Whatever the problem, the solutions are always the same:
This austerity plan aims at saving some € 4.8 billion at the expense of the Greek population, for the purpose of repaying creditors. The money saved will also be used to pay the fees of Goldman Sachs, a bank which we now know helped the government conceal part of its debt. Among the measures to be taken:
a freeze on recruitment and reduction of civil servants’ salaries (heavily reduced 13th and 14th months, reduced bonuses, coming after a 10 % decrease in salaries decided in January);
Somehow progressive tax increases never seem to occur. Somehow a pan-European Tobin tax never happens.
The interesting question though is this: how many European governments played the exact same games Greece did? How many are concealing their true fiscal picture, which is much worse than people think?
The answer, dear friends, is most of them. Including the Germans, who have been acting very high and mighty.
The only people in the world even stupider about financial engineering than the US were the Europeans, who bought toxic waste by the boatload.
They forgot what Americans forgot. There’s no free lunch.
Ever.
John
“They forgot what Americans forgot. There’s no free lunch.
Ever”
It seems that the people of Iceland, who were kinda grifted into picking up the tab for their recent very luxurious lunch with a wink and a nod that it would essentially be free, now seem to want to dispute the bill with the waiter and maybe even management.
The saga continues, will Iceland bolt on the lunch bill, will they be consigned to eating fish and reindeer forever, banished from the mall, persona non grata in the marble halls of capitalism? Will the police be called? Or will they be left alone to stew in their hot springs and occasionally leading adventure pony treks for
some foreign exchange?
The big question: will their example lead others to dispute the bill? Perhaps, even the Greeks?
senecal
And why not the US? Are not the Greek austerity measures a mirror of what is already happening in the US, in California e.g.? Some state employees’ work week reduced to four days (pay reduced by 20%); state pension funds broke; health clinics closing; public university fees dramatically increased.
jumpjet
They should all refuse the bill. The Greeks should riot, the Icelanders should riot, the British should riot, the Americans should riot. Don’t just refuse the bill, rip it up and fling your leftover wine at the manager for good measure.
Lex
Somewhere, someone is cackling about how their diabolical plan is coming together perfectly.
anonymous
It’s especially galling in a place like California, which is just filthy with rich people who don’t pay that much in taxes. There’s plenty of money to pay for all these problems. And the people and classes *with* the money are usually the ones who got to eat most of that lunch.
Cujo359
They seem to have figured out that Wall Street can’t be trusted. Of course, you could put that decision down to blaming foreigners for their problems, but at least they found some worthy foreigners to blame.
Formerly T-Bear
@ Cujo359
That has got to hurt:
Trust is such an ephemeral value.
Celsius 233
Well, when you’ve bought the company program hook, line, and sinker; don’t get upset when the bastards are in your britches. Iceland seems to get it, maybe.