EU to Seize Greek Pension Funds
The reason politicians are so dangerous is because they will never admit a mistake. Instead, they dig our grave ever deeper. In truth, they act no different from the management of ENRON. The only difference, they are never prosecuted for their frauds. Nonetheless, human nature is the same and just like ENRON doing everything possible to stay afloat, politicians do the same.
In Europe, the bag of tricks proves to be a bottomless pit for now. Wolfgang Schäuble is trying to cover up a real disaster with the federalization of Europe. He has celebrated the 0.6% economic growth in Greece (higher than France) proclaiming victory. However, looking closer is always required when dealing with politicians. “Under every rock (stone) lurks a politician,” said Aristophanes, Thesmophoriazusae, 410 BC (Greek Athenian comic dramatist (450- 388 BC). Indeed, nothing has changed in thousands of years.
Wolfgang Schäuble is hiding the truth for the 0.6% uptick matters little, for it is a dead-cat-bounce when after the Greek economic output has fallen from 2008 to 2013 by 24 percent and after 28 percent of the Greek population thus became unemployed? Schäuble now wants a third bailout package for Greece in the billions, after celebrating the European Commission’s great success in Greece large headlines plastered by the press who seem now to ever look too closely that read: “Economic stability and fiscal sustainability have been restored” or “Clear focus on growth-enhancing structural reforms.”
However, actually reading the over 300 pages thick recent report by the EU Commission and the ECB on Greece who discover the dirt between the cracks. Indeed, it is now almost impossible to make clear statements about Greece because they are manipulating number way beyond banks in LIBOR. The entire EU primary surplus in the Greek state budget is a clever fraud and manipulation that anyone in the private sector would get 25 years in prison for these days. With the EU elections now past, the truth will start to emerge with the election fraud over.
The Greek state budget shows money still flows into Greece in the billions from the euro bailout fund, the EFSF and the International Monetary Fund. Nonetheless, there is a huge gap, which is estimated in the very report of the Commission and the ECB to be a total of 5.5 billion euros by May 2015.
So how will the EU and Wolfgang Schäuble cover-up this financing gap? The EU Commission and ECB in its report will craft a brilliant scheme. The Greek government’s newly created assets Title sale will be to sell public roads and public buildings that will be used as collateral with an option to buy them back later. But who is going to be the buyer of these assets? The Greek social security funds! In other words, they will now take the retirement funds of the Greek people to bailout the Greek Sovereign Debt liability.
Pay close attention to this maneuver for it is coming to a country near you. There is already step by step plans in the USA. Orin Hatch introduced the Secure Annuities for Employee (SAFE) Retirement Act of 2013 where insurance companies will get to issue annuities with a fixed return while trading with other people’s money. This is a step that will allow the US government to seize all pension funds to protect them and stuff in new debt.
I have been warning that my sources on Capital Hill have been pointing to the next great take-over that is coming – the $19.4 trillion in pension funds. Suddenly, we now have interest of the U.S. Consumer Financial Protection Bureau eyeing up the $19.4 trillion in retirement savings as a measure of course to protect consumer investments with decisions of people with absolutely no investment experience. The fall-back position will be to seize the pension funds and we are about to watch this in action in Europe starting with Greece.
European Poverty Reached 123 million – 16%
The Sovereign Debt Crisis that began to show its head in Europe is demonstrating that socialism just does not work. The whole idea of a central managed state and highly regulated pro-worker policy has reduced job growth and exploited labor to such an extent with taxes that the euro countries can no longer fulfill their social obligations. The latest numbers are stunning with 123 million people are now driven into poverty out of 739 million or 16%, and this includes 800,000 children. They are the first victims of an irresponsible policy that has made the preservation of power over the social contract more important than the results. Government CONSUMES the national wealth, it does not create wealth. The bigger the government the lower the economic growth and the greater the poverty of the whole.
The austerity measures inspired by a Germany obsessed with the inflation of the 1920s to tackle the Sovereign Debt Crisis by trying to restore confidence in government debt has led to long-term unemployment, low wages and tax increases that have driven more people into poverty in Europe in the shortest amount of time in history. As to the social security systems have been progressively dismantled, one in four Europeans has become poor and this is now seriously affecting socially disadvantaged and children while sending unemployment among the youth (25 and younger) over 60% denying their very future. This is the result concluded interesting enough from unions in the International Labour Organization in its latest report on social security.
A total of 123 million people have now fallen in the EU below the official poverty threshold with 800,000 now seriously impoverished in just the past five years since the financial crisis of began from the 2007 high. The ILO warns that the number will continue to rise by 15 to 25 million over the next ten years if the EU finds no other remedy for the crisis other than radical welfare cuts. The report said:
“The achievements of the European social model, which reduced the poverty after the Second World War dramatically and promoted the prosperity has been undermined by the short-term adjustment reforms.”
Europe’s fiscal policy objectives have been based upon austerity to firm up confidence in government bonds. But in fact, the policies are undermining the economy to such an extent that they are destroying future jobs faster than even the low birth rates and Europe is headed into the abyss of economic ruin. The federalization of Europe now has the EU Commission struggling against the Invisible Hand of Adam Smith exerting their own self-interest to retain their jobs at the expense of all of Europe.
France is the worst of the lot and now money from the EU given to France for agriculture has been exposed as being diverted and the EU Commission is now demanding France repay the money. The corruption is just too widespread and the politicians are too concerned about retaining power to address the issues.
Now the unions via the ILO recommends the EU to strengthen the social security systems: “Social security not only reduce poverty but also stimulates economic growth to - by improving the health of the weak, encourages greater productivity and at the end of the domestic demand strengthens.”
The European civilization of socialism that dominated Continent is on the verge of total collapse. The dream that a federalized Europe would reduce the risk of war has only driven everything into finger-pointing and blaming external forces for current economic decline. Greek protesters dress up as German Nazis to protest austerity illustrates the division and resentment that is brewing.
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