Posted by greydogg, 99GetSmart
* AUSTERITY EXPLAINED: A POCKET GUIDE TO THE EU CRISIS
By Collettivo Prezzemolo, ROARmag
By blaming the crisis on public spending, politicians’ and bankers’ only solution was to impose austerity. This has predictably worsened the debt crisis.
Excerpt via the Transnational Institute in Amsterdam.
“We are punishing the innocent through austerity, and we are rewarding the guilty because the banks are continuing to receive huge privileges and subsidies from our governments. That is why we must defeat this austerity treaty, and all the measures that come with it unless we want Europe to be retrograded to, shall we say, the 19th century.”
Susan George, President of the Board of the Transnational Institute, author of Whose Crisis, Whose Future?
Austerity measures have never worked, and have led growth to collapse across the EU. Greece witnessed its battered economy shrinking by 6.2% in the second quarter of 2012, and is forecast to enter its sixth straight year of recession in 2013. Austerity means less national income from taxation, reducing governments’ capacity to pay back spiraling debts, leading to even higher debts. […]
Download the full ‘EU Crisis Pocket Guide‘ via the Transnational Institute.
* THE INSUFFERABLE HUMAN DRAMA OF EVICTIONS IN SPAIN
By Jerome Roos, ROARmag
With 500 families being evicted in Spain every day, foreclosures have become a source of great suffering. But luckily, there are still those who resist.
Throughout this crisis, there has always been a certain alienating quality to the pronouncements of European leaders and technocrats. Sometimes one is led to wonder if these people are actually talking about the same continent — or the same universe, for that matter. Just today, for instance, the European Central Bank announced that “the eurozone is starting to heal.” Indeed, the major weakness the central bankers could detect from the commanding heights of their glass-and-steel tower in downtown Frankfurt was “falling bank profits.”
But this morning, huddled together with activists and independent journalists in a small apartment in Madrid, the eurozone seemed to be far from healing. Together with Santiago Carrión from the Associated Whistleblowing Press, we were there because the Platform for those Affected by their Mortgage (PAH), which runs the Stop Desahucios (Stop Evictions) campaign, had called on the city’s indignados to protect Juana Madrid and her two daughters of 21 and 17, who were about to be evicted from their humble home in the poor neighborhood of Orcasur. The atmosphere, of course, was tense.
The living room was full of people, most of them photographers, while outside the first chants of activists could be heard as people prepared to physically block the entrance to the apartment. Nervously dragging on her cigarette, Juana’s baggy and dark-ringed eyes said it all: this was a woman on the verge of a breakdown. Her voice was calm and subdued, but her facial expression exuded despair. “We have nowhere to go,” Juana’s 21-year-old daughter Isa told us in the kitchen. “If they evict us today we will end up on the street tonight.”
Sadly, the story of Juana and her daughters is by no means an exception. Ever since the start of the crisis in late 2008, over 350.000 families have been evicted from their homes. According to government figures, Spain currently faces a staggering wave of 500 evictions per day — 150 of them in Madrid alone. The vast majority of these involve families whose main breadwinner lost his or her job in the recession and who have inadvertently fallen behind on their mortgage payments to the bank. At 25.02%, Spain’s unemployment rate is the highest in the developed world, higher even than in the U.S. at the peak of the Great Depression. […]
* POVERTY AND SOCIAL EXCLUSION RISING IN GREECE
By Leonidas Oikonomakis, ROARmag
[…] In Greece, we know well who is paying for the crisis. A good question to ask would be: who gains? Apart from Greece’s private creditors, could it be the multinational corporations, which are now swooping in to benefit from the country’s dramatically reduced labor rights and privatization schemes? Again, I will give you an example that I recently read in the press. Kostis Hatzidakis, the Minister of Development, announced proudly that Unilever, an Anglo-Dutch multinational consumer goods company, will from now on produce 110 of its products that it used to produce abroad, in Greece. He also mentioned that this will boost employment and that his government wants to create a business-friendly environment in Greece in order to attract “investments” for “development”.
What Hatzidakis did not mention are the conditions under which the future employees of Unilever — and whatever other multinational decides to “invest” in Greece bringing its production facilities or, maybe, buying its state owned enterprises — will have to work. Let me present them to you: Unilever’s Greek employees will be paid slave salaries (586 euros is the minimum wage today, down from 751 euros before the crisis, while for young workers under the age of 25 it stands at 510 euros: below the poverty threshold!). They will only have minimum labor rights. They will have to work 6 and maybe 7 days a week. They will only have a minimum of 11 hours rest before getting back to work (from 13 that it was so far). And they will be extremely easy to fire without compensation — as the government effectively rid itself of pesky labor rights. […]
* SPECIAL REPORT: GREECE’S TRIANGLE OF POWER
By Stephen Grey and Dina Kyrakidou, Reuters
In late 2011 the Greek finance minister made an impassioned plea for help to rescue his country from financial ruin.
“We need a national collective effort: all of us have to carry the burden together,” announced Evangelos Venizelos, who has since become leader of the socialist party PASOK. “We need something that will be fair and socially acceptable.”
It was meant to be a call to arms; it ended up highlighting a key weakness in Greece‘s attempts to reform.
Venizelos’ idea was a new tax on property, levied via electricity bills to make it hard to dodge. The public were furious and the press echoed the outrage, labeling the tax ‘haratsi’ after a hated levy the Ottomans once imposed on Greeks. The name stuck and George Papandreou, then prime minister, felt compelled to plead with voters: “Let’s all lose something so that we don’t lose everything.”
But not everyone would lose under the tax. Two months ago an electricity industry insider revealed that some of the biggest businesses in the land, including media groups, were paying less than half the full rate, or not paying the tax at all. Nikos Fotopoulos, a union leader at power company PPC, claimed they had been given exemptions. […]
* TAIBBI, SPITZER FUME OVER HSBC SETTLEMENT
Source: Eliot Spitzer’s Viewpoint
* NOAM CHOMSKY: US INTELLECTUAL CLASS IS MORALLY DEGENERATE
By Noam Chomsky and Eric Baily, InformationClearingHouse
Eric Bailey: The last four years have seen significant changes in American federal policy in regards to human rights. One of the few examples of cooperation between the Democratic and Republican parties over the last four years has been the passing of the National Defense Authorization Act (NDAA) of 2012. This bill has given the United States military the power to arrest American citizens, indefinitely, without charge, trial, or any other form of due process of law and the Obama administration has and continues to fight a legal battle in federal court to prevent that law from being declared unconstitutional. Obama authorized the assassination of three American citizens, including Anwar al-Awlaki and his 16-year-old son, admittedly all members of Al Qaeda — all without judicial review.
Additionally, the Guantanamo Bay prison remains open, the Patriot Act has been extended and the TSA has expanded at breakneck speeds. What is your take on America’s human rights record over the past four years and can you contrast Obama’s policies with those of his predecessor, George W. Bush?
Noam Chomsky: Obama’s policies have been approximately the same as Bush’s, though there have been some slight differences, but that’s not a great surprise. The Democrats supported Bush’s policies. There were some objections on mostly partisan grounds, but for the most part, they supported his policies and it’s not surprising that they have continued to do so. In some respects Obama has gone even beyond Bush. The NDAA, which you mentioned, was not initiated by Obama (when it passed Congress, he said he didn’t approve of it and wouldn’t implement it), but he nevertheless did sign it into law and did not veto it. It was pushed through by hawks, including Joe Lieberman and others.
In fact, there hasn’t been that much of a change. The worst part of the NDAA is that it codified — or put into law — what had already been a regular practice. The practices hadn’t been significantly different. The one part that received public attention is what you mentioned, the part that permits the indefinite detention of American citizens, but why permit the indefinite detention of anybody? It’s a gross violation of fundamental human rights and civil law, going all the way back to the Magna Carta in the 13th century, so it’s a very severe attack on elementary civil rights, both under Bush and under Obama. It’s bipartisan! […]
* ANOTHER GOLDMAN CREATURE GIVEN VITAL GOVERNMENT POST
By Matt Taibbi, Rolling Stone
Big news yesterday in the United Kingdom, where the citizenry surveyed its domestic banking system and discovered that it couldn’t find a single person trustworthy enough to put in the top job at the Bank of England. So they went to Canada and stole that country’s central banker, Mark Carney, who just happens to be a former Goldman, Sachs executive – he was once Goldman’s managing director of investment banking.
Carney’s appointment may be seen as an admission that the British banking sector is now so tainted, only an outsider can be trusted to govern them. Almost all of the major English banks have been dinged by ugly scandals. The LIBOR mess, in which banks have been caught messing around with global interest rates for a variety of sordid reasons, has most infamously implicated Barclays, but the Royal Bank of Scotland is also a cooperator in those investigations.[…]