NEW YORK – The rising crescendo of bickering and acrimony within Europe might seem to outsiders to be the inevitable result of the bitter endgame playing out between Greece and its creditors. In fact, European leaders are finally beginning to reveal the true nature of the ongoing debt dispute, and the answer is not pleasant: it is about power and democracy much more than money and economics.
very good article...Stiglitz is always a must read. I know how I would vote, also. I can not believe that the Greek people will put up with this shit any longer.
"That concern for popular legitimacy is incompatible with the politics of the eurozone, which was never a very democratic project. Most of its members’ governments did not seek their people’s approval to turn over their monetary sovereignty to the ECB. When Sweden’s did, Swedes said no. They understood that unemployment would rise if the country’s monetary policy were set by a central bank that focused single-mindedly on inflation (and also that there would be insufficient attention to financial stability)."
This is what's critical. And it's not just aimed at Greece. The unleashing of fraudulent monetary "products" devoid of actual value or anything tangible in the way of EARNED worth has risen into the stratosphere. HARD assets are needed to keep this Casino capitalism graft in motion.
The same screws were just applied to Detroit and they will impact more and more states, nations, and communities... unless Greece acts to set a new "Domino Theory" into motion whereby the birthplace of Democracy lets it "rip" for Round II: 2015 style.
Perhaps it would be best to respond to comments and not commenters.
Austerity is the start of an economic death spiral. It isn't imposed to help sustain an economy, it's imposed to destroy the working class.
The Greek vote must have those in charge in an apoplectic rage. The sheep aren't supposed to stand up.
Undiscussed are cryptocurrency alternatives - Guardian happens to have a story today on this:
Bitcoin fans eye potential in Greek crisis
Proponents hope cryptocurrency could soar in value as Greeks try to find ways to keep their money safe and avoid currency controls
Right on, the ultimate goal of the elite classes in Europe and America is to establish a two tiered society, the ruling class and the serfs. Forget about spreading the wealth around to stimulate the economy when the ruling class can buy whole city blocks, millions of acres of land, foreclosed on homes, basically controlling the very resources that make life possible.
Perhaps the Greeks, and other European countries being kicked around by the IMF and other elements of the western capitalist goon squad, should look toward the East and consider an association with BRICS.
BRICS have been helpful to several poor countries, and they might find it interesting to have some activity in western Europe.
How come suddenly Europe and Germany are the villains?
Greece was borrowing and spending far beyond its means and using their banker friends to cover it all up. Once they had to pay the piper they claimed poverty. In comes the German (and EU tax payer in general) pays off Greece's debt and the only thing they want is for them to start living within their means and pay their restructured debt back.
This should be a teachable moment for the ECB and individual governments in general. Stop bailing out deadbeats. Probably not gonna happen.
Well, the Greek people seem to be screwed on this one. The previous Greek government had about as much financial restraint as a spoiled teenager with their daddy's platinum card, and the current government is having to contend with guido the loanshark as a result. Sad.
What's that got to do with the comment or the article?
Frankly I think cryptocurrency is a scam -
Hmmm - when will Germany pay its war debt to Greece?
Thanks for the irony alert
That's an excuse they just came up with so they won't pay up. Which they probably won't...
Like i said, i hope a lesson was learned here. You bail somebody out and then they screw you. I think AIG tried something similar, suing the US govt for bailing them out and driving their stock price into the toilet. Greece is trying the same thing with Germany now.
So who did? Cuz that money was used somewhere. I think i heard that excuse somewhere else "We didn't know..."
They did live the good life while it lasted.
Your statement is at variance with the facts.
The vast majority of all the loans "to" Greece actually went to foreign banks. Almost none of that torrent of cash ever entered Greece.
Thus the helplessly shrinking Greek economy and expanding Greek misery, under the imposition of restrictions on all forms of government spending. "Austerity" which includes the explicit looting of public assets and income in order to continue to pay off the fraudulent loans.
Thus the synonym, "looting."
"... SYRIZA has completely dodged the bullet."
Well sure, other than living in a country that just voted for utter submission to international financial blackmail, and forced you to honorably resign.
SR, sit back, take a deep breath, and then carefully read what you just wrote.
I'm afraid that you're loosing it sister. Perhaps you need a month or two vacation from CD. Spend a week or two slowly rereading Walden. Get out of the current century for a little while.
Aquifer, I would second that.