MURDER, POLITICS, AND THE END OF THE JAZZ AGE
by Michael Wolraich
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MURDER, POLITICS, AND THE END OF THE JAZZ AGE by Michael Wolraich Order today at Barnes & Noble / Amazon / Books-A-Million / Bookshop |
Germany is at last bowing to pressure as a chorus of countries and key institutions demand debt relief for Greece, a shift that could break the five-month stalemate and avert a potentially disastrous rupture of monetary union at this Sunday’s last-ditch summit.
In a highly significant move, the European Council has called on both sides to make major concessions, insisting that the creditor powers must do their part as the radical Syriza government puts forward a new raft of proposals on economic reforms before a deadline expires tonight.
This drama still could end well.
Comments
As Merkel says, "no haircut".
"On Monday, all eyes would turn to the national parliaments of the eurozone. Germany, Portugal, Slovakia, Estonia, and Finland will all have to pass the loan request through their legislatures with a majority vote."
I'm curious if they give them chance to speak their opinions.
In any case, Tspiras retains a toehold on power but no image of mandate, and Merkel comes out as the Iron Lady, the one to be reckoned with, while the French play some kind of Fool or Muse summoning the fates around.
Mostly I think Merkel gets points for not panicking at the supposed horror of a Grexit. EU countries such as Sweden, UK, Poland, Denmark & Croatia have all declined to use the Euro so far - it's not required, it calls for some responsibility, it limits fiscal response while offering some benefits and stability, and of course it can be rescinded.
by PeraclesPlease on Fri, 07/10/2015 - 9:03am
Good thoughts, Peracles.
I take Merkel at her word when she says "no classic haircut", meaning write down of debt. Even if Tsipras gets a 50 B Euro cash infusion, the reforms work and the Greek economy recovers, it would take decades to service and pay down over 350 B Euro debt, if ever.
So, I don't see how an eventual debt write down can be avoided ex an economical miracle.
The EU got the Greeks to reform, so give them another loan. At least the EU would like not to have to talk about this for another couple of years. (I'm sure they love to hit the beaches while conducting "reviews"---if the Greeks would just give them good numbers---damn they have to stay another two weeks). And then there is always the chance that Goldman can suck in some new clients for attractive yields in what looks like a real economic miracle.
When the economy recovers a bit, reforms are enacted and they stay current on payments, they still need more cash because the debt is just too damned high. At that point it's someone else's problem.
The fact that the Parliament and Tspiras' party will approve this shows that the political class are always the elite, the little guy on the street who voted "no"---well,not so elite.
The difference between politicians is not what they do, but what they say. They will always skim the cream off the top of the milk. (does that make cream a processed food?)
by Oxy Mora on Fri, 07/10/2015 - 9:55am
It still has to be approved by the Greek parliament. That may not happen with out debt reduction. The Eurogroup still has to vote on it Monday. This is far from over. You know until the fat lady sings.
This whole bullying act by the ECB has been political. They are being run by Eurocrats that want to social engineer Europe away from pensions and social programs. They are autocrats that want it all. A left political party came out of no where in Greece and a left political party is gaining a lot a ground in Spain who is also under the same pressure to reduce and eliminate social safety nets. This is got Junker worried and his cabal.
There will be demonstrations all weekend in Greece.
No matter how all this turns out, Greece will continue to move to the left politically. Also other European countries that are under this type of monitory blackmail will find the left gaining politically.
by trkingmomoe on Fri, 07/10/2015 - 4:49pm
by PeraclesPlease on Sat, 07/11/2015 - 7:01am
This is from Paul Krugman today. It is economics 101.
http://www.nytimes.com/2015/07/10/opinion/paul-krugman-greeces-economy-is-a-lesson-for-republicans-in-the-us.html?action=click&pgtype=Homepage&module=opinion-c-col-left-region®ion=opinion-c-col-left-region&WT.nav=opinion-c-col-left-region&_r=0
He warns us about the people like Paul Ryan that would like to impose the same policies on us from the far right. This type of economics just don't work. Just take a good look at some of the states being run by radical GOP Governors. These states are now circling the economical drain with job losses and depressed economies. I have been drawing parallels from this in my own state.
by trkingmomoe on Fri, 07/10/2015 - 4:42pm
OXI GREECE!
Uncompromising OP-ED article published April 2015 in Greek CRASH magazine by former Communist Party member Panagiotis Lafazanis, the current Syriza Greek Minister of Reconstruction of Production, Environment & Energy. Bear in mind that Lafazanis is one of the most hardcore members of Syriza’s Leftist platform. He is also one of the most influential.
by NCD on Fri, 07/10/2015 - 6:33pm
http://www.pappaspost.com/varoufakis-germans-want-to-break-us/
The former Finance Minister of Greece until last week has an interesting take since he has been on the forefront of this.
This might be why they gave in to see if they will get pushed out after making a good offer.
by trkingmomoe on Fri, 07/10/2015 - 11:39pm
The 'good' offer was rejected in the referendum last week, and it 'passed' the legislature with 2 0f the big 3 Syriza leaders against it, including the head of the parliament.
A NYT commenter said:
by NCD on Sat, 07/11/2015 - 8:15pm
NCD, it seems that the Finance Ministers aren't buying, the Saturday meeting ended in apparent acrimony and a memo (Schauble) circulated:
Option A. More reforms needed.
Option B. Five year time-out, Grexit without the edge, with humanitarian aid.
Forgot to mention, the bailout request is now up to 75 B Euro's.
By my calculations, 75 B would provide 30,000 Euros to 2.5 million Greek citizens ( a comparison only for scale, they'd be lucky to get a fraction of that.) Then how do you get it directly to the people without it being siphoned off. Maybe American Express cards.
In any case, I don't see how the parties get over the trust issue per proposed reforms, let alone the acrimony and sovereignty issues of even more reforms.
Edit to add: Forgot part of Option A---transfer Greek assets worth 50 B Euros.
by Oxy Mora on Sat, 07/11/2015 - 8:13pm
Who could trust Syriza and Tsipras? With another XX billion Euros? Who knows how this will end, or if it will end....
Tsipris and the Syriza bigs are all former communists, and that kind of ideology does not modernize a nation or create jobs.
Tsipris has wasted 5 months and tens of billions BSing with these negotiations when he should have been barnstorming the nation to end tax evasion and promote private investment/jobs.
He has achieved one thing, he has made Greece look like a bunch of reality challenged deadbeats, crooks or tax evaders, not good for PR when your country depends on tourists.
A commenter who visits Greece frequently says the area in northern Greece he visits is chock full of luxury cars, and the local inside joke is they are 'farm tractors'......which can be bought for no or low sales/registration tax.
by NCD on Sat, 07/11/2015 - 8:24pm
I think in the U.S. the mechanism is the small business or "farm account" and of course who doesn't need a $60K Ford 250 dually?
by Oxy Mora on Sat, 07/11/2015 - 10:06pm
I can't agree with that article. Someone is mistaken imo, either Varoufakis or Schauble. It may be that Schauble wants to push Greece out of the EU but if he thinks he can put the fear of god into France he's wrong. French citizens riot, they have a long history of rioting. For example taxi drivers just rioted a couple of weeks ago over Uber. Blocked roads, smashed car windows. It's not like I pay close attention to French politics but with just my general reading violent protests in France while not frequent are not unusual. It seems to be the way French people get the attention of their government and it seems to get results.
Either Varoufakis is wrong about Schauble or Schauble is wrong about the French.
by ocean-kat on Sat, 07/11/2015 - 2:29am
Thanks.
by trkingmomoe on Sat, 07/11/2015 - 7:33am