Tuesday, July 7, 2015

Why Is Tsipras Being Lambasted?

As I implied in my last article, the EU is seeking to oust Alexis Tsipras and his Syriza - led government party from office. They see in the referendum an opportunity. A "yes" vote will cause chaos within the Greek Parliament and a new call will arise for an election to form a majority in government.
It also shows the smallness and vindictiveness of the EU members. To bad for the EU it didn't work, but I ask WHY?
has done a credible job. His leadership showed in the fact that the Greek economy registered a slight surplus in 2014. He reduced imports, a drain on your finances by an astonishing 36%. He cut government jobs and hours worked. He cut pensions and jobs, while facing the results of austerity of the EU policy which has caused over 25% unemployment in Greece, OUCH!
He faced a challenge that in reality is insurmountable and the government leaders in the US had better heed the warning of continuous deficits in relationship to the ratio of debt to GDP. It can blow up your economy.
Our press doesn't give a fair or honest reporting of the situation. They paint Tsipras as a buffoon because our leaders side with fiat central bankers who oppose Tsipras.
The poor Greek nation suffers high unemployment with little prospects. They suffer with migration of multitudes from wars in the Middle East with little assistance and now, capital controls that seep fear into the masses. Just imagine if our President instituted this technique on our banks to stop runs on the banks. It happened before in 1929 and 1933. Just think how you would cope if you could not use your credit card or pay with your smartphone? Checks were not allowed and you could only withdraw $100 from your ATM or full service bank? This is what the EU has done to Greece.
Now, the EU has called a final meeting for this Sunday. They dragged this out, so Greece would squirm a little as their banks are still closed and under stress. Greece had their finance minister quit to show some appeasement. His replacement, Tsakalotos was initially well received, but now gets the cold shoulder. The EU has basically given Greece an ultimatum. Regardless of the outcome, the distrust seed has been planted. It will germinate at some point.
Keep in mind, this is what the Federal Reserve could do in the US. It is why I say, End the Fed!
P.S. : I stated right from the beginning that Europe's Southern Nations should form their own economic block with their own currency. The PIIGS (Portugal, Ireland, Italy, Greece, Spain) would have a low valuation which would spur their exports, grow jobs, tourism, and their economies. They are being exploited by the Northern Nations who benefit with a lower priced currency which helped their economies while the Southern Nations received no such benefit.