In case you missed it, this article in Spiegel is well worth a read. Check it out!
via The Anti-Austerity Camp Is Growing as Merkel Becomes More Isolated – SPIEGEL ONLINE.
Much as I agree that austerity in Europe has been excessive, I fear that Frances’s President Hollande is probably not the best champion.
But the coalition against austerity is growing:
- European Commission (EC)
- Most mainstream economists, led Nobel Prize winners, Paul Krugman & Joseph Stiglitz
Once upon a time, Angela Merkel called upon the troika of the IMF, ECB and the EC to her defense of austerity.
It is encouraging that the austerity camp is crumbling. But there is still Angela Merkel and her sponsors.
Let me turn this to several open question:
Are we likely to see an orderly climb-down on austerity from Germany, perhaps with strings attached?
What will be the implications for the economies of Southern Europe, like Greece, Cyprus, Spain, Portugal, Italy and France?
Are we likely to see serious infrastructure investment in Southern Europe?
What about jobs for the lost-generation of millennials in Southern Europe?
Dr Alf asks four questions and the answer to the first one is that we will see a fudge which Mrs Merkel and the EU will each trumpet as a victory but will be QE-lite, plus a bit of bailing in, Cyprus style, for the fat cats of Southern Europe – but not the real plutocrats, who will be given advance warning as happened with the Russian oligarchs in Cyprus as Dr Alf will recall.
Christine Lagarde has already made a speech containing a numerology code which no-one except her intended audience is meant to be able to understand, which deals with this, and other little surprises the Bilderbergers and their fellow travelers have in store for us.
Southern Europe, if it fails to improve, may be put into a different economic framework with looser controls but France will get the most German help, while the others twist in the wind.
Infrastructure may be built but probably with Chinese money, as we are already seeing via Hinckley Point, in Somerset and Bradwell, in Essex, where the Chinese plus Eon(a German utility company), will build the UK’s new nuclear power stations, albeit too late to stop the lights going out this winter.
The young unemployed have already been written off and would do best by learning useful languages and emigrating as many already have done and as my lazy nephew may be forced to do before he gets too much older.