Slimviews: Commentary on Global Political and Economic Events by Slim Fairview. Read my blog today or hear it from experts in a month or two. Slim
Perhaps I should not call it commentary.
"Everybody knows what everybody knows." Slim Fairview [From The Quotations of Slim Fairview/ Copyright (c) 2011 Slim Fairview]
But I digress:
The latest reports out are that back in the mists of time, the fact that Greek debt was higher than reported and that prognosticators were saying this could lead to a default at some time in the future, were met with vehement denials and great acrimony.
"You show me disrespect. I got empowerment and dignity. I got an entitlement. Gimme something." [sic]
"Positive reinforcement of negative behaviour is a disincentive to improve." Slim Faiview. The time for stern measures was then. The EuroCrats failed. They were bullied.
Now that disaster has befallen Greece, Europe, Asia, The World, The EuroCrats are attempting to save face by taking stern measures.
Ineffective, ineffectual, but stern. And, too, they are clutching retentively to their ideologies like a two year old with his hands down his nappy.
You cannot have a solution that does not include economic development.
You cannot have a solution that does not increase the middle-class.
"The rise or fall of the middle class is a leading indicator of a nations future." [Success or Failure] The Quotations of Slim Fairview.
Still, the EuroCrats will not budge. This may be trite but it is true: They are rearranging the deck chairs on the Titanic.
Papandreou was to resign. Markets up. Denial. Markets down. Agreement to resign, Markets up.
"Those who forget history are doomed to repeat it." Santayana.
"Those who never learned history are doomed--period!" Slim Fairview
Berlusconi to resign. Markets up. Denial. Market down. When € 500 billion, tell you to go, you go. However, first there must be talk. Rumours. Denials. Pledges. Indignation. (Righteous or otherwise.) Accusations. Recriminations. Finally, a Sanctimonious Submitting of his Resignation--with deep regret. And a nasty insinuation about his critics and the opposition. I apologise if this seems harsh. However, we've seen it before--all too often.
Meanwhile, the Greek Parliament (Critical of the US) is emulating the US Congress in handling serious debt crisis matters. To assuage their bruised egos, the EuroCrats are comparing themselves (Contrasting) favourably to the US. That must offer some satisfaction. No solutions but some satisfaction nonetheless.
The only new visions the EuroCrats have embraced is to move from a failed policy and procedure of pursuing austerity with celerity and no mechanism for growth (rather stifling growth) and repeated larger doses of a medication that harms more than it hurts the patient.
There are some people who, when confronted by the consequences of their actions, will coagulate like white corpuscles to defend the body against the medication designed to heal the illness.” –Slim Fairview
That is what the EuroCrats are doing. Fighting the medication that will heal the illness.
The next step the EuroCrats are in the midst of taking: A Ponzi Scheme. Now that investors have lost half their investment, the EuroCrats are going to China for investors; to Brazil for investors; to the Petrostates for investors. Call it what you will. Define it any way you choose. This is a Ponzi Scheme.
If you are not laughing I will assume you understand the severity of the situation.
Instead of describing my blog as Commentary, let me say that it is more prescriptive than descriptive. But don't bother listening to me. Everybody always doesn't listen to me.
Bon chance.
Slim
slimfairview@yahoo.com
My Comment on The New York Times On Line.
http://community.nytimes.com/comments/www.nytimes.com/2011/11/05/world/europe/italy-agrees-to-imf-oversight.html?permid=46#comment46
Copyright (c) Slim Fairview
Showing posts with label Greek Debt Crisis. Show all posts
Showing posts with label Greek Debt Crisis. Show all posts
Monday, November 7, 2011
Wednesday, October 19, 2011
EuroCrats Take Slim's Advice!
Finally! It was a struggle, but the EuroCrats are finally taking my advice. Maybe now they will offer me a job. Or not.
If you can believe Wolfgang Schäuble, and it is in my best interest to do so, the EuroCrats will focus on ways to Promote Economic Growth. This is something heretofore not addressed. This is what I have been pressing to no avail--up till now.
The absence of ways to promote economic growth has been the cornerstone of the EuroCrats' failure to improve the EuroZone economy or at least stem the decline. Things may now change. However, (for those who've read the monograph on my blog) there is still the EuroGlitch. Now, however, I can report that that glitch is not merely a misalliance between France and Germany. It is a sword that hangs over everyone's head.
From the Manchester Guardian:
Schäuble said a final package would not be in place until the G20 world leaders' summit in Cannes next month. His comments dismayed investors concerned that Berlin and Paris have failed to grasp the magnitude of the eurozone's debt crisis. [ Hold that thought. ]
From the Manchester Guardian:
However, his strong insistence on bank recapitalisation and a restructuring of Greek debt suggests this will not be a painless or a quick outcome. More importantly, he is defending the German approach to the debt crisis and is very robust when talking about the failings of financial markets and the need for fresh regulation.
I will leave both quotes where they are. You can remember them and apply them at the appropriate time.
On The Merkel Plan, Steffen Seibert, spokesman for Angela Merkel, reported "Those are working steps". Translation: We created a plan that will take a long time hoping the crisis resolves itself somewhere along the way. In short, they are back to "hope as a plan".
The real problem, which I alluded to only briefly, and even then inadvertently, is Chancellor Merkel.
Chancellor Merkel has been playing Dionysus, dangling swords over everyone's heads. Perhaps the Chancellor should be the banquet guest instead:
Angela Merkel's strict demands for Greek Austerity, (Without the brand new concession to Economic Development) imposed great hardships on Greece. This inspired my monograph, The EuroCrats' Trojan Plan: Destroy Greece.
You cannot, fire people, cut salaries, raise property taxes, and call it a solution to the problem of Greek Debt.
Angela Merkel's step to bolster the EuroFund with no scraps for France, inspired the monograph, The EuroGlitch. It arose from the comment, "Why should German taxpayers bailout a French Bank that is going to compete with a German Bank".
To France: You may bring the food, but you may not eat any of the food because I am rich.
Additional demands mandated that I point out that:
"Investors invest money to make profits not to mitigate losses."
This arose from the Demands that Private Investors bear a greater burden in the Greek Debt Bailout (Up to 50%).
This suggests that the EuroCrats said to the EuroBanks, "We will give you more money so you can make more bad loans." I must wonder, is this before or after the 50% losses they must endure?
To the Private Investors: Just Send Money--not ideas.
Moody's just warned of a downgrade for French Banks.
EuroBanks have divested themselves of Greek Debt. Not so, France.
France faces a downgrade.
France is left holding the bag.
However, all is not lost.
You have read my comments on the EuroCrisis, The EuroMess, The EuroGlitch, Project Greece, et. al. (Perhaps you even read my monograph Point Taken.)
You may remember my derision of such remarks by Tim Geithner as:
"When France and Germany agree on a plan, big things are possible." (Well, that's just silly.)
Now, however, there is a light at the end of the tunnel.
The Old Plan
Recapitalise the Banks
Bolster the Bailout Fund
Bailout for Greece.
The New Plan
Recapitalise the Banks
Bolster the Bailout Fund
Bailout Greece
Develop ways to promote economic growth
Strengthen the management of the EuroZone.
Repeat
Develop Ways to Promote Economic Growth
Strengthen the Management of the EuroZone
Why didn't they simply listen to me in the first place? Alas, no.
"Don't bother listening to me. Everyone always doesn't listen to me."
http://slimviews.blogspot.com/ Commentary on Global Political and Economic Events by Slim Fairview. Read my stuff today or hear it from experts in a month or two. Slim
Bon Chance.
Sincerely,
Slim
slimfairview@yahoo.com
Copyright (c) 2011 Slim Fairview
If you can believe Wolfgang Schäuble, and it is in my best interest to do so, the EuroCrats will focus on ways to Promote Economic Growth. This is something heretofore not addressed. This is what I have been pressing to no avail--up till now.
The absence of ways to promote economic growth has been the cornerstone of the EuroCrats' failure to improve the EuroZone economy or at least stem the decline. Things may now change. However, (for those who've read the monograph on my blog) there is still the EuroGlitch. Now, however, I can report that that glitch is not merely a misalliance between France and Germany. It is a sword that hangs over everyone's head.
From the Manchester Guardian:
Schäuble said a final package would not be in place until the G20 world leaders' summit in Cannes next month. His comments dismayed investors concerned that Berlin and Paris have failed to grasp the magnitude of the eurozone's debt crisis. [ Hold that thought. ]
From the Manchester Guardian:
However, his strong insistence on bank recapitalisation and a restructuring of Greek debt suggests this will not be a painless or a quick outcome. More importantly, he is defending the German approach to the debt crisis and is very robust when talking about the failings of financial markets and the need for fresh regulation.
I will leave both quotes where they are. You can remember them and apply them at the appropriate time.
On The Merkel Plan, Steffen Seibert, spokesman for Angela Merkel, reported "Those are working steps". Translation: We created a plan that will take a long time hoping the crisis resolves itself somewhere along the way. In short, they are back to "hope as a plan".
The real problem, which I alluded to only briefly, and even then inadvertently, is Chancellor Merkel.
Chancellor Merkel has been playing Dionysus, dangling swords over everyone's heads. Perhaps the Chancellor should be the banquet guest instead:
Angela Merkel's strict demands for Greek Austerity, (Without the brand new concession to Economic Development) imposed great hardships on Greece. This inspired my monograph, The EuroCrats' Trojan Plan: Destroy Greece.
You cannot, fire people, cut salaries, raise property taxes, and call it a solution to the problem of Greek Debt.
Angela Merkel's step to bolster the EuroFund with no scraps for France, inspired the monograph, The EuroGlitch. It arose from the comment, "Why should German taxpayers bailout a French Bank that is going to compete with a German Bank".
To France: You may bring the food, but you may not eat any of the food because I am rich.
Additional demands mandated that I point out that:
"Investors invest money to make profits not to mitigate losses."
This arose from the Demands that Private Investors bear a greater burden in the Greek Debt Bailout (Up to 50%).
This suggests that the EuroCrats said to the EuroBanks, "We will give you more money so you can make more bad loans." I must wonder, is this before or after the 50% losses they must endure?
To the Private Investors: Just Send Money--not ideas.
Moody's just warned of a downgrade for French Banks.
EuroBanks have divested themselves of Greek Debt. Not so, France.
France faces a downgrade.
France is left holding the bag.
However, all is not lost.
You have read my comments on the EuroCrisis, The EuroMess, The EuroGlitch, Project Greece, et. al. (Perhaps you even read my monograph Point Taken.)
You may remember my derision of such remarks by Tim Geithner as:
"When France and Germany agree on a plan, big things are possible." (Well, that's just silly.)
Now, however, there is a light at the end of the tunnel.
The Old Plan
Recapitalise the Banks
Bolster the Bailout Fund
Bailout for Greece.
The New Plan
Recapitalise the Banks
Bolster the Bailout Fund
Bailout Greece
Develop ways to promote economic growth
Strengthen the management of the EuroZone.
Repeat
Develop Ways to Promote Economic Growth
Strengthen the Management of the EuroZone
Why didn't they simply listen to me in the first place? Alas, no.
"Don't bother listening to me. Everyone always doesn't listen to me."
http://slimviews.blogspot.com/ Commentary on Global Political and Economic Events by Slim Fairview. Read my stuff today or hear it from experts in a month or two. Slim
Bon Chance.
Sincerely,
Slim
slimfairview@yahoo.com
Copyright (c) 2011 Slim Fairview
Monday, October 17, 2011
EuroMess
The EuroMess is not the Debt Crisis
The EuroMess is the mismanagement of the EuroCrisis.
I said the other day, The EuroCrats are acting like monkeys chasing their own tails and chattering with delight when they catch them. Now the aren't even catching their tails. Still, they are chattering with delight.
The EuroCrats Craft a new plan
Broad ambitions but short on specifics. Still, they are delighted because it is a comprehensive plan.
It certainly is a safe plan, even if it won't work. How do I know it won't work?
Let us review the plan:
Higher Bank Capitalisation.
Beef up the bailout fund.
Bailout for Greece.
Now:
Did they do this before? Yes.
Repeatedly? Yes.
Did it work?
No.
Enough said?
No.
Enough said!
Yes!
How do the investors feel?
The investors were elated when the new plan was announced, but their elation was deflated when they learned there are no details.
There is, however, a technical term for this: Technical Finalisation".
But wait, there's more!
The EuroCrats rely on Private Investors to provide hundreds of billions of Euros that the fund cannot replace.
Berlin demands Private Investors take bigger losses.
Can anyone make space in his head for anyone who tries to explain how Germany is a help to the EuroZone?
I get the impression I am watching a family get together where the Rich Relatives eat the food that the Poor Relatives provided to curry favour. For what reason I will never know.
"Mama may have; Papa may have; but God bless the child that's got his own--that's got his own." God Bless the Child--Billie Holiday.
Tim Geithner:
"When France and Germany agree on a plan, big things are possible"
Is this Tim Geithner the Economist or Tim Geithner the Brush salesman?
China, Russia, India, Brazil offer to help.
That would appear to be a good thing. Still, that is short on Technical Finalisation. Let us all wait to see what happens. [ This does beg the question: If Emerging Nations contribute to the bailout, what happens to the economies of the emerging nations? ]
"There are no unintended consequences. Only unwanted consequences." Slim Faiview. From The Quotations of Slim Fairview Copyright (c) 2011 Slim Fairview
Please refer to my blog for more details on these and other matters related to the failure of the EuroCrats to solve the crisis.
They are
Intelligent
Educated
Experienced.
In short, they have "credentials".
Why then the failure? Because they are clutching retentively to their ideologies. The problem will never be solved by a plan. Only by a project. Nouns do not solve problems. Verbs solve problems. We need technocrats. Not ideologues.
Bon Chance.
Sincerely,
Slim
slimfairview@yahoo.com
Copyright (c) 2011 Slim Fairview
The EuroMess is the mismanagement of the EuroCrisis.
I said the other day, The EuroCrats are acting like monkeys chasing their own tails and chattering with delight when they catch them. Now the aren't even catching their tails. Still, they are chattering with delight.
The EuroCrats Craft a new plan
Broad ambitions but short on specifics. Still, they are delighted because it is a comprehensive plan.
It certainly is a safe plan, even if it won't work. How do I know it won't work?
Let us review the plan:
Higher Bank Capitalisation.
Beef up the bailout fund.
Bailout for Greece.
Now:
Did they do this before? Yes.
Repeatedly? Yes.
Did it work?
No.
Enough said?
No.
Enough said!
Yes!
How do the investors feel?
The investors were elated when the new plan was announced, but their elation was deflated when they learned there are no details.
There is, however, a technical term for this: Technical Finalisation".
But wait, there's more!
The EuroCrats rely on Private Investors to provide hundreds of billions of Euros that the fund cannot replace.
Berlin demands Private Investors take bigger losses.
Can anyone make space in his head for anyone who tries to explain how Germany is a help to the EuroZone?
I get the impression I am watching a family get together where the Rich Relatives eat the food that the Poor Relatives provided to curry favour. For what reason I will never know.
"Mama may have; Papa may have; but God bless the child that's got his own--that's got his own." God Bless the Child--Billie Holiday.
Tim Geithner:
"When France and Germany agree on a plan, big things are possible"
Is this Tim Geithner the Economist or Tim Geithner the Brush salesman?
China, Russia, India, Brazil offer to help.
That would appear to be a good thing. Still, that is short on Technical Finalisation. Let us all wait to see what happens. [ This does beg the question: If Emerging Nations contribute to the bailout, what happens to the economies of the emerging nations? ]
"There are no unintended consequences. Only unwanted consequences." Slim Faiview. From The Quotations of Slim Fairview Copyright (c) 2011 Slim Fairview
Please refer to my blog for more details on these and other matters related to the failure of the EuroCrats to solve the crisis.
They are
Intelligent
Educated
Experienced.
In short, they have "credentials".
Why then the failure? Because they are clutching retentively to their ideologies. The problem will never be solved by a plan. Only by a project. Nouns do not solve problems. Verbs solve problems. We need technocrats. Not ideologues.
Bon Chance.
Sincerely,
Slim
slimfairview@yahoo.com
Copyright (c) 2011 Slim Fairview
Thursday, September 29, 2011
EuroCracy with Apologies to Swift
Okay. Now it is time to take the gloves off. With apologies to Jonathan Swift.
When a nation truly appears to try to do better in this world, you may know it by this sign, that the dunces are all in confederacy against him. Jonathan Swift
Why all the vitriol for Greece? And in this case, I mean sulfuric acid.
This is what we are hearing from the EuroWizards.
The analysts supported the €110 Billion bailout payment. This, based on the assumption that the Greek economy would grow. (Experience Growth--passive tense.) When there was no growth, the analysts supported imposing sanctions on Greece to punish Greece. For what? For the fact that the analysts assumptions were wrong.
Analysts now tell us that they believe that the €400 Billion "emergency fund" is too small. I may have been bewildered by the babble, however, what I heard is this. "We are not putting more money into the fund. We will, however, co-sign a loan so "The Fund" can borrow money to double in size. (No, we are not in Bernie Madoff territory. Not yet.)
To further aggravate the situation:
ag·gra·vateVerb/ˈagrəˌvāt/
1. Make (a problem, injury, or offense) worse or more serious.
2. Annoy or exasperate (someone), esp. persistently. More »
Dictionary.com - Answers.com - Merriam-Webster - The Free Dictionary
To further aggravate the situation, the EuroCrats have been clutching retentively to the talisman of Austerity. This, like the monkey's paw, grants three wishes. (The downside? The third wish is for death.) The EuroCrats are killing Greece with kindness. The EuroCratic posture toward Greece is: condescending, patronising, and rude.
The programmes are constructed to fail.
"Everybody knows what everybody knows." -- Slim Fairview
"Some people as questions seeking information. Other people as questions so they can interrupt, argue, and pretend they're right." -- Slim Fairivew
"Don't bother asking me. You don't want to hear my opinion. You want to hear your opinion." --Slim Fairview
Last night, as I pondered the situation, I had an epiphany. (Not Θεοφάνεια, Τheophaneia A vision of God; but rather ἐπιφάνεια, epiphaneia, "manifestation" (Okay, enough Googling.)
The ἐπιφάνεια came about when I asked myself, "Why are the EuroCrats clutching retentively to to DEBT RELIEF. Schuldenerlass. Übersetzung für Schuldenerlass? Bernie Madoff.
Greece owes money.
The EuroCrats want to get repaid.
(Giving Greece Money so they can pay back their loans may seem surficially bewildering, however, follow the "logic".)
Greece is in debt. The only thing the Bonds Bear are Low Ratings.
The EuroCrats Create a bailout fund to help Greece with their debt. They prop up Greek Bonds.
Investors Buy the Bonds.
Greece is able to repay the EuroCrats.
The EuroCrats get their money and leave Greece and Private investors holding the bag.
(Analogy: You buy stock. The stock price tumbles. You lose money only if you sell the stock.)
What are the austerity measures being inflicted on Greece and upon the Greek people?
We cut your wages
We lose tax revenue
We fire people
We lose more tax revenue
We raise property taxes on people who make less money or no money at all.
We cowtow to the cows who tell us how wonderful we are to bear the burden to save our country. We feel good about ourselves. No we don't. We feel as if we've been Berned. [sic]
and we are Madoff as hell about it.
With my sincere condolences.
Slim
slimfairview@yahoo.com
Copyright (c) 2011 Slim Fairview
When a nation truly appears to try to do better in this world, you may know it by this sign, that the dunces are all in confederacy against him. Jonathan Swift
Why all the vitriol for Greece? And in this case, I mean sulfuric acid.
This is what we are hearing from the EuroWizards.
The analysts supported the €110 Billion bailout payment. This, based on the assumption that the Greek economy would grow. (Experience Growth--passive tense.) When there was no growth, the analysts supported imposing sanctions on Greece to punish Greece. For what? For the fact that the analysts assumptions were wrong.
Analysts now tell us that they believe that the €400 Billion "emergency fund" is too small. I may have been bewildered by the babble, however, what I heard is this. "We are not putting more money into the fund. We will, however, co-sign a loan so "The Fund" can borrow money to double in size. (No, we are not in Bernie Madoff territory. Not yet.)
To further aggravate the situation:
ag·gra·vateVerb/ˈagrəˌvāt/
1. Make (a problem, injury, or offense) worse or more serious.
2. Annoy or exasperate (someone), esp. persistently. More »
Dictionary.com - Answers.com - Merriam-Webster - The Free Dictionary
To further aggravate the situation, the EuroCrats have been clutching retentively to the talisman of Austerity. This, like the monkey's paw, grants three wishes. (The downside? The third wish is for death.) The EuroCrats are killing Greece with kindness. The EuroCratic posture toward Greece is: condescending, patronising, and rude.
The programmes are constructed to fail.
"Everybody knows what everybody knows." -- Slim Fairview
"Some people as questions seeking information. Other people as questions so they can interrupt, argue, and pretend they're right." -- Slim Fairivew
"Don't bother asking me. You don't want to hear my opinion. You want to hear your opinion." --Slim Fairview
Last night, as I pondered the situation, I had an epiphany. (Not Θεοφάνεια, Τheophaneia A vision of God; but rather ἐπιφάνεια, epiphaneia, "manifestation" (Okay, enough Googling.)
The ἐπιφάνεια came about when I asked myself, "Why are the EuroCrats clutching retentively to to DEBT RELIEF. Schuldenerlass. Übersetzung für Schuldenerlass? Bernie Madoff.
Greece owes money.
The EuroCrats want to get repaid.
(Giving Greece Money so they can pay back their loans may seem surficially bewildering, however, follow the "logic".)
Greece is in debt. The only thing the Bonds Bear are Low Ratings.
The EuroCrats Create a bailout fund to help Greece with their debt. They prop up Greek Bonds.
Investors Buy the Bonds.
Greece is able to repay the EuroCrats.
The EuroCrats get their money and leave Greece and Private investors holding the bag.
(Analogy: You buy stock. The stock price tumbles. You lose money only if you sell the stock.)
What are the austerity measures being inflicted on Greece and upon the Greek people?
We cut your wages
We lose tax revenue
We fire people
We lose more tax revenue
We raise property taxes on people who make less money or no money at all.
We cowtow to the cows who tell us how wonderful we are to bear the burden to save our country. We feel good about ourselves. No we don't. We feel as if we've been Berned. [sic]
and we are Madoff as hell about it.
With my sincere condolences.
Slim
slimfairview@yahoo.com
Copyright (c) 2011 Slim Fairview
Tuesday, September 27, 2011
Monographs on the Greek Debt Crisis
This is a catalogue of the monographs on solving the EuroCrisis"
In blog fashion, it is in reverse order. Please read from the bottom up.
Did the EruoCrats Do Something About the Crisis? Yes? Did it work? No? Don’t do that!
Greece: Problem? Solution!
http://slimviews.blogspot.com/2011/09/greece-problem-solution.html
Did the EruoCrats Do Something About the Crisis? Yes? Did it work? No? Don’t do that!
EruoCrats: It is our policy to fail.
http://slimviews.blogspot.com/2011/09/eurocrats-it-is-our-policy-to-fail.html
Did the EruoCrats Do Something About the Crisis? Yes? Did it work? No? Don’t do that!
Can Leadership be learned? See: EuroCrisis
http://slimviews.blogspot.com/2011/09/can-leadership-be-learned-see.html
Did the EruoCrats Do Something About the Crisis? Yes? Did it work? No? Don’t do that!
EuroCrisis: Hocus Pocus—Focus!
http://slimviews.blogspot.com/2011/08/eurocrisis-hocus-pocus-focus.html
Did the EruoCrats Do Something About the Crisis? Yes? Did it work? No? Don’t do that!
EuroCrisis Analogy
http://slimviews.blogspot.com/2011/08/eurocrisis-analogy.html
Sincerest regards,
Slim
Slimfairview@yahoo.com
copyright (c) 2011 Slim Fairview
In blog fashion, it is in reverse order. Please read from the bottom up.
Did the EruoCrats Do Something About the Crisis? Yes? Did it work? No? Don’t do that!
Greece: Problem? Solution!
http://slimviews.blogspot.com/2011/09/greece-problem-solution.html
Did the EruoCrats Do Something About the Crisis? Yes? Did it work? No? Don’t do that!
EruoCrats: It is our policy to fail.
http://slimviews.blogspot.com/2011/09/eurocrats-it-is-our-policy-to-fail.html
Did the EruoCrats Do Something About the Crisis? Yes? Did it work? No? Don’t do that!
Can Leadership be learned? See: EuroCrisis
http://slimviews.blogspot.com/2011/09/can-leadership-be-learned-see.html
Did the EruoCrats Do Something About the Crisis? Yes? Did it work? No? Don’t do that!
EuroCrisis: Hocus Pocus—Focus!
http://slimviews.blogspot.com/2011/08/eurocrisis-hocus-pocus-focus.html
Did the EruoCrats Do Something About the Crisis? Yes? Did it work? No? Don’t do that!
EuroCrisis Analogy
http://slimviews.blogspot.com/2011/08/eurocrisis-analogy.html
Sincerest regards,
Slim
Slimfairview@yahoo.com
copyright (c) 2011 Slim Fairview
Monday, September 26, 2011
Greece: Problem? Solution!
Greece has been around a long time. Greece predates Europe. The Greek citizen invented the Senate. The Senate did not invent the Greek citizen.
The current state of affairs in Greece is due, in part to Government ownership--In part. The other part is the notion that when the Government owns everything, everyone owns everything. This is the failed Soviet Style of Communism. The reality is that when everyone owns everything, no one owns anything.
With the Greek Citizen—with no vested interest, there is no interest.
Do you dispute me? I shall refute you.
How hard is the Greek worker fighting for his benefits?
Very hard.
Why?
Because his benefits belong to him.
Privatisation is not a dirty word.
While every plan for Greece has involved a bailout, none has involved any capital investment or economic development.
In a recent NY Times article, “The IMF “traditionally” said cutting budget deficits is the solution to the problem. Mr. Summers said Mme Lagarde’s reversal is a welcome change in thinking, emphasizing that we should be establishing a basis for growth.” I assume Mme Lagarde and I are the only two people saying this. Or, perhaps Mme. Lagarde is the only person reading my blogs. Madame goes on to say, “…the markets realize that commitment to cut spending cannot survive a lengthy stagnation.”
The best option for Greece (I have a project not a plan.) is a major economic development project that changes the process.
Let us be honest. The EuroCrats are intelligent, educated, and experienced. Why then have they failed to solve or even mitigate the damages or ameliorate the problems? By the process of elimination, the problem is the process. That must change. In Greek: Δ
The first startling example is that what the EuroCrats are doing to the Greek People can be called “poverty programmes”. The Greek People need “Prosperity Programmes”.
As an aside, I thought that warning of a move to the “right’ would be a consequence for Greece if the problem can’t be solved soon was an overstatement. Then I remembered some American political math. It is analogous.
Dems control Congress + Jimmy Carter = Ronald Reagan.
Dems control Congress + Bill Clinton = Republican turnover in Congress.
Dems control Congress + Barack Obama + Massive GOP turnover in House of Rep.
Okay, I concede. The Greek people can fix the problem now while it is small (by comparison) or wait till there is a real disaster. But I digress.
The difference between the aforementioned Soviet Style Communism and Chinese Communism (Aside from the failure of the former and the success of the latter) is China’s Middle Class.
The divestiture of Greece’s State Owned Assets is crucial to the turnaround in Greece. A limit on foreign ownership of shares in the newly minted, publicly traded companies is also essential.
Some of those assets may include but are not limited to:
Transportation
Energy
Media
Communications
With the Greek Citizen owning the asset, the Greek Citizen will have a vested interest in its success. There will be a profit incentive.
Greece; Influx of Tax Revenue without increasing taxes
Relief from Debt and the crushing interest rates
Benefits of the multiplier effect
Reduction in Lenders: Increase in Investors
Increased Capitalisation of Banks
What has been the alternative so far?
The Greek Government
Raised Taxes
Slashed Pensions
Cut State Salaries
Plans to cut jobs and cut pensions again.
Greece still has problems. Why? Because The Greek Government
Raised Taxes
Slashed Pensions
Cut State Salaries.
Someone then told the Government that by lowering wages tax revenues will fall. The Government solution to this was to fire people. This caused a further decline in revenue. To address this, the Government increased property taxes on the unemployed and underpaid. And all of this is the result of Austerity measures imposed on Greece by the EuroCrats who were working to solve the problem. Call me a flawed human being, but I believe the EuroCrats have failed in their mission.
Union busting will not solve the problem.
Labour strikes will not solve the problem.
Firing people will not solve the problem.
Taxes will not solve the problem.
[No country ever taxed its way to prosperity. The mantra during the first two years of Bill Clinton’s first term as President of the United States.]
For further information, please read my blogs on the matter.
Bon Chance!
Sincerest regards,
Slim
Slimfairview@yahoo.com
Copyright © 2011 Slim Fairview
Economic Stimulus:
The Multiplier Effect:
the Future of the G 20 in Good Times and Bad
China: The economy and a word beginning with the letter P
http://slimviews.blogspot.com/2011/06/china-economy-and-word-beginning-with.html
The current state of affairs in Greece is due, in part to Government ownership--In part. The other part is the notion that when the Government owns everything, everyone owns everything. This is the failed Soviet Style of Communism. The reality is that when everyone owns everything, no one owns anything.
With the Greek Citizen—with no vested interest, there is no interest.
Do you dispute me? I shall refute you.
How hard is the Greek worker fighting for his benefits?
Very hard.
Why?
Because his benefits belong to him.
Privatisation is not a dirty word.
While every plan for Greece has involved a bailout, none has involved any capital investment or economic development.
In a recent NY Times article, “The IMF “traditionally” said cutting budget deficits is the solution to the problem. Mr. Summers said Mme Lagarde’s reversal is a welcome change in thinking, emphasizing that we should be establishing a basis for growth.” I assume Mme Lagarde and I are the only two people saying this. Or, perhaps Mme. Lagarde is the only person reading my blogs. Madame goes on to say, “…the markets realize that commitment to cut spending cannot survive a lengthy stagnation.”
The best option for Greece (I have a project not a plan.) is a major economic development project that changes the process.
Let us be honest. The EuroCrats are intelligent, educated, and experienced. Why then have they failed to solve or even mitigate the damages or ameliorate the problems? By the process of elimination, the problem is the process. That must change. In Greek: Δ
The first startling example is that what the EuroCrats are doing to the Greek People can be called “poverty programmes”. The Greek People need “Prosperity Programmes”.
As an aside, I thought that warning of a move to the “right’ would be a consequence for Greece if the problem can’t be solved soon was an overstatement. Then I remembered some American political math. It is analogous.
Dems control Congress + Jimmy Carter = Ronald Reagan.
Dems control Congress + Bill Clinton = Republican turnover in Congress.
Dems control Congress + Barack Obama + Massive GOP turnover in House of Rep.
Okay, I concede. The Greek people can fix the problem now while it is small (by comparison) or wait till there is a real disaster. But I digress.
The difference between the aforementioned Soviet Style Communism and Chinese Communism (Aside from the failure of the former and the success of the latter) is China’s Middle Class.
The divestiture of Greece’s State Owned Assets is crucial to the turnaround in Greece. A limit on foreign ownership of shares in the newly minted, publicly traded companies is also essential.
Some of those assets may include but are not limited to:
Transportation
Energy
Media
Communications
With the Greek Citizen owning the asset, the Greek Citizen will have a vested interest in its success. There will be a profit incentive.
Greece; Influx of Tax Revenue without increasing taxes
Relief from Debt and the crushing interest rates
Benefits of the multiplier effect
Reduction in Lenders: Increase in Investors
Increased Capitalisation of Banks
What has been the alternative so far?
The Greek Government
Raised Taxes
Slashed Pensions
Cut State Salaries
Plans to cut jobs and cut pensions again.
Greece still has problems. Why? Because The Greek Government
Raised Taxes
Slashed Pensions
Cut State Salaries.
Someone then told the Government that by lowering wages tax revenues will fall. The Government solution to this was to fire people. This caused a further decline in revenue. To address this, the Government increased property taxes on the unemployed and underpaid. And all of this is the result of Austerity measures imposed on Greece by the EuroCrats who were working to solve the problem. Call me a flawed human being, but I believe the EuroCrats have failed in their mission.
Union busting will not solve the problem.
Labour strikes will not solve the problem.
Firing people will not solve the problem.
Taxes will not solve the problem.
[No country ever taxed its way to prosperity. The mantra during the first two years of Bill Clinton’s first term as President of the United States.]
For further information, please read my blogs on the matter.
Bon Chance!
Sincerest regards,
Slim
Slimfairview@yahoo.com
Copyright © 2011 Slim Fairview
Economic Stimulus:
The Multiplier Effect:
the Future of the G 20 in Good Times and Bad
China: The economy and a word beginning with the letter P
http://slimviews.blogspot.com/2011/06/china-economy-and-word-beginning-with.html
Thursday, September 22, 2011
EuroCrats: It is Our Policy to Fail
The handling or mishandling of the debt crisis by the EuroCrats proves one thing. The Process is the Problem.
From the IMF we learn that the set of policy choices that are economically viable and politically feasible is shrinking. That is a bold admission.
Further, the IMF acknowledges the market’s negative response but chooses to stay the course. This is wrong.
Still, the bold admission is a good thing. Oftentimes people don’t take bold action until a crisis is impending. Bureaucrats never do.
Now with Belgium, Italy, and Spain heading toward a crisis, why embrace a proven Policy of Failure? One glaring point: A cash infusion into banks that suffered losses due to the debt crisis will only cause the banks to continue to lose what others infuse.
Meanwhile, there is a call for taxpayers to bolster…..! Any call for taxpayers to bolster anything is a lose—lose situation.
If the plan fails, the crisis deepens.
If the plan succeeds, those who pay for the success of others will harbour a deep resentment. If you don’t believe me: Parliament Hampers Merkel Deal Making.
EuroBanks stand to lose €630 Billion. Banks are starting to not trust each other or lend to each other. That is not a good sign either.
The IMF goes on to say that the Global Credit Crisis moved into the Political Phase. Therein lies the punishment for using political considerations to solve the problem in the first place.
Greece and Europe suffer from problems of Austere Proportions.
As I previously stated, “Analysts conceded a €110 Billion bailout for Greece on the assumption that the Greek economy would grow. Then, they called for sanctions to punish Greece because their assumptions were wrong.”
The austerity measures to be imposed by (upon) Greece include a move to reduce public employment.
“There are no unintended consequences, only unwanted consequences.” –Slim Fairview
Such a move will
Reduce tax revenue.
Strain the social safety net,
Negatively impact the multiplier effect; if there is one.
[ http://www.slideshare.net/slimfairview/the-multiplier-effect-4962273 ]
Greece may consider some alternatives
Sell state owned assets [to Greek citizens].
Seek Foreign Investors instead of Foreign Lenders. [Asia. Brazil]
Encourage, promote, and support, entrepreneurship for the Greek people.
The Nanny-State mentality in Europe has less to do with benefits and more to do with business. It is easy for a society to become complacent if the jobs are already there whether provided by Big Government or by Big Business. SMEs provide jobs, growth, economic stimulus, and prosperity. Don’t believe me? The headline in the NY Times reads: India Nurtures Entrepreneurship.
Economic Stimulus by Metaphor
http://slimviews.blogspot.com/2011/06/economic-stimulus-by-metaphor.html
Greece can also follow my prescription for the American housing crisis. Only they may wish to expand upon it—tailor it to Greek needs.
Stop Foreclosures
Rewrite Loans at a lower payment rate
Add a balloon payment. [2018, 2019, 2020]
Will all this work?
Did your efforts fail?
The EuroCrats are Intelligent, Educated, and Experienced.
Q: Why the failure?
A: The Process
The meeting of the minds emphasises consensus. The EuroCrats do not need consensus. The EuroCrats need acknowledgement.
“The fact that you cannot predict the future is not a proper rebuff to the one who tells you to get off the tracks a train is coming.” –Slim Fairview
Sincerest regards,
Slim
Copyright © 2011 Slim Fairview
From the IMF we learn that the set of policy choices that are economically viable and politically feasible is shrinking. That is a bold admission.
Further, the IMF acknowledges the market’s negative response but chooses to stay the course. This is wrong.
Still, the bold admission is a good thing. Oftentimes people don’t take bold action until a crisis is impending. Bureaucrats never do.
Now with Belgium, Italy, and Spain heading toward a crisis, why embrace a proven Policy of Failure? One glaring point: A cash infusion into banks that suffered losses due to the debt crisis will only cause the banks to continue to lose what others infuse.
Meanwhile, there is a call for taxpayers to bolster…..! Any call for taxpayers to bolster anything is a lose—lose situation.
If the plan fails, the crisis deepens.
If the plan succeeds, those who pay for the success of others will harbour a deep resentment. If you don’t believe me: Parliament Hampers Merkel Deal Making.
EuroBanks stand to lose €630 Billion. Banks are starting to not trust each other or lend to each other. That is not a good sign either.
The IMF goes on to say that the Global Credit Crisis moved into the Political Phase. Therein lies the punishment for using political considerations to solve the problem in the first place.
Greece and Europe suffer from problems of Austere Proportions.
As I previously stated, “Analysts conceded a €110 Billion bailout for Greece on the assumption that the Greek economy would grow. Then, they called for sanctions to punish Greece because their assumptions were wrong.”
The austerity measures to be imposed by (upon) Greece include a move to reduce public employment.
“There are no unintended consequences, only unwanted consequences.” –Slim Fairview
Such a move will
Reduce tax revenue.
Strain the social safety net,
Negatively impact the multiplier effect; if there is one.
[ http://www.slideshare.net/slimfairview/the-multiplier-effect-4962273 ]
Greece may consider some alternatives
Sell state owned assets [to Greek citizens].
Seek Foreign Investors instead of Foreign Lenders. [Asia. Brazil]
Encourage, promote, and support, entrepreneurship for the Greek people.
The Nanny-State mentality in Europe has less to do with benefits and more to do with business. It is easy for a society to become complacent if the jobs are already there whether provided by Big Government or by Big Business. SMEs provide jobs, growth, economic stimulus, and prosperity. Don’t believe me? The headline in the NY Times reads: India Nurtures Entrepreneurship.
Economic Stimulus by Metaphor
http://slimviews.blogspot.com/2011/06/economic-stimulus-by-metaphor.html
Greece can also follow my prescription for the American housing crisis. Only they may wish to expand upon it—tailor it to Greek needs.
Stop Foreclosures
Rewrite Loans at a lower payment rate
Add a balloon payment. [2018, 2019, 2020]
Will all this work?
Did your efforts fail?
The EuroCrats are Intelligent, Educated, and Experienced.
Q: Why the failure?
A: The Process
The meeting of the minds emphasises consensus. The EuroCrats do not need consensus. The EuroCrats need acknowledgement.
“The fact that you cannot predict the future is not a proper rebuff to the one who tells you to get off the tracks a train is coming.” –Slim Fairview
Sincerest regards,
Slim
Copyright © 2011 Slim Fairview
Thursday, July 21, 2011
European Union: Less a Fraternity more a Tontine
The problem the EuroCrats are having arises from the fact that they are dealing with problems on a propter hoc basis.
True, Greece needs help with its debt. However, while the EuroCrats have become fixated on Greece, they are ignoring the problems of Ireland, Italy, Spain, et. al.
When other countries like Ireland begin to reach the state Greece is in, the EuroFolk may try to heal Ireland's malady with Greek medication. This does not always work.
The analogy: Any woman who ever had children can tell you, when one gets sick, they all get sick. Then, they give whatever it is back to the one they caught it from in the first place.
EuroFlu is no different.
No sooner than Greece gets well, than Ireland will need help. Or Italy.
Then there are the issues of incompatible medications and competing physicians. As I've read in the news, only recently have Germany and France formed a compact. EuroBankers have contradicted EuroCrats, Analysts have argue with both and each other.
The solution must involve all the nations. The solution to one country's problems may not work for another. However, the solving of one nation's problems must not cause problems for another nor make it impossible for the other country to move forward.
The EuroCratic approach is beginning to appear less like a fraternity and more like a tontine.
Regards,
Slim
slimfairview@yahoo.com
Copyright (c) 2011 Slim Fairview
True, Greece needs help with its debt. However, while the EuroCrats have become fixated on Greece, they are ignoring the problems of Ireland, Italy, Spain, et. al.
When other countries like Ireland begin to reach the state Greece is in, the EuroFolk may try to heal Ireland's malady with Greek medication. This does not always work.
The analogy: Any woman who ever had children can tell you, when one gets sick, they all get sick. Then, they give whatever it is back to the one they caught it from in the first place.
EuroFlu is no different.
No sooner than Greece gets well, than Ireland will need help. Or Italy.
Then there are the issues of incompatible medications and competing physicians. As I've read in the news, only recently have Germany and France formed a compact. EuroBankers have contradicted EuroCrats, Analysts have argue with both and each other.
The solution must involve all the nations. The solution to one country's problems may not work for another. However, the solving of one nation's problems must not cause problems for another nor make it impossible for the other country to move forward.
The EuroCratic approach is beginning to appear less like a fraternity and more like a tontine.
Regards,
Slim
slimfairview@yahoo.com
Copyright (c) 2011 Slim Fairview
Friday, July 8, 2011
The EuroVisioning Process: Shared Visions or Divsions
As I've been following the EuroCrats, a few questions have come to mind.
Is there no SOP?
Is there no metaphorical algorithm?
There are cause and effect relationships in economics.
There seems to be one of two possibilities.
That actions in one country (or agency, e.g. The EuroBank) will have an effect on another country's economy we can expect the following:
That those actions will either hurt or help the other country's economy.
If such actions are helpful, they should be taken.
If such actions are not helpful, then this EuroTopian vision won't work because the policies to benefit two countries are mutually exclusive.
Does no one have a pencil and a piece of paper?
Regards,
Slim
Slimfairview@yahoo.com
Copyright (c) 2011 Slim Fairview
Is there no SOP?
Is there no metaphorical algorithm?
There are cause and effect relationships in economics.
There seems to be one of two possibilities.
That actions in one country (or agency, e.g. The EuroBank) will have an effect on another country's economy we can expect the following:
That those actions will either hurt or help the other country's economy.
If such actions are helpful, they should be taken.
If such actions are not helpful, then this EuroTopian vision won't work because the policies to benefit two countries are mutually exclusive.
Does no one have a pencil and a piece of paper?
Regards,
Slim
Slimfairview@yahoo.com
Copyright (c) 2011 Slim Fairview
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