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Choice Not on Ballot in French Election

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Choice Not on Ballot in French Election

 

by Stephen Lendman

 

France replicates most Western societies. Elections give voters little choice at best. Most often there’s none. Two dominant parties usually compete. In France, there’s three.

 

On April 22, first round presidential election voting took place. Three main parties competed. Former Union for a Popular Movement (UMP) leader and current president, Nicolas Sarkozy, faced two main challengers

 

He squared off against Socialist Party’s (PS) Francois Hollande and the far right National Front’s (FN) Marine Le Pen.

 

All three represent wealth and power. Popular interests aren’t considered. Sarkozy is far to the right of center. Neo-fascist best describes him. Le Pen’s even worse.

 

Sarkozy’s hugely unpopular. Voters aren’t fooled by demagogic rhetoric calling himself “the people’s candidate,” wanting workers “to live from (their) labor.”

 

How can they be with fast disappearing jobs. They want leaders committed to creating them. They want banker bailouts and euro straightjacket austerity ended.

 

One size fits all doesn’t work. Uniting 17 dissimilar countries under rigid euro rules failed. Eurozone monetary union was doomed to fail. Nonetheless, it was engineered fraudulently to look workable.

 

Membership means foregoing the right to devalue currencies to make exports more competitive, maintain money sovereignty to monetize debt freely, and legislate fiscal policy to stimulate growth.

 

European Central Bank (ECB) officials run financial policies. Sovereign governments have no say. French voters and others across Europe want measures hurting them reversed.

 

They chafe under ECB enforced rules, terms and diktats. They control parliaments. They pressure, bribe or otherwise force capitulation in ways no no shark would demand.

 

Predatory finance is a new form of warfare. What it wants it gets. Mass layoffs, wage and benefit cuts, and other painful measures assure bankers get paid first.

 

France is entrapped like other Eurozone countries. Sarkozy fronts for powerful financial interests. It’s hard imagining why anyone but elitists support him. Since taking office in May 2007, hundreds of thousands lost jobs.

 

Official unemployment’s at 10%, the highest in over 12 years. Around three million wanting jobs can’t find them. In the past decade, France lost more industrial jobs than any European country. Many came during Sarkozy’s tenure. He’s a job destroyer, not creator.

 

In 2008, he pledged 100,000 new ones. He was elected on a promise to revive employment, let workers earn more, and protect their pensions.

 

He pledged one thing and did another. He deplores worker rights. He supports reducing labor costs and cutting payrolls.

 

Over 1.4 million lost jobs. Around half a million were industrial ones. Wages and benefits were cut. So were pensions. Austerity harms European workers, including French ones.

 

Voters want him out. He advanced to a May 6 runoff. Polls show him well behind, though two late ones reflect a closer race. Let them eat cake policies win few friends. Neither does supporting imperial America.

 

New information surfaced about Gaddafi offering millions to fund his campaign. The French web site Mediapart said it had a 2006 Libyan document Gaddafi’s intelligence chief Moussa Koussa signed. It offered Sarkozy $66 million.

 

“It’s a setup, a slanderous” claim, he responded. He accused Mediapart of being a leftist mouthpiece. Opposition candidate Hollande urged judicial authorities investigate. So did Segolene Royal, the 2007 race runner-up. Gaddafi, of course, can’t confirm or deny reports. Dead men tell no tales.

 

Sarkozy’s right wing agenda can’t be denied. Nor can his hostility to democratic rights, immigrants, Roma, and and Islam.

 

France has Europe’s largest Muslim population. It’s about 10% of its populace. Sarkozy calls wearing the burqa a “symbol of enslavement,” adding:

 

“We cannot accept to have in our country women who are prisoners behind netting, cut off from all social life, deprived of identity.”

 

His solution is force-feeding secularism. It’s also about Islamophobia. It’s increasing dangerously. Right wing extremism fuels it. Sarkozy’s neo-fascism shares blame. The French umbrella Muslim group CFCM said attacks and insults rose 22% in 2011.

 

Interior Ministry figures show dozens of reported cases. According to CFCM’s president Abdallah Zekri, official numbers way understate reality. Many victims stay silent.

 

They face physical attacks, insults, provocations, Koran burnings or profanations, as well as incidents affecting mosques and cemeteries.

 

How likely winner Hollande handles these and other vital concerns won’t likely please voters. They’re being set up again for disappointment. They especially want pocket book issues addressed. Hollande’s agenda is opposite of what they need.

 

Ahead of the May 6 vote, he pledged more structural harshness. He supports worker layoffs. Hard hit French companies plan them. Sweeping ones are likely. So are more plant closings, wage and benefit cuts, and other measures on top of everything harming labor so far.

 

Called “Mr. Normal” by some, his political record is noticeably undistinguished. Perhaps he’s the least worst choice, but France deserves better.

 

New Yorker contributor Adam Gopnik calls him “the inoffensive, myopic, weight-conscious Socialist candidate, a man so milky-mild that one has to project onto him a secret life to make him seem not just a fully credible politician but a fully credible human being.”

 

His appeal rests on Sarkozy’s failure and Le Pen’s extremism. His rhetoric belies what’s coming with him as president. He supports austerity, deficit reduction, social spending cuts, and other polices serving finance capital.

 

His book titled “Let’s talk about France” attacked welfare state policies. He’s more right-wing than left. He was one of former President Francois Mitterrand’s economic advisors. He stayed loyal when austerity, factory closings, and layoffs became policy.

 

In 1999, he became the Socialist International’s vice president. In 2004, he organized the Socialist Party’s campaign for the neoliberal EU constitution. He also supports France’s imperial alliance with Washington. As president, he’ll resemble Obama, not FDR.

 

France’s financial aristocracy prefers Sarkozy. It finds little fault with Hollande. During his tenure, social democratic change won’t reemerge. At issue is how long will French workers tolerate him?

 

April 22 was round one. Sarkozy and Hollande advanced to a May 6 runoff. Le Pen finished third. Her National Front (FN) party received its highest ever support. Popular discontent fueled it. Pocket book issues matter most. Ten candidates competed. Only three mattered.

 

Late polls show Hollande winning with from 53 – 55% of the vote. Sunday, May 6 will decide. Progressive change won’t triumph. Workers are again set up for disappointment.

 

Finance capitalism dominates Europe. Hollande supports it. Socialist Party (PS) politics govern from the right, not left. Its name belies its policies.

 

PS is to Sarkozy’s Union for a Popular Movement (UMP) as US Democrats are to Republicans. Not a dime’s worth of difference separates them on issues mattering most.

 

Europe is much the same, including in France. On May 7, expect finance capital and France’s privileged to awaken knowing they’re in good hands with Hollande.

 

Same old, same old always wins. Worker interests haven’t a chance. Ballot box activism doesn’t produce change. Much more robust efforts are needed.

 

The way France, all Europe, and America are heading, maybe it’ll show up one day and try. There’s no other way popular interests can beat monied ones.

 

Stephen Lendman lives in Chicago and can be reached at lendmanstephen@sbcglobal.net.

 

Also visit his blog site at sjlendman.blogspot.com and listen to cutting-edge discussions with distinguished guests on the Progressive Radio News Hour on the Progressive Radio Network Thursdays at 10AM US Central time and Saturdays and Sundays at noon. All programs are archived for easy listening.

 

http://www.progressiveradionetwork.com/the-progressive-news-hour/.

Europe’s Losing Game

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Europe’s Losing Game

 

by Stephen Lendman

 

Partnering with America has consequences.  Europe’s paying by shooting itself in the foot.

 

On January 23, EU representative for foreign and security affairs, Catherine Ashton, broke the news. She announced an “unprecedented” anti-Iranian oil embargo, effective July 1 and immediately from new contracts.

 

The ban covers crude oil, petroleum and petrochemical products, oil related business, equipment and technology, selling Tehran refined products, new investments, and dealing with its central bank.

 

Europe buys up to 20% of its oil from Iran. Ending it means greater strain on economically stressed countries. Making up lost volume won’t be easy. Putting lipstick on this pig doesn’t wash.

 

Alternatives are few and far between. Claiming Saudi Arabia can compensate is false. Iran’s reserves are third largest globally. No combination of Gulf states can replace its shipments.

 

Seyyed Emad Hosseini, Iran Majlis (parliament) Energy Committee spokesman said:

 

Iran’s “powerful and oil sanctions imposed by European countries will only harm the European Union because Iran can easily prove its oil supremacy in the Middle East region.”

 

MP Nasser Soudani said “Europe will burn in the fire of Iran’s oil wells….the structure of (Europe’s) refineries is compatible with Iran’s oil,” so what’s their alternative.

 

Moreover, expect oil prices to spike. Economic damage will follow. Weak EU nations will crater. Policy makers behind this scheme should be fired and replaced.

 

It gets worse. On January 28, Soudani said Iran’s Majlis (parliament) Energy Committee finalized a bill to “halt all oil exports to European countries as long as they continue to ban oil imports from Iran.”

 

Moreover, another clause forbids importing goods from countries imposing sanctions. If adopted, EU oil shipments may end in days. Vital supplies will be lost. Rogue EU countries will be left high and around 20% dry.

 

Sanctions cut both ways. Iran’s extracting its own price. Going along with America is misguided. Policy makers in other countries know better. China’s Foreign Ministry said “blindly pressur(ing) and impos(ing) sanctions on Iran are not constructive approaches.”

 

Turkey’s Foreign Minister Ahmet Davutoglu said:

 

“We have very good relations with Iran, and we are putting much effort into renewing Iran’s talks with the 5+1 (the five permanent Security Council members plus Germany) mediators’ group. Turkey will continue looking for a peaceful solution to the issue.”

 

Too bad Ankara isn’t like-minded on Syria and wasn’t firm against join NATO’s anti-Libyan alliance. As a result, its credibility falls short.

 

Rogue EU states gave Iran an ultimatum. Like Washington, they’re using its alleged nuclear threat to pursue regime change plans. Direct intervention may follow if other measures fail. In response, Iran’s hitting EU nations where it hurts.

 

At the same time, its saying partner with America’s belligerence and suffer the consequences. As a result, some EU nations may have second thoughts.

 

Others already dismissed sanctions, including Russia, China, Brazil, India, and perhaps Japan and South Korea. Expect growing numbers to join them. Partnering with Washington’s self-destructive. Wiser nations refuse when their own interests are sacrificed.

 

Washington’s also harmed in other ways. It’s showing up in non-dollar denominated bilateral trade agreements. America relies on global dollar hegemony.

 

China excludes dollar transactions in numerous bilateral deals. So do many other countries, including Russia, Brazil, India, Argentina, Indonesia, Iran, UAE, South Korea, Malaysia, Syria, Cuba, Belarus, Venezuela, and others.

 

In fact, swap agreements are proliferating. In 2009, seven Latin American nations established the Bank of the South. They include Venezuela, Argentina, Brazil, Uruguay, Paraguay, Bolivia and Ecuador.

 

Plans are to include all regional countries, outside the dollar, IMF and World Bank. Part of it’s establishing a new SUCRE currency within the Union of South American Nations, independent of America.

 

Moreover, oil-rich Middle East countries plan their own monetary union and common currency. In the late 1990s, Asia’s Chiang Mai Initiative (CMI) promoted financial cooperation among Association of Southeast Asian Nations (ASEAN).

 

ASEAN swap agreements expanded to the Chiang Mai Initiative Multilateralization (CMIM), regional bond markets, and bilateral swap deals. China’s arrangement with Japan is especially significant given their mutual trade volume. It also promises others regionally away from the dollar, weakening it in the process.

 

While China, Japan, India, Brazil, Russia and other developing countries build strong bilateral and multilateral ties, America’s making more enemies than friends.

 

In May 2009, Nouriel Roubini warned about a dollar decline. It’ll take a decade or longer, he believes, but could happen sooner if America doesn’t “get its financial house in order.”

 

Moreover, the more other countries diversify, the faster it’ll happen. It’s only a matter of time as long as Washington’s wicked ways continue. So far, there’s no ending them in sight.

 

Stephen Lendman lives in Chicago and can be reached at lendmanstephen@sbcglobal.net.

 

Also visit his blog site at sjlendman.blogspot.com and listen to cutting-edge discussions with distinguished guests on the Progressive Radio News Hour on the Progressive Radio Network Thursdays at 10AM US Central time and Saturdays and Sundays at noon. All programs are archived for easy listening.

 

http://www.progressiveradionetwork.com/the-progressive-news-hour/.

UK Government Suppresses Truth

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UK Government Suppresses Truth

 

by Stephen Lendman

 

Press TV broke the news headlining, “Ofcom revokes Press TV’s UK license,” saying:

 

In a questionable move and without offering a valid response to the Press TV CEO’s letters, the British Office of Communications (Ofcom)” pulled the plug disgracefully.

 

After threatening it for months, it “removed the channel from the Sky platform.”

 

Britain’s decision came at its highest levels. Likely Prime Minister David Cameron was involved. Suppressing truth burnished Britain’s credentials as a reliable axis of evil partner, together with America and Israel. Expect much worse ahead from all three.

 

Revoking Press TV’s license was clear irresponsible censorship. Doing so suppressed truth. UK television viewers were deprived of real news, information, commentary and analysis.

 

Fortunately, they have options. They can still follow Press TV online, through below listed web sites, or by satellite as follows:

 

Hot Bird 8 (13E)

12437

27500

3/4

H

 

Eurobird 1 (28.5E)

11222

27500

2/3

H

 

SES ASTRA (19/2E)

12460.50

27500

3/4

H

 

The following web sites also carry it worldwide:

 

Zattoo (Internet platform and IPTV. Supports PC, MAC, Linux and all tablet PCs and smartphones) (UK)

 

 

OHTV Box (Internet Set-top box) (Worldwide)

 

 

Roku Box (Internet Set-top box) (Worldwide) (Available in UK from January 2012)

 

Livestation (Internet platform. Supports PC MAC, Linux and all tablet PCs and smartphones)

 

In addition, they can use Press TV’s web site:

 

presstv.ir

 

Available 24-hours a day, it’s a simple click-and-use way to follow Press TV regularly.

 

At issue is its even-handed coverage, real news and information, anti-imperial Middle East reporting, and accurate accounts about “British police crackdowns on anti-austerity protesters in London and other cities.”

 

In addition, Ofcom is close to Britain’s royal family. WikiLeaks cables disclosed its anger over Press TV’s coverage of Prince William/Kate Middleton’s wedding extravaganza.

 

Indeed so. Estimates ranged from $5 – $50 billion because a national holiday shut down Britain’s economy. Activity ground to a halt. Workers lost pay, and security costs were huge. Thousands of police (perhaps on overtime) and other measures were employed.

 

Last April, this writer discussed it on Press TV, saying:

 

With Britain’s economy weak and declining, the spectacle was “shocking and disgusting.” It was “an extravagant waste of money” while “popular needs go begging.”

 

Contemptuous of people needs, “rich folks cavort with unlimited amounts of money. It’s the same in America as Britain.”

 

In January, Press TV CEO Mohammad Sarafraz wrote Ofcom. He questioned its independence because Britain’s Secretary of State has hiring and firing authority over its chairman and staff.

 

Ofcom’s also beholden to “loans and Grant-in-Aid from the British Government.”

 

In addition, he raised a “glaring contradiction,” saying:

 

“Ofcom wants to revoke” Press TV’s license because it determined that it “does not have control over the broadcast. Yet at the same time, Ofcom” fines Press TV for something it “says it has no control over!”

 

Ofcom’s action is a “futile….attempt to conceal the truth from the people of Britain, and those that want to hear our alternative voice will find a way despite your efforts.”

 

Viewers React

 

Comments Press TV received included the following:

 

“Nimco: What do we expect. Sky TV is owned by Rupert Murdoch, a known Zionist and Islamophobe. But the truth is stronger than hate. Press TV will prevail in the end.”

 

Samy: This is a joke. Other channels have done worse things than what they say about Press TV, and they have not had their license revoked. I will cancel my Sky account. I wish more people will do that. Where is their freedom of speech then???

 

James: Britain could not compete with Press TV and so took it down.

 

Sharon: Press TV has done a brilliant job showing this Royal Family’s true colors….Ofcom is obeying their freemason masters and doing what they are told.

 

Ryan: Today is a sad day for us Brits as Press TV was wrongly taken off the air….However, this is not going to stop me watching online.

 

British-Pakistani: Ofcom can’t silence the truth.

 

Seektruth: My Sky subscription is now cancelled.

 

BritishIdiots: This is how (UK) democracy works (by) bombing children and women.

 

yenda rasta: This action (is) how communist regimes behind the iron curtain” operated. It’s the same in Britain.

 

Hassan: One of the best sources of information in UK is Press TV. Shame on UK.

 

Citizen of the World-UK: This is a black day for freedom of speech….There is NO FREEDOM OF SPEECH in this country….I cancelled my Sky account after their reporting on Gaza….Thank you Press TV.”

 

For reporting accurately on major issues, Press TV deserves praise. Why else would Britain ban it?

 

Northern Ireland political analyst Saeb Shaath called doing so “a gross reminder of the Spanish inquisition” to silence free speech and truth. That’s what “scared them.”

 

It’s “an international and imperialist war against the freedom of expression, and all that is coming to deny Iran the ability of expressing really what is happening in Iran and the motives behind imperialist forces (to) attack a country (that) never for the last three hundred years attacked anyone” except in self-defense “against aggressors.”

 

Major Media Reaction

 

True to form, US major media scoundrels marched in lockstep with Ofcom. New York Times writer Ravi Somaiya headlined, “Britain Revokes Iranian TV Network’s License,” saying:

 

“Britain’s media regulator revoked” Press TV’s license, “saying the network had failed to address concerns over its editorial independence and had not paid a fine.”

 

The Washington Post ran an AP article headlined, “British regulator revokes license of Iran’s English-language Press TV,” saying:

 

“Ofcom said it was not convinced the station, an arm of the Islamic Republic of Iran Broadcasting, had control over the programs it aired….Press TV called the decision ‘a clear instance of censorship.’ ”

 

Wall Street Journal writers Paul Sonne and Farnaz Fassihi headlined, “Tehran’s TV Channel Loses British License,” saying:

 

“….Ofcom realized editorial control of Press TV rested with the broadcaster’s headquarters in Tehran, rather than with its operations in London.”

 

CNN headlined, “UK revokes Iranian network’s license,” regurgitating comments like above.

 

MSNBC ran a Reuters article doing the same thing. So did Murdoch’s Fox News, adding: “It is a crime in Britain to broadcast without a license.” It’s true as well for truth and full disclosure reporting. They’re also suppressed in America, especially on Fox.

 

For years, America’s major media scoundrels waged war on Iran. Supportively, they back Washington’s regime change plans. They also misreport, distort, and cheerlead all US imperial wars.

 

London Guardian writer Mark Sweney headlined, “Iran’s Press TV loses UK license,” saying:

 

“….Ofcom revoked its license for breaching the Communications Act. (It) found that Press TV’s practice of running its editorial oversight from Tehran….is in breach of broadcasting license rules in the UK.”

 

“Hadi Ghaemi, director of the International Campaign for Human Rights in Iran, welcomed Ofcom’s decision. ‘It’s about time for the Iranian government to pay a price for its reliance on broadcasts to commit and promote egregious human-rights crimes.’ ”

 

Britain’s state owned BBC regurgitated Ofcom’s fabrication about “breach(ing) several broadcasting license rules over editorial control of the channel.” Why not? They were told what to report and did so.

 

In contrast, Russia Today quoted Press TV calling Ofcom’s revocation “a clear act of censorship.” UK media analyst Phil Rees said it was geopolitically motivated, saying:

 

“Press TV has been viewed through geopolitical terms – and there is a breakdown of relations between Britain and Iran. Press TV’s journalism is not viewed (as) journalism, but….in terms of British-Iranian relations.”

 

“Most of the criticisms of Press TV have been due to its coverage, because it sees the Middle East very differently than the mainstream media in Britain.”

 

He called taking it off air a “tragedy.”

 

Journalist/Press TV host Yvonne Ridley was quoted saying “the so-called ‘free democracies’ don’t like the truth, and they will go to extraordinary levels of censorship to stop what they see as criticism of the way they run their governments.”

 

Truth and full disclosure got Press TV’s license pulled, not breaching UK law. Moreover, British government owned, funded and controlled BBC operates out London. By Ofcom’s reasoning, perhaps its license should be revoked. Former viewers and listeners wanting real news and information would applaud.

 

In July 2009, the Guardian published Press TV’s Roshan Muhammed Salih op-ed headlined, “Press TV speaks for itself,” saying:

 

Britain’s media calls Press TV Iran’s “mouthpiece. (It’s) hypocritical in the extreme, as exemplified by a sneering (BBC) Newsnight report, several offensive articles by rightwing commentators, and most recently a misleading post by Seth Freedman on Comment is free.”

 

Spurious accusations include being “Iran’s mouthpiece, (a) Holocaust denier, (and) fail(ing) to cover (Iran’s 2009) elections fairly.”

 

“All you need to do is watch the channel to realize that Press TV gives a platform to a wide diversity of views – pro-Israel and anti-Iranian government among them.” It does the same for Hamas, Hezbollah and other voices excluded from major media spaces.

 

Former UK MP/Press TV host George Galloway said:

 

Ofcom’s decision is “not about media regulation. All sorts of foreign TV channels are modeled along the same lines as Press TV.”

 

In addition, many “obscene sex channels operate under Ofcom’s nose, and they’re free to do so. Our crime at Press TV is not only that we are telling the truth that most other broadcasters deliberately conceal, but we were becoming more and more popular.”

 

Britain’s hypocritical stance on free speech belies its actions. “We’re actually told here in Britain that we go to war to bring such freedoms to them.”

 

Ofcom officials are “highly paid servants of the British state. They’re not independent as this action makes clear.” In fact, WikiLeaks cables revealed that UK and US officials “discussed how to put Press TV off the air.” The London Times “quoted a highly placed Foreign Office official saying efforts were being made to take Press TV off the air.”

 

“This was long before any questions” Ofcom raised in its complaints. “They were out to get us because we were achieving more and more a greater share of the audience.”

 

Viewers follow Press TV because “it’s a voice for the voiceless. God willing, it will continue to be.”

 

“If you were drawing up a list of Press TV ‘crimes,’ ” how it covers Israel/Palestine “is right up at the top.” For years, “Ofcom harassed Press TV on (this) issue….”

 

Truth is widely suppressed in UK media. “The cat’s chorus of conformity….is already becoming infamous around the world,” including on BBC. More recently, it became “the Bush and Blair” operation, “and hasn’t recovered. It’s absolutely craven in front of power.” Of course, Britain “controls their purse” and with it their content. The “same goes for Ofcom.”

 

A Final Comment

 

Press TV interviews this writer often. It provides a platform to speak openly and freely on many topics. Other independent writers, authors, academics and analysts also appear regularly. BBC and America’s major media exclude them.

 

WikiLeaks cables revealed that Britain’s Foreign Office told Washington’s London embassy that it was exploring ways to ban Press TV.

 

It provides real news, information, commentary and analysis. Airing 24 hours a day in English in most parts of the world, viewers can follow it by satellite, cable or online. Its US presence is limited through intermediary companies.

 

Major cable operators Comcast and Time Warner banned it. So did media conglomerates Disney, Viacom and Fox.

 

Controlled and funded by Britain’s government, BBC’s an imperial tool. Throughout its history, it’s suppressed information, commentaries and analysis critical of its policies.

 

America’s major media long ago abandoned truth, including on state-controlled National Public Radio and Public Broadcasting. It’s true as well in Britain, especially on government-run BBC.

 

In contrast, Press TV, Russia Today and Voice of Russia air diverse discussions and opinions on major global issues.

 

UK and US viewers can access all three online. Do so daily for real information and analysis to stay current and well informed – free from Western propaganda.

 

Stephen Lendman lives in Chicago and can be reached at lendmanstephen@sbcglobal.net.

 

Also visit his blog site at sjlendman.blogspot.com and listen to cutting-edge discussions with distinguished guests on the Progressive Radio News Hour on the Progressive Radio Network Thursdays at 10AM US Central time and Saturdays and Sundays at noon. All programs are archived for easy listening.

 

http://www.progressiveradionetwork.com/the-progressive-news-hour/.

Russian v. US Elections

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Russian v. US Elections – by Stephen Lendman

 

Russia’s December 4 elections filled 450 State Duma seats, Russia’s Federal Assembly lower house.

 

Claims of electoral fraud followed. All elections have irregularities. At issue is whether results are comprised. Election monitor Golos accusations were spurious. America’s National Endowment for Democracy (NED) funds it. It supports regime change in non-US client states.

 

It backs opposition groups, conducts propaganda campaigns, and does openly what CIA operatives do covertly to destabilize sitting governments.

 

Its mission is subverting, not promoting democracy. It operates with State Department funding and direction. It serves US imperial interests destructively against targeted countries.

 

So do USAID, the International Republican Institute (IRI), and the National Democratic Institute (NDI). They meddle internally against sitting governments. One way is by funding Golos.

 

It calls itself a Russian NGO established in 2000 to defend democratic rights and civil liberties. Claiming it’s Russia’s only “independent” electoral watchdog is duplicitous. It represents imperial Washington’s interests against those of Russia’s people and government. Moreover, by taking foreign funding, it violated Russian law.

 

Since early December, Russia’s seen on and off street protests. On December 25, RIA Novesti headlined, “Tens of thousands rally in new election protest in Russia,” saying:

 

Peaceful crowds filled “Moscow’s Sakharov Avenue on Saturday to demand a rerun of parliamentary elections they claimed had been rigged, as well as liberal reforms in Russia, turning the temperature up on Vladimir Putin and his plans to return to the Kremlin.”

 

Nonetheless, a VTsIOM December 10 – 11 poll showed most Russians support him. However, his 51% job approval rating dropped from 61% in late November and 68% in January. Street protests and legitimate social justice grievances are responsible.

 

Even though Russia’s GDP rose 70% and living standards improved markedly during his tenure as president, millions of Russians still suffer from Yeltsin’s post-soviet era “shock therapy.”

 

As a result, 80% of Russian farmers went bankrupt, 70,000 state factories closed, an epidemic of unemployment raged, half or more of all Russians became impoverished, a permanent underclass was created, and crime, suicides, mortality, alcoholism, drug abuse, and HIV/AIDS soared to intolerable levels.

 

GDP plunged 50%. Life expectancy fell. An oligarch class accumulated enormous wealth at the expense of millions of harmed Russians.

 

Ignoring essential needs, Yeltsin let corruption and criminality flourish. One scandal followed another. Money-laundering became sport. Billions in stolen wealth were hidden in Western banks or offshore tax havens.

 

Many problems remain unresolved, especially given today’s global economic crisis. In April, Pravda.ru headlined, “Poverty in Russia grows faster than expected,” saying:

 

According to the Russian Federal Statistics Agency, another 2.3 million joined the ranks of Russia’s 22.9 million impoverished population. However, “(m)any experts believe that official statistics (don’t) reflect the real state of affairs and (are) very often” understated.

 

Therefore, poverty remains a major growing problem. For millions, wages and pensions aren’t enough to get by. Economic weakness exacerbates conditions. As a result, street protests perhaps reflect hard times more than anger over election results.

 

In contrast to Russia, America’s electoral process is scandalously flawed. More on it below.

 

Major Media Scoundrels Bash Russia

 

America’s media target all non-US client states, including China and Russia. On December 8, a New York Times editorial headlined, “Mr. Putin Seeks a Scapegoat,” saying:

 

He’s “determined to resurrect the Soviet playbook. His United Russia Party tried to steal a parliamentary election on Sunday, and, when the results still delivered a stinging rebuke, he claimed the United States was whipping up protests and demonstrations.”

 

Fact check

 

Though not a decisive majority, United Russia won 49.67% of the vote, compared to the Communist Party’s 19.15% second place finish. Hardly a “stinging rebuke.” Moreover, independent analysts and observers explained a free and fair process. Results weren’t compromised by relatively few regularities.

 

As explained above, Washington very much interfered as it’s done repeatedly in numerous other elections. In Haiti’s 2010 first round and 2011 runoff, brazen manipulation rigged the process to install stealth Duvalierist Michel (Sweet Micky) Martelly president. New York Times editorials ignored his illegitimacy, backed fraud, and effectively said Haitians need to move on.

 

Washington indeed may be behind on and off Russian street protests. The pattern’s familiar. Over decades, America advanced the technique. In the 1990s, RAND Corporation strategists developed the concept of “swarming” to explain “communication patterns and movement of” bees and other insects which they applied to military conflict by other means.

 

Washington used it successfully against Serbia’s Milosevic. NED, the International Republican Institute (IRI) and National Democratic Institute were involved.

 

It repeated during Georgia’s Rose Revolution, ousting Edouard Shevardnadze for Mikhail Saakashvili. A US-installed stooge, he’s governed ruthlessly and repressively in office.

 

Ukraine’s 2004 Orange Revolution was similar, ousting Viktor Yanukovych for Viktor Yushchenko, Washington’s man.

 

America’s manipulated 2007 Myanmar Saffron Revolution and Iran’s 2009 Green Revolution failed. Both countries remain targeted for regime change.

 

Very possibly, Russia’s street protests are made-in-the-USA. It wouldn’t be the first time nor last. Supportively, America’s media pretend otherwise. Putin accused Hillary Clinton of meddling. The Times editorial called his charge “bizarre,” saying:

 

“Mrs. Clinton and the White House did the right thing (by) critici(zing Russia’s) vote. She also expressed support for the ‘rights and aspirations’ of the Russian people.”

 

In fact, political Washington abhors democracy at home and abroad. Imperial wars, numerous coups, internal subversion and destabilization, homeland repression, and rigged elections prevent it. Major media scoundrels approve.

 

On December 24, they featured Russian protests. New York Times writers Ellen Barry and Michael Schwirtz headlined, “Vast Rally in Moscow Is a Challenge to Putin’s Power,” claiming 120,000 turned out. Other reports estimated crowd size at from 50 – 80,000.

 

Ria Novosti said “tens of thousands.” So did the Washington Post in an article headlined, “Protesters flood Moscow demanding reforms.” It focused on social needs, not electoral fraud in contrast to The Times highlighting comments about dissolving Parliament, holding new elections, and comparing Putin to Brezhnev.

 

Managed news, misinformation, and hyperbole characterize America’s media. Truth and full disclosure aren’t their long suit. Or Washington’s.

 

Notorious US Electoral Fraud

 

Duopoly power runs America. Democrats are interchangeable with Republicans. Differences between them are minor.

 

On major issues mattering most, they agree, including:

  • war and peace;

 

  • capital’s divine right to exploit workers, new markets, and global resources;

 

  • enriching the nation’s aristocracy;

 

  • forced austerity when stimulus is needed; and

 

  • targeting dissenters challenging political corruption, corporate crooks, or abuse of power lawlessness.

 

Moreover, today’s technology makes election rigging easy. The entire process lacks legitimacy. Elections and their run-up are mere kabuki theater. Major media and PR industry scoundrels play lead roles. Everything’s pre-scripted.

 

Secrecy and back room deals substitute for a free, fair and open process. Candidates are pre-selected. Big money owns them. Key outcomes are predetermined. Power brokers share fault.

 

Partisan politics serve privileged elites. They get the best democracy money can buy. Elections give them cover. Independents are shut out. Major media scoundrels ignore them.

 

Issues are unaddressed. Horse race journalism and trivia substitute. Voter disenfranchisement is rife. Many are peremptorily stricken from rolls. Others are intimidated not to vote or are detered by various illegal practices.

 

“Vote caging” is one. It suppresses minority voters by delisting them for not answering “do not forward” registered mail sent to homes they’re not living at – because they’re at school, in the military, or away for other reasons.

 

Millions can’t vote because of past criminal records or current incarceration in the world’s largest gulag at around 2.4 million. Around two-thirds are Blacks and Latinos. Most committed minor nonviolent crimes, including illicit drug possession.

 

Moreover, half of eligible voters opt out because their concerns aren’t addressed. Today they include impoverishment, unemployment, homelessness, hunger, and government ignoring their needs.

 

Post-9/11, elections were privatized. Touchscreen electronic machines vote, not citizens. Over 80% of all 2004 and 2008 votes were cast and counted on corporate-owned, programmed, and operated ones. No verification receipts were provided, and no vetting of corporate “trade secret” software was permitted.

 

Corporate-run machines are easily manipulated. Votes can be erased, added or changed electronically. As a result, losers are declared winners, and not just for president. Power wins. People lose, and America’s democracy is pure fantasy.

 

Moreover, Western and other governments have proportionally representative (PR) government unlike America’s winner-take-all system. PR represents all voters and political parties commensurately with their electoral strength. Thus if candidates from one party win 30% of the votes, they get 30% of legislative seats so that government represents all segments of society fairly.

 

In contrast, America’s system gives a 50.1% majority total power. The other 49.9% is shut out. Democracy is fantasy, not real, especially when results are rigged.

 

In presidential elections, America’s Electoral College system is also systemically flawed, especially when popular totals exceed its count. Examples include Bush v. Gore in 2000 (before months later recount totals showed Gore winning both ways), 1824, 1876, and 1888.

 

Moreover, in 16 presidential elections, winning candidates fell short of majorities. Under a winner-take-all system excluding runoffs, potential second round favorites lost out.

 

Bush v. Gore: 2000

 

On December 12, the Supreme Court hijacked Election 2000. In choosing Bush over Gore, it was the first time in US history a High Court reversed a popular vote (5 – 4) to install its own favorite.

 

It settled a rigged process to elect Bush. Its outcome hung on Florida’s electoral vote. Gross irregularities corrupted it, including:

  • Floridians purged (without verification) because their names, gender, birthplace and race matched countless ex-felons who show up multiple times in state phone directories;

 

  • alleged crimes listed as committed in future years; and

 

  • ex-felons of other states removed whose voting rights were restored.

 

As a result, thousands of names were incorrectly listed and removed from voter rolls pre-election.

 

Under orders from Governor Jeb Bush, other obstructive practices occurred before and on election day, including:

  • African-American district ballot boxes missing and uncounted;

 

  • in black precincts, state troopers (near polling sites) intimidating and delaying voters for hours by searching cars and setting up roadblocks;

 

  • some precincts asking for two photo IDs; Florida law requires only one;

 

  • obstructing African-American students illegally at polling stations;

 

  • turning away Black voters for fabricated reasons;

 

  • failing to mail requested absentee ballots; and

 

  • forging those received for Bush.

 

The 1965 Voting Rights Act bans discriminatory practices, disenfranchising blacks, other minorities or anyone. Florida did it egregiously.

 

Bush v Kerry: 2004

 

Election 2004 was worse than 2000. The 2002 Help America Vote Act (HAVA) smoothed the way with electronic ease. It was the first electoral law designed to facilitate fraud. It initiated privatized voting.

 

Kerry was heavily favored. Florida and Ohio proved decisive. Both were stolen for Bush. Incontrovertible evidence proved it. Voter disenfranchisement was rife.

 

Nearly half those requesting absentee ballots never got them. However, military personnel expected to support Bush received theirs.

 

The Republican National Committee hired consulting firm Sproul & Associates to register voters in six battleground states. They refused to register Democrats.

 

Malfunctioning New Mexico voting machines wiped out 20,000 votes to let Bush carry the state by a 5,988 margin.

 

Faulty voting equipment spoiled one million or more ballots. Another three million Black and Latino district ones weren’t counted.

 

Exit polls in 30 or more states differed from final results by amounts beyond margins of error. In all but four states, discrepancies favored Bush. Exit polling is acknowledged to be highly reliable. Election 2004 was the exception to reelect Bush when, in fact, Kerry won handily.

 

Ohio was especially rigged. Tens of thousands of eligible voters were illegally purged from rolls. Nearly 360,000 overwhelmingly Democrat voters were prevented from casting ballots or didn’t get theirs counted. Bush’s victory margin was 118,599.

 

Republican precincts outnumbered Democrat ones. Democrat precincts got fewer voting machines than Republican ones. People waited up to 12 hours to vote. Some gave up and went home. Others were told they were at the wrong precinct.

 

One in four registrants were told they weren’t listed. Republican Secretary of State Kenneth Blackwell purged them illegally.

 

These and other practices were rampant in Ohio, Florida, and other key battleground states. As a result, voter preferences didn’t count. Major media scoundrels suppressed truth to reelect Bush over Kerry who won handily but gave it up without protest.

 

A Final Comment

 

America’s democracy is pure fantasy. Rigged elections lack credibility. Either way, duopoly power runs things. People have no say whatever.

 

In September, OWS erupted. Change depends on them. Organized people can beat organized money when they fight back and won’t quit.

 

It’s how all great battles are won. Millions are in this together. Given the state of today’s America, the stakes are too high for failure. There’s no turning back now, and they know it.

 

Stephen Lendman lives in Chicago and can be reached at lendmanstephen@sbcglobal.net.

 

Also visit his blog site at sjlendman.blogspot.com and listen to cutting-edge discussions with distinguished guests on the Progressive Radio News Hour on the Progressive Radio Network Thursdays at 10AM US Central time and Saturdays and Sundays at noon. All programs are archived for easy listening.

 

http://www.progressiveradionetwork.com/the-progressive-news-hour/.

Banker Occupation and Europain

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Banker Occupation and Europain - by Stephen Lendman

 

Bankers rule the world. A new Swiss Federal Institute of Technology study says so. Written by Stefania Vitali, James Glattfelder and Stefano Battiston, it’s titled “The network of global corporate control,” saying:

 

“We find that transnational corporations from a giant bow-tie structure and that a large portion of control flows to a small tightly-knit core of financial institutions. This core can be seen as an economic ‘super-entity’ that raises new important issues both for researches and policy makers.”

 

The study says 147 powerful companies control an inordinate amount of economic activity – about 40%. Among the top 50, 45 are financial firms. They include Barclays PLC (called most influential), JPMorgan Chase, UBS, and other familiar and less known names.

 

Twenty-four companies are US-based, followed by eight in Britain, five in France, four in Japan, and Germany, Switzerland, and the Netherlands with two each. Canada has one.

 

Moreover, “top ranked” companies “hold a control ten times bigger than what could be expected based on their wealth.”

 

As a result, they have enormous influence over political, financial, and economic activity.

 

In his book titled, “When Corporations Rule the World,” David Korten said they’re able to transfer enormous amounts of power, wealth and resources from public to private hands with government complicity. Money power and concentrated wealth in few hands especially harm humanity.

 

“These forces have transformed” financial institutions and other corporate predators “into instruments of a market tyranny that is extending its reach across the planet like a cancer, colonizing ever more of the planet’s living spaces, destroying livelihoods, displacing people, rendering democratic institutions impotent, and feeding on life in an insatiable quest for money” and profits as a be and end all.

 

Only bottom line priorities and market dominance matter, not human welfare, environmental sanity, peace, equity and justice.

 

Transnational giants are the dominant institution of our time – especially financial ones with money power control of everything.

 

They decide who governs and how, who serves on courts, what laws are enacted, and whether or not wars are waged. Corporate dominance, especially financial power, and democratic values are incompatible.

 

They operate ruthlessly as private tyrannies. They’re predators. We’re prey, and every day we’re eaten alive. They do it because they can, and in America by mandate.

 

Publicly owned US corporations, including financial ones, must serve shareholders by maximizing equity value through higher profits. They do it by exploiting nations, people and resources ruthlessly.

 

Social responsibility doesn’t matter. Neither does being worker-friendly, a good citizen, or friend of the earth. Bottom line priorities alone matter. Failure to pursue fiduciary responsibilities means possible dismissal or shareholder lawsuits.

 

Yet nothing in America’s Constitution or statute laws endow corporations with their rights. They usurped them by co-opting Washington, the nation’s courts, state capitals, and city halls.

 

As a result, over half the world’s largest economies are corporations. Financial ones controlling the power of money are most dominant.

 

Corporate personhood enhanced their power, yet imagine. Although corporations aren’t human, they can live forever, change their identity, reside in many places globally, can’t be imprisoned for wrongdoing, and can transform themselves into new entities for any reason.

 

They have the same rights and protections as people without the responsibilities. As a result, they operate freely unrestrained, especially financial giants controlling the power of money at the public’s expense.

 

Beginning in the late 1960s, financialization grew more dominant. Economic control began shifting from industry to finance. Corporations are now seen as bundles of assets, the more liquid the better. A new monopoly finance capitalism developed to exploit it.

 

FIRE sector (finance, insurance, and real estate) predators capitalized. Casino capitalism gained prominence. Today it thrives. Major players took advantage, profiting hugely from speculation, chicanery and fraud.

 

A burgeoning financial superstructure gained a life of its own. Today it’s omnipotent, especially in America and Europe. Their business model involves grabbing everything that smells money, no matter what harm is caused.

 

Money doesn’t buy everything, but it buys enough influence to matter. The smartest guys in the room take advantage, buying politicians like toothpaste. Democracy’s just a figure of speech.

 

Only wealth and power matter. Enough of them turned financial giants into monsters. Whatever they want, they get, including the right to operate freely outside the law, manipulate markets, bilk investors, strip-mine nations and people for profit, and get bailed out at public expense if overreach.

 

Under Obama and European leaders, the worst of bad practices flourish. Foxes guard the henhouse. Inmates run the asylum. Regulators don’t regulate. Investigations aren’t conducted. High-level criminal fraud gets wink and nod approval. Nothing is done to curb it.

 

Nor do public considerations matter nor is sustained low inflation long-term growth pursued as long as bankers get paid. Today, it’s issue one in America and troubled Eurozone countries.

 

Wall Street dominance matters most in America. In Europe, “Troika” power is omnipotent – the IMF, EU and European Central Bank (ECB). Nations trapped under euro straightjacket rules can’t devalue their currencies to be more competitive, monetize debt freely, or legislate fiscal policies to stimulate growth.

 

Instead, they’re entrapped by banker diktats demanding tribute. In other words, financial coup d’etat authority runs sovereign governments. They occupy them rapaciously, making rules, setting terms, issuing demands, and pressuring, bribing or otherwise forcing political leaders to acquiesce. If not, they’re replaced.

 

Working households bear the burden through layoffs, wage and benefit cuts, higher taxes, and other austerity measures to assure bankers are paid.

 

According to Michael Hudson, the system:

 

“shift(s) planning power into the hands of high finance on the claim that this is more efficient than public regulation. Government planning and taxation is accused of being ‘the road to serfdom,’ as if ‘free markets’ controlled by bankers given leeway to act recklessly is not planned by special interests in ways that are oligarchic, not democratic.”

 

“Governments are told to pay bailout debts taken on not to defend countries in military warfare as in times past, but to benefit the wealthiest layer of the population by shifting its losses onto taxpayers.”

 

As a result, social inequality proliferates. A new Organization for Economic Cooperation and Development (OECD) report discusses the damage over the last three decades among its 34 member states. They include America, Japan, Western Europe, and others.

 

Titled “Divided We Stand: Why Inequality Keeps Rising,” it discusses conditions from the early 1980s until the 2008 global economic crisis. Its impact alone left 200 million workers unemployed compounded by more imposed austerity.

 

Among OECD countries, the top 10% is nine times better off than the bottom 10%. America, Israel and Turkey are the most unequal industrialized nations at 14 to 1. In Britain, Japan, Italy, and South Korea, the gap is 10 to 1.

 

Rising inequality also affected “traditionally egalitarian countries” like Germany, Denmark, and Sweden. They went from 5 to 1 in the 1980s to 6 to 1 today. Mexico and Chile are worst off with gaps of 25 to one.

 

In America, the top 1% controls 20% of all income plus a far greater percent of total assets. Concentrated wealth extremes also affect European countries, following America’s pattern.

 

The report says income inequality “first started to increase in the late 1970s and early 1980s in some English-speaking countries, notably the United Kingdom and the United States, but also in Israel.”

 

Since the late 1980s, it’s grown more widespread. At the same time, labor rights were sacrificed to benefit corporate bottom line priorities. In addition, finance capital grew omnipotent. As a result, money power rules everything.

 

Imposed austerity greatly impacted working households in troubled Eurozone countries and others facing economic hard times. Greece has been especially hammered by repeated layoffs, wage and benefit cuts, as well as higher taxes.

 

In early December, unelected Prime Minister Lucas Papademos (a former Bank of Greece governor and ECB vice president) force-fed through parliament more austerity cuts. Receiving an eight billion euro loan was conditional on doing so.

 

As a result, imposed measures include another five billion euros in spending cuts, 3.6 billion in new taxes, pensions cut 15%, and wages slashed more than already. In addition, more ahead is planned.

 

Papademos said “(t)he financial crisis in our country is not a passing storm….It will take many years” of greater worker sacrifices to assure bankers are paid.

 

In fact, the more wage, benefit, pension, and other cuts ordinary people bear, the weaker Greece’s economy becomes from lost purchasing power with a working population heading toward serfdom in a nation no longer fit to live in.

 

Millions of Greeks are now impoverished. Unemployment approaches 20%. For youths between 15 and 24, it’s nearly 50%. Years more imposed pain is planned to assure bankers are paid. As a result, expect Greece sooner or later to explode.

 

In addition, the more debt Greece assumes, the less it’s able to service it, and faster it heads toward debt peonage. According to Michael Hudson, moreover, “(a) basic mathematical as well as political principle” explains that “(d)ebts that can’t be paid, won’t be.”

 

In early December, unelected Italian Prime Minister Mario Monti (former EU official installed by Goldman Sachs, known to some as “three-card Monte”) introduced his own austerity package.

 

To service Italy’s $1.6 trillion debt, it includes attacking its social security pension system. In retirement, families depend on it. Nonetheless, retirement age eligibility will be raised to 66 from 58 by 2018, inflation-adjusted increases will end, and to qualify fully, workers must contribute from wages for 42 years.

 

In addition, value-added taxes will increase by 2%, and firing workers will be easier than ever. As in Greece, more cuts are planned, targeting workers to benefit bankers, other corporate favorites, and Italy’s super-rich.

 

Portugal’s new austerity cuts will see take-home pay down 27% since 2010. Its 2012 budget reduces spending by 4.4% of GDP by cutting healthcare and other benefits.

 

It also raises value added and other taxes, extends working days by 30 minutes with no added pay, and eliminates bonuses equal to two months earnings.

 

These measures follow earlier ones. They included cutting public sector wages 10%, eliminating four holidays, slashing overtime pay 50%, reducing pay for shift work, imposing “time banks” for greater employer flexibility over when employees must work, making firings simpler and cheaper, imposing shorter fixed-term contracts, ending rest breaks, and lowering unemployment benefits.

 

A Final Comment

 

Financial tyranny runs America and Europe. As a result, public anger grows.

 

Can revolutionary sparks be far behind? Expect pain levels eventually to cross thresholds of no return. Anything after that is possible, good or bad.

 

Hopefully a better world will emerge, free from banker occupation. It’s our only chance!

 

Stephen Lendman lives in Chicago and can be reached at lendmanstephen@sbcglobal.net.

 

Also visit his blog site at sjlendman.blogspot.com and listen to cutting-edge discussions with distinguished guests on the Progressive Radio News Hour on the Progressive Radio Network Thursdays at 10AM US Central time and Saturdays and Sundays at noon. All programs are archived for easy listening.

 

http://www.progressiveradionetwork.com/the-progressive-news-hour/.

Europe in Disarray

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Europe in Disarray – by Stephen Lendman

 

Europe’s underpinnings can only hold so long. Years of entrapment under euro straightjacket rules means eventual dissolution and collapse.

 

Throwing more money at out-of-control debt problems buys delay only. Instead of swallowing painful solutions, EU leaders keep repeating the same mistakes, heading dire conditions to catastrophic ones.

 

In fact, reactions to last week’s summit were decidedly negative. On December 14, the Financial Times (FT) headlined, “Doubts about eurozone fiscal deal grow,” saying:

 

The euro selloff against the dollar “showed the strain of efforts to force through austerity policies and impose tough new spending rules.”

 

Moreover, concerns emerged among at least four non-euro countries over whether legal considerations would force them to join Britain and opt out.

 

Czech Republic Prime Minister called the Brussels deal little “more than a blank sheet of paper….I think that it would be politically short-sighted to come out with strong statements that we should sign that piece of paper.”

 

Irish Prime Minister Enda Kenny said a referendum at this stage would fail. An unnamed Brussels diplomat wants “some clarity on what this treaty might include. There are so many unanswered questions,” he added.

 

In fact, there’s lots more troubling than he explained. Moreover, nothing from Brussels augurs well for working households across Europe. More on that below.

 

Nonetheless, other countries also expressed concerns, including Hungary and Sweden, saying they won’t relinquish control of their corporate tax policy. What about their people policy? Only harder than ever hard times are planned.

 

Italy’s opposition Northern League expressed strong disapproval of a deal they called a “holdup,” not a budget.

 

Munich’s Ifo think tank cut its 2012 German GDP forecast, saying:

 

“The dependency of economic developments on the decisions made by Europe’s politicians complicates the forecast considerably by making radically different plausible scenarios possible.”

 

In other words, bad decisions assure bad results. At issue only is how bad at a time weak Eurozone countries are heading south, and nothing’s being done to stop it.

 

Greece looks vulnerable to bankruptcy, exiting the Eurozone, and devaluing its currency massively. Signs point clearly in those directions. In the past year alone, capital flight lost 40 billion in deposits, equal to 17% of GDP.

 

In fact, over 30% of it exited in September and October alone, signaling lots more to come. Troubled Greece is Europe’s canary in its coal mine. Its economies aren’t close to resolving enormous debt, growth, and other structural problems.

 

They’re getting worse, not better. Expect 2012 to show bad conditions deteriorating. The short, intermediate and longer-term outlooks look dire.

 

On December 14, FT writer Ajay Makan headlined, “Dive in deposits at foreign-owned banks in US,” saying:

 

“Foreign-owned banks (in America) suffered their largest six month fall in deposits on record.” Analysts call it a “flight to safety.”

 

Deposits fell $291 billion, or 25%, from end of May to December 1. US banks benefitted. Whether the trend continues bears watching. Clearly, it shows heightened European risks, and what happens there spreads globally.

 

On December 13, FT’s Martin Wolf headlined, “A disastrous failure at the summit,” saying:

 

“Whom the gods wish to destroy they first make mad. That was my reaction” to last week’s summit. EU leaders failed “to devise a credible remedy for the ills of the currency union.”

 

Instead of focusing on economic growth, they proposed “tighten(ing) the screws on fiscal deviants” when stimulus is needed.

 

What Germany’s Merkel and France’s Sarkozy called a “stability and growth union,” Wolf describes as “instability and stagnation.”

 

In fact, few details emerged in Brussels, except to say “general government budget deficits shall be balanced or in surplus: this principle shall be deemed respected if, as a rule, the annual structural deficit does not exceed 0.5% of (GDP.)”

 

Second, “such a rule will also be introduced in member states’….legal systems. The rule will contain an automatic correction mechanism that shall be triggered in the event of deviation.”

 

In other words, fines, sanctions, and/or other measures will be imposed – supposedly. However, doing so depends on most member states agreeing. Wolf said he’s “unconvinced that turkeys will vote for Christmas.”

 

They haven’t before and won’t now let unelected bureaucrats impose harmful measures. So “(w)hat is the (European) Commission going to do if they still fail to comply? Take them over? The answer (supposedly) is: yes. This is a constitutional monstrosity.”

 

It’s also an economic one driving nails into a failed system. Hammering weak economies with fiscal austerity assures weaker ones heading for implosion.

 

Nonetheless, Wolf sees Europe adopting an “orgy of fiscal austerity” besides much more already imposed. As a result, expect deeply troubled countries to face “long-term structural recessions,” or to “put it bluntly,” he says: “the single currency will come to stand for wage falls, debt deflation, and prolonged economic slumps.”

 

Wolf didn’t explain that working households across Europe, America, and elsewhere suffer most to assure bankers are paid, instead of holding these bandits accountable for the crisis they created, nationalizing insolvent ones, or shutting them down altogether.

 

The Daily Bell’s Negative Outlook

 

Given numerous failed summits and destructive policies overall, the Daily Bell asked if planned euro collapse is planned. “The chaos is as undeniable as it is undesirable,” it says.

 

EU and other Western nations support “the idea that increased centralization and globalization are necessary in the modern world.”

 

The notion is wrongheaded and destructive, but their agenda plans world government down the road. What’s in play now perhaps is part of this larger trend. Strategically they hope creative destruction can produce order on a grander scale.

 

“The EU – and its euro – is failing. The Anglosphere elite that set it up in the first place will either try to salvage it as it is or will use the chaos from the breakup to pursue its goal of a more perfect global union.”

 

“It is as likely, in our humble view, to founder entirely as it is to continue as an organized political entity.” As a result, global power brokers will fail, not succeed. Chaos is very risky strategy. Instead of order, collapse perhaps is coming.

 

Progressive Radio News Hour regular Bob Chapman agrees, but believes throwing money at the problem can delay final resolution. At the same time, the longer bad policies persist, the greater the eventual upheaval with profound global implications.

 

Major economies are growing weaker. Europe’s in serious trouble. So is China, but manipulated data conceals it. Its Shanghai index, however signal’s trouble. It hit its lowest level since March 2009 when global equity prices bottomed out.

 

Moreover, in recent years, China’s been a key worldwide equity leading indicator. Expect other markets and economies to follow its pattern that’s decidedly heading south.

 

In fact, recession already is biting Europe. Moreover, in six or more troubled economies, conditions are dire, especially in Greece, Italy, Portugal and Spain, but expect others to follow, including Britain and France. Even powerhouse Germany isn’t immune as downturn gains momentum across Europe.

 

In addition, emerging countries like India, South Africa, Brazil, Russia, and others are slowing dramatically.

 

Like the Daily Bell, Chapman wonders if EU strategy is “to break up the euro zone and the EU, (perhaps as a prelude to) world government. We know that since WWII that the internationalists have been setting up Europe as the foundation for world government,” despite unreported popular opposition.

 

He saw trouble coming years ago and said so. He believes Britain opting out last week “cast the die and now Germany must respond. It is either let’s make a deal or the EU and the euro zone break up. Who knows, perhaps that is what Germany is after” to consolidate greater power for itself.

 

Chapman’s on these issues daily and through his twice weekly International Forecaster. It’s an invaluable source of key information suppressed by major media scoundrels when they finally learn some of it weeks or months after Chapman reveals it in print and on air. He does it regularly on the Progressive Radio News Hour.

 

Hard Times for European Households

 

When the going gets tough, workers suffer most. Millions across Europe face growing austerity burdens when massive stimulus is needed.

 

As a result, jobs, decent wages, social benefits, and living standards are eroding dramatically. Youth unemployment is skyrocketing. In Greece, Spain and elsewhere, it approaches 50%. Total US unemployment approaches 23% en route to higher levels.

 

Bankers, other corporate elites, and complicit politicians are capitalizing on crisis conditions to mandate social injustice at a time help is badly needed. Instead, painful cuts come in successive waves.

 

Europe, America, Israel, and other industrialized economies are third worldizing. In response, rage affects hundreds of cities for change. America’s OWS says “the only solution is World Revolution.”

 

Governments won’t help, so people on their own must sustain long-term struggle for change, no matter what’s done to subvert them.

 

Global crisis conditions today are the gravest in decades. Ameliorating programs earlier helped.

 

Today’s destructive ones favor bankers, war profiteers, and other corporate favorites. Only people power can turn disaster to social justice.

 

Popular Middle East outrage, America’s OWS, Greece’s Oxi, Spain’s indignados, Chilean students, and cross-polinating populations across other countries need critical mass power to succeed.

 

Fundamental change is possible. The mother of all struggles lies ahead. Sustained resistance gets results. Given the alternative, is anything less than social justice acceptable?

 

Stephen Lendman lives in Chicago and can be reached at lendmanstephen@sbcglobal.net.

 

Also visit his blog site at sjlendman.blogspot.com and listen to cutting-edge discussions with distinguished guests on the Progressive Radio News Hour on the Progressive Radio Network Thursdays at 10AM US Central time and Saturdays and Sundays at noon. All programs are archived for easy listening.

 

http://www.progressiveradionetwork.com/the-progressive-news-hour/.

Europe Lays an Egg

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Europe Lays an Egg – by Stephen Lendman

 

Like earlier summits, they met. They talked. They agreed to talk more and solved nothing. Once again Europe laid an egg.

 

In fact, in 2011 alone, EU leaders held 19 emergency meetings/summits, proposed dozens of rescue packages, made as many promises, yet are back at square one.

 

It reminded some of Variety’s October 30, 1929 post-market crash headline: “Wall Street Lays an Egg.”

 

After the latest Brussels summit, business publications hinted at systemic failure. On December 12, a Bloomberg editorial headlined, “Europe’s Fiscal Pact May Solve Next Crisis, Not This One,” saying:

 

Summit leaders “asked the wrong questions – then failed to answer even those.” Moreover, whatever they agree on won’t stick. It didn’t before and won’t now.

 

“In concentrating on long-term fiscal issues, the leaders mostly ignored the crisis around them.” Putting off for later what’s needed now never works. The summit made only one thing clear. EU leaders can’t shoot straight. Moreover, they’re aiming at the wrong targets.

 

On December 11, Britain’s Financial Times also highlighted failure in an editorial headlined, “Europe fails to reach summit,” saying:

 

“It should have been the climax to Europe’s thriller.” Instead, it “was entirely predictable in its inconclusiveness.” As a result, problems remain unresolved.

 

“Most importantly, if the current crisis was sparked by the link between sovereign and bank risk, does it make sense to intensify that link?” Saving the euro “amounts to little more than sleight of hand (strategy) in a crisis where clarity and resolve would do much more to restore confidence.”

 

In fact, no “grand plan” emerged. Instead, talks ended by kicking the can down the road without resolution. At best, only more time was bought, but how much is uncertain, given a festering crisis getting worse, not better.

 

Summit leaders only announced what already exists – the Growth & Stability Pact. It’s been around since monetary union. Claiming it’ll now be enforced repeats past failed promises. Its mandate from inception was repeatedly violated and will again be now.

 

In fact, in 2003, Germany and France missed fiscal targets. No penalties were imposed. According to Center for European Research chief economist Simon Tilford, Brussels produced “little more than a stability pact with lipstick.”

 

It did nothing to address Eurozone banks having to refinance 750 billion euros in 2012, one-third of it in Q I. Their deleveraging problem also faces overwhelming challenges without additional capital. Radical austerity won’t help. Nor will failure to address growth strategies to revive sick economies.

 

After the summit, Moody’s said measures announced fell short of “decisive.” As a result, it’ll review ratings for all EU countries. This follows S&P’s December 5 move, putting 15 Eurozone nations on “credit watch” with negative implications.

 

Bond markets reacted with sharp yield rises. Germany and America were exceptions, signaling a flight to safety. Notably, there’s now about a 75% inverse correlation between 10-year Italian-German yield spreads compared to -5% historically.

 

Moreover, China’s exports fell to their lowest level since February. Year-over-year, its trade surplus plunged 35%. Property prices fell three consecutive months, and new housing starts are half their first half level. In addition, India’s industrial production dropped for the first time in 28 months year-over-year.

 

On a month-over-month basis, it’s down 4%, the fourth straight monthly decline. India, in fact, may be in recession or heading toward it.

 

Australia’s October trade surplus hit its lowest level in eight months, and mortgage loan values dropped 2.5% as housing there feels pressure.

 

Japanese November consumer confidence fell for the first time in seven months. Korea just lowered its growth forecast. On December 11, Financial Times writer Robert Wright warned of a “Wave of insolvencies loom(ing) for shipping industry,” saying:

 

“Fears are mounting that the eurozone financial crisis could spark a fresh wave of shipping insolvencies, after funding problems at many leading European banks accelerated falls in vessel values, triggered by the worst conditions in some shipping markets in 25 years.”

 

Already, Korea Lines and General Maritime, “one of the best known tanker operators,” filed for bankruptcy protection. Look for credit squeeze trouble to affect others.

 

Germany’s DVB Bank financial expert Dagfinn Lunde said, “I don’t think we will for many years have a normally functioning market.” Others see banks forcing shippers into a perilous downward spiral. “There will absolutely be more bankruptcies,” said Harald Serck-Hanssen, shipping head for Norway’s DNB, one of the world’s largest shipping lenders.

 

Moreover, the OECD’s leading indicator fell 0.3% in November, its 8th consecutive decline to its lowest level since November 2009. Europe showed most weakness at 0.7%. America was down 0.1% and 0.3% year-over-year.

 

Notably, it last occurred in November 2007 before global crisis conditions emerged. When this metric’s below zero year-over year, downturns usually follow. After Q III’s $2.4 trillion drop in household net worth, the most since 2008 Q IV and fourth largest contraction ever, expect nothing good to follow.

 

Systemic Risks are Greater Than in 2008

 

Moreover, whatever impacts Europe spreads globally. Only lag times vary by regions and nations. European banks are about three times larger than US ones. What impacts them spells trouble everywhere.

 

At risk is systemic unravelling far greater than in 2008 because unresolved problems now are greater. Compared to 2008 and early 2009, the cost of insuring against default (CDS premiums) soared.

 

Insuring $50 million in Belgian, French, German, Italian and Spanish sovereign bonds in equal amounts exploded from $28,649 then to $2,258,200 now – a nearly 80-fold increase because of global meltdown risks.

 

In fact, bailouts exacerbated crisis conditions. Adding more debt worsens them like overeating defeats losing weight.

 

As a result, Europe’s sovereign debt crisis remains greater than ever. Duct tape solutions never work. At best they buy time at the expense of eventual trouble too great to resolve. It’s just a matter of time.

 

Stephen Lendman lives in Chicago and can be reached at lendmanstephen@sbcglobal.net.

 

Also visit his blog site at sjlendman.blogspot.com and listen to cutting-edge discussions with distinguished guests on the Progressive Radio News Hour on the Progressive Radio Network Thursdays at 10AM US Central time and Saturdays and Sundays at noon. All programs are archived for easy listening.

 

http://www.progressiveradionetwork.com/the-progressive-news-hour/.

Wrecking Europe to Fix It

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Wrecking Europe to Fix It - by Stephen Lendman

 

From inception, Eurozone monetary union was an idea doomed to fail. Nonetheless, it was engineered fraudulently to look workable.

 

In 1979, Europe’s Exchange Rate Mechanism (ERM) was introduced as part of the European Monetary System (EMS) to propel the continent to one European currency unit (ECU).

 

ERM never worked. ECU is failing. At issue is duplicity, conflicts of interest, and uniting 17 dissimilar countries under rigid euro straightjacket rules. Doing so usurps their monetary and fiscal autonomy disastrously.

 

Nonetheless, banking giants partnered with EU, ECB and IMF Troika power decide everything. Policies require lowering living standards, sacking public workers, and selling off state assets lock, stock and barrel at fire sale prices.

 

Today, the euro corpse only awaits its obituary to be written. Successive bailouts and fixes haven’t worked. Troubled Eurozone economies are drowning in debt. Adding more makes bad conditions worse.

 

So do forced austerity measures, layoffs, and higher working household taxes. Lost purchasing power means less spending, fewer jobs, and greater public anger than today’s high levels.

 

Nonetheless, Germany and France pressured other EU members (except Britain) closer to economic collapse. Sweden, the Czech Republic and Hungary said their parliaments would decide whether or not to agree. Nonetheless, they went along.

 

Germany’s Chancellor Angela Merkel said:

 

“It’s interesting to note that 20 years” to the day after the Maastricht Treaty was drafted, “we have succeeded in creating a more stable foundation for (its) economic and monetary union, and in so doing we’ve attended to weaknesses that were included in the system.”

 

“I’m very happy with the result,” she stressed. Germany becomes an arrogant domineering leader. Britain refused to go along. A new treaty will be drafted. Merkel wants it done by March 2012.

 

However, it won’t be a treaty. On December 13, 2007, the Lisbon Treaty amended Masstricht. EU member unanimity was required to consummate it. The same requirement holds for changes.

 

All member states must agree. Constitutional changes may be required. In some cases, referendum approval may be needed. Internal divisions could take years to resolve.

 

At issue is imposing budgetary discipline on member states. Violators face sanctions. The European Court of Justice will have final say over national budgets. Short-term measures to prevent contagion are also planned.

 

An alternative is two pacts – one for 17 Eurozone countries with restrictions, and a second for the other 10 EU members without them.

 

Hours before the Brussels summit, French President Nocolas Sarkozy said, “Europe has never been in so much danger….An agreement….is crucial.” Otherwise there’s a “risk that Europe will explode.”

 

Britain opted out. At issue are new regulatory proposals UK banks oppose. They include an EU-wide financial transactions tax, bans on short-selling, and requirement that all financial business be conducted in the Eurozone, not London.

 

At the same time, a provision protects banks and bondholders from losses incurred by bailouts. Worker households will bear the burden.

 

Other differences remain to be resolved, including between Germany and France. Sarkozy wants less stringent fiscal oversight and more expansive ECB policies. Merkel wants more centralized control, enforced EU austerity, and tighter ECB reigns imposed.

 

Without Britain, whatever’s agreed will be illegal under Lisbon. The December 9 deal solves nothing. Switzerland is preparing for a euro collapse. Capital controls and negative interest rates may be imposed for protection.

 

A tsunami of euros would inflate the Swiss franc, devastate its export economy, and devalue its overseas wealth. The price for troubled Eurozone countries is economic collapse. It’s just a matter of when.

 

At the same time, the agreement requires 26 EU nations to surrender their monetary and fiscal powers to Brussels. Violators will be punished. Political, economic and legal issues impose immense burdens and uncertainties.

 

In addition, final details aren’t yet worked out. Another summit will follow next year. Europe and America face worsening Depression-level problems. China, India, Brazil and other emerging economies are slowing. A global train wreck approaches.

 

Recent economic data show why. In November, French business confidence fell for the eighth consecutive month. In October, Japanese machinery orders dropped 6.9%, following an 8.2% plunge in September.

 

South Africa just reported a 5.6% drop in manufacturing activity. Britain recorded a 0.7% decline. China’s October exports fell 1.7% after dropping 3.8% in September.

 

Korea’s exports are down three consecutive months. Singapore’s were off in September and October. Indonesia’s plunged 8.5% in October after slipping 2% in September. India’s imploded 18.3% after being flat in September.

 

Commodity markets also are being hammered. Copper was down almost 5% in September and 20% in 2011. Since June, aluminum is off 25%. European refinery margins dropped 30% this year.

 

Representing about 20% of global GDP, Europe is the world’s largest economic unit. It accounts for 25% of global oil and nickel consumption, and nearly 20% of other commodities like copper. As it goes, so do countries everywhere, and it’s heading south.

 

Longer-term realities will throw cold water on duct tape solutions. Italy must refinance almost 20% of its sovereign debt (400 billion euros) next year at interest rates punitive enough to push it over the edge. Economic weakness is spreading globally.

 

In 2012, Spain has to refinance 150 billion euros. Its fate may be similar, especially given spreading global economic weakness. Comments from the Reserve Bank of New Zealand echoed other central bank sentiments, saying:

 

“Tightness in international markets means funding costs for New Zealand banks will increase to some degree over the coming year.” Global uncertainty signals “risk(s) that conditions (will) weaken further.”

 

The Reserve Bank of Australia was just as glum, saying:

 

“Financing conditions have become much more difficult, especially in Europe.” It suggests “further material slowing in global growth has increased.”

 

The Bank of Canada concurred, saying:

 

“Conditions in the international financial system have deteriorated significantly since” June 2011, “owing to three interconnected developments:

  • “sharp(ly) escalat(ed)” Eurozone sovereign debt crisis conditions;

 

  • “a much weaker outlook for global economic growth;” and

 

  • far less risk-taking globally.

 

As a result, conditions are expected to remain weak, uneven, and uncertain. Contagion’s also at issue. Core Europe is affected. French and German economies look much weaker. In fact, Germany’s banking sector is in much worse shape than earlier thought.

 

Progressive Radio News Hour regular Bob Chapman says six troubled Eurozone countries can’t compete “and more may follow.” Debt levels keep rising. “This was known and evident from the very beginning, but the experiment went ahead anyway.”

 

Bankers, politicians and bureaucrats want world government. Competitive nations want profits. It took a decade to destroy the infrastructure of weak economies. The euro’s “on its way out – another failed experiment.”

 

If stronger countries opt out, “governments, banks, insurance companies and pension plans would very well be wiped out by the bad debt.”

 

Moreover, Eurozone disintegration will take America, Britain and global economies with it. Twelve years ago, Chapman predicted it. It’s now a reality, he says. He sees stopgap measures delaying its eventual demise.

 

“History tells us involuntary acceptance of profligate credit expansion and unpayable debt leads to total catastrophe for the entire financial system.”

 

Troubled Eurozone economies need $6 trillion to avoid collapse. Whatever they get won’t offset needing more help down the road.

 

Moreover, Friday’s “grand bargain” achieved nothing. ECB monetary policy won’t be expansive. Britain and many EU countries won’t follow budget deficit restrictions. All of them have poor track records keeping promises.

 

Greater trouble lies ahead. Bailouts and agreements beget new ones. Final resolution only is delayed. Contagion spreads Eurozone problems everywhere.

 

The longer crisis conditions persist, the worse they’ll be when day of reckoning time arrives. It’s just a matter of time.

 

Stephen Lendman lives in Chicago and can be reached at lendmanstephen@sbcglobal.net.

 

Also visit his blog site at sjlendman.blogspot.com and listen to cutting-edge discussions with distinguished guests on the Progressive Radio News Hour on the Progressive Radio Network Thursdays at 10AM US Central time and Saturdays and Sundays at noon. All programs are archived for easy listening.

 

http://www.progressiveradionetwork.com/the-progressive-news-hour/.

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