic imbalances within Europe have become too great, particularly regarding productivity differences. In order to correct them, including the scourge of over-indebtedness, some countries would need to devalue their own currencies.

But such solution is not available for countries that substituted their own currency with the euro; therefore these countries will be overcast by the bleak clouds of economic austerity imposed by the savants of the International Monetary Fund (IMF) as the only feasible solution to drag these countries out of their economic woes. But as we have seen in Greece, Ireland, and Spain these clouds will bring a torrent fraught with danger, demonstrations that will not only exacerbate the economic crisis but will also foster political instability that could seriously fracture the democratic structure of these countries and bring to the political proscenium of Europe ‘uber-nationalist’ authoritarian governments. And paradoxically, the democratic ethos of the demonstrators that led them to the streets to defend their living standards and freedom from the embrace of the gaunt figure of austerity could give birth to the unwanted child of authoritarian government. European cosmopolitanism or rather multiculturalism will be forcefully replaced with virulent nationalism, since this is the corollary, and indeed the unconscious desire, of the mass demonstrations and the unseen force that could change dramatically the political landscape of Europe.

The first incipient signs of such change on the political configuration of Europe are already becoming visible. In France, President Sarkozy is forcefully expelling the gypsies and is calling Muslim prayers “in the street unacceptable,” following his predecessor Chirac who banned the burka from public places; while support for Marine Le Pen of the National Front has risen to 33 per cent in recent weeks reflecting a trend all over Europe of anti-migrant sentiments and economic fears. In Germany, Chancellor Merkel has called multiculturalism kaput, and politicians of the right are calling for a stop to migration particularly from Muslim countries. In Italy, Silvio Berlusconi is sharing power with the anti-migrant Northern League. And in the Netherlands, anti-Islam MP Geert Wilders popularity is sky rocketing and whichever parties end up in government will have no choice but to adapt their policies to those of Wilders or risk losing voters.


The Danger of Europe’s Islamization

All the above indicates that the European masses under the economic pressure of the fiscal crisis are circling the wagons not only to defend their standard of living but also their national heritage from the incursions of intransigent Muslim migrants to change the culture and mores of their countries. And it is not the first time in history that an economic calamity has given birth to extreme nationalism. What is unique in the present situation in Europe is that it is actually threatened both economically and nationally by a twin menace of austerity and sharia law. So there is no need of contriving an imaginary enemy, a scapegoat, as the Nazis did with the Jews. Thus, the economic doldrums have a great potential to give rise to the drum beats of belligerence against European Muslims who will be seen more and more as the internal implacable enemy, especially when its holy warriors in the wild chase of the seventy-two virgins will continue their serial murdering activity of detonating bombs in the cities of the Western ‘infidel’ world.

That this Muslim inundation of Europe is empirically-grounded and not fictional is exemplified by the demographics of individual countries of the European continent. In Germany, Britain, Greece, and Switzerland 5 per cent of their population are Muslim; in Austria, Belgium, France, the Netherlands, and in Sweden, is 10 per cent; in Denmark, Luxemburg, Norway, Serbia, Slovenia, and Spain, is 4 per cent; and in Italy, 2 per cent. With a Muslim birthrate that is almost thrice as large as that of indigenous Europeans and with a total number of Muslims in the European Union in 2007 of 16 million, it is estimated that by 2015 this number will double.

This is the ‘unassimilated bomb’ that harebrained and un- imaginative politicians by their past immigration policies have planted under the foundations of European culture and civilization that cannot and will not be defused presently by conventional political nostrums contrived by ordinary politicians. (Only Enoch Powel, the British politician par excellence, had the insight to cast his eloquent thunderbolts many years ago against governments that had espoused these totally wrong policies of immigration and would predict Cassandra like, as he did in his “rivers of blood” speech in 1968, the consequences of these fallacious policies.) The call is for extraordinary nationalist politicians of the caliber of Bismarck and Cavour to tap this coming nationalist fervor of Europeans and unite it against the internal Muslim foe.

There are no easy solutions to the problem as most European Muslims are citizens of the countries they are living in. It cannot be solved, because of the economic crisis, by monetary blandishments, i.e., by paying Muslim families a sum of money to return permanently to the countries of their origin. Nor can it be solved by legislative measures of expulsion under the present respective Democratic constitutions of European countries since Muslims are citizens of the latter and Democratic nations cannot expel their own citizens. It can be partially resolved by a stringent legislative enactment that applies to the social security payments of families; by restricting child endowment remittances up to the limit of four children and hence bring the birthrate of Muslims to that of indigenous Europeans. Families or ‘apparently’ single mothers who break that limit will lose their right to claim remuneration for children above that number. I say ‘apparently’, guardedly, because many Muslim men who are polygamous are using fraudulently the ‘single mother’ as a technique to enlarge their social security payments. Such enactment will be a levy on polygamy and will affect mainly Muslims who use a religious precept to ‘pickpocket’ the pockets of taxpayers. Thus, European governments by putting a hefty ‘price tag’ on cum while not resolving the problem they might lessen it.


The Necessity of Hard Policies to Prevent Europe’s Islamization

It must be obvious to all governments with welfare services by now, especially Europe’s, that Muslim migrants who comprise a major part of the unemployed of their countries and are economically and socially dependent on welfare payments deliberately employ child bearing as a means to increase the amount of money they receive from the public treasury. Thus child bearing has become for them a ‘surrogate’ for real employment and an income by other means. In such a situation government policies that seek to get people off welfare dependency are bound to fail since the incentive of finding employment and increasing their income has become inutile as already the ‘lucrative production’ of babies has already fulfilled this goal of higher income for the unemployed Muslims. Hence, the first generation of Muslim migrants have accomplished by Allah’s will to live in relative comfort in comparison to their original domicile not by the sweat of labor but by the sweat of the seraglio. No wonder that Muslims feel superior as a result of their religion toward kafirs since they were able to transfigure the European infidels into milking cows, whose hard work and taxes keep many Muslims off the production lines and ‘on’ their kept Muslimas.

European governments perforce have to put an end to this ‘stipend of Allah’ for libidinous and profligate procreation that is given to Muslims, which not only disincentivizes them from finding employment, but also holds them back from assimilating into their new habitat and to European mores. Governments therefore have to place the Muslim birthrate onto a Procrustean bed and cut it to the size and contemporary norm of Europe’s native population. Moreover they have to suspend permanently all government grants for the building and maintenance of Mosques and Islamic schools unless the latter have a clear and absolute secular curriculum for their pupils. They also have to make illegal forced marriages and make it a criminal act for parents who carry it out and hence thwart this imported primitive and barbaric practice of honor killing in civilized Europe. Also, they have to banish the wearing of the burka and the hijab in all public places which not only discriminate between the chastity of European and Muslim women, as the symbolic value of wearing them is that Muslim women are purportedly sexually purer than indigenous European women, but which also could be used as a cover by suicide bombers in their murderous attacks on European cities. Lastly, and this doesn’t exclude other measures, Muslims who are citizens of European nations would forfeit their citizenship if they hold dual citizenship or if they were involved even lightly, either in deed or ideologically, in promoting and funding jihad against the ‘infidels’, and which in effect in both cases would make them liable for deportation.

The above harsh measures will make a lot of Muslims most unhappy to continue living in European countries since they will feel rejected and unwelcome by the majority of the respective populations of those countries, and by being no longer able to practice some of their reverent traditions and ideological beliefs, these two factors might induce some of them to repatriate back to their own countries. However, the implementation of these harsh policies will entail a radical transformation of the ‘praxiology’ of European governments and a new ‘virtu’, to use Machiavelli’s term, for their politicians. In such critical conditions of jus vitae ac necis, a verdict on life and death for Europe, politicians in power will have to govern by the rules of Carl Schmitt’s “state of exception.” They will have to rule by decision based on the desires of the majority of the electorate that will be explicitly expressed through a plebiscite. It will thus be government by plebiscite and rule by decree exercised by authoritarian regimes. In such an emergency state inevitably certain venerable democratic principles will be suspended, as it happened in the American Civil War when President Lincoln suspended habeas corpus. And as Carl Schmitt impeccably argued, “Every norm presupposes a normal situation, and no norm can be entirely valid in an abnormal situation.” And for internal peace the state “is compelled in critical situations to decide also upon the domestic enemy.” These most wise quotes encapsulate the tragic events that issued from the disintegration of the Weimar Republic when its mediocre and timorous politicians refused to take the harsh measures that could have saved it. And it would be most imprudent for contemporary European politicians who face a formidable, duplicitous, faceless internal and external enemy not to become wise by the dangers suffered by others, to paraphrase Niccolo Machiavelli.

Thus the denouement of the economic crisis in the European Union threatening it with dismemberment may give rise to a savior who will salvage it from its ultimate catastrophe, the Islamization of Europe.

I rest on my oars: your turn now

Wednesday, March 7, 2012

Is the European Central Bank the Shy Bride of Lender of Last Resort?

By Con George-Kotzabasis—December 1, 2011

It goes without saying, that merely a new European treaty, as proposed by Chancellor Merkel and President Sarkozy, no matter how strong its teeth, will not resolve the crisis. But the solving of the crisis might lie in a fecund combination of new rules to be observed strictly, and new bold economic measures, including the ECB as lender of last resort. And Mario Draghi’s hesitation might only be a ruse. His guise of being the shy bride of decisive intervention might only be a pretension, and he may surprisingly shock everybody by sprightly stepping boldly and marrying the groom of lender of last resort. This unexpected nimble move from shyness to boldness will be a powerful incentive to rally the markets behind the Eurozone. And one might not dismiss lightly that “magic” and a Deus ex machina might have a role in this tragic play. 

P.S. Since the above was written, Mario Draghi lowered the discount rate of the ECB to 1% and distributed to European banks nearly 500 billion euros to lend to their customers. This is equivalent of using the instrument of lender of last resort by the ECB although doing this by roundabout means and not in a formal manner. And apparently this bold and imaginative initiative of the ECB has stabilized the European markets.  

Sunday, November 27, 2011

How to Overcome the Impasse of the Written Pledge Demanded by the EU from Greece's Major Politicians

By Con George-Kotzabasis—November 23, 20011

The following proposal was sent to the Greek leader of the Opposition Antonis Samaras on 11-23-2011.

Dear Mr Samaras,

The following proposal might overcome the impasse of the signed guarantee without Greece losing its dignity and amour propre

The German politicians, like the Minister of Finance Wolfgang Schauble, who illogically and doltishly insist and persist in their demand that the leader of the Greek Opposition, Antonis Samaras, sign the Memorandum of the 26th of October as a condition of releasing the sixth packet of financial assistance to Greece, can be likened as an intellectually unguided German torpedo that sunk the Lusitania of Greek dignity and respect that are embodied in the democratic constitution and parliamentary institutions of the country. It was to the latter institutions and to the interim transitory government led by Lucas Papademos that the leader of the Opposition had made an explicit, unequivocal, and unconditional commitment to accept and implement (Subject to some modifications in regard to its implementation.) all the obligations emanating from the Memorandum. Therefore one is nonplussed with this EU demand for a written pledge by the leaders of the three major parties when all of them accepted all the conditions of the Memorandum unequivocally and unconditionally in Parliament and by giving their vote of confidence to the Interim Government of Lucas Papademos who was to initiate the implementation of the decisions of the 26th of October.

Surely the Germans are not so stupid, or they could be, as to disregard this essential and irremovable commitment the major parties made to the conditions of the Memorandum and demand in its place a formalistic signature. One therefore cannot avoid the suspicion that there might be a hidden agenda behind this ostensibly doltish demand, i.e. the “Sarajevo assassination” of Greece by the Germans, its ousting from the Eurozone by forcing Greece to default and to depart from the European Union. The leader of the Opposition must eschew from falling into this trap, if indeed, such a trap is set in the wings by the leaders of the European Union. But the “assassination of Greece” from the Eurozone could trigger an internecine economic war in Europe that could not be contained, as the sires of such a sinister plan might have hoped, and would lead both to the destruction of the euro and the European Union. Thus it is incumbent on Antonis Samaras’ statesmanship to be not only the saviour of Greece but also the saviour of Europe. This could be accomplished by the following stratagem. The leader of the Opposition giving a written guarantee of the acceptance of all the conditions of the Memorandum as demanded by the troika, but not sending it to the leaders of the European Union but sending it to the Greek Prime Minister, Lucas Papademos. And the latter will convey to the European leaders the consummation of the signed guarantee by the major parties that the former demanded as the sine qua non for the release of the sixth instalment. Hence, the consignment of the written guarantee within the precincts of the Papademos Government will shun any genuflection on the part of Greece toward Europe that would stigmatize and slur the dignity and amour propre of Greece.