"And everywhere — as in Greece — the price of dog-eat-dog capitalist
competition is foisted on working people."
The United States of America is not going to escape the economic rape
and plundering going on in Greece and, closer to home, Puerto Rico.
Currently each and every American would need to cough up over $300
thousand to pay off our debt. When our debt bubble bursts will the
Working Class simply roll over and begin struggling to enrich the
already bloated Oligarchies? Or will we rise up and set a People's
Government in place, and "allow" the "Favored Few" to share their
plunder all around?
Carl Jarvis
On 7/29/17, Roger Loran Bailey <dmarc-noreply@xxxxxxxxxxxxx> wrote:
http://themilitant.com/2017/8128/812806.html
The Militant (logo)
Vol. 81/No. 28 July 31, 2017
(front page)
EU rulers force ‘new normal’ of crisis conditions on Greek workers
BY JIM BRADLEY
Working people in Greece face a “new normal” of rising mortality rates,
worse jobs — if you’re lucky enough to have one — with lower pay,
slashed social benefits and a lower quality of life. This is the result
of a decade of government assaults amid world capitalism’s deepest
crisis in decades.
This crisis is also the product of the underlying realities of the
European Union’s “ever greater union.” It was purportedly set up to
benefit all, but is in fact a marriage of unequal competing capitalist
regimes that assures continued profits for Berlin’s bosses and other
northern rulers at the expense of the peoples of Greece, Italy, Spain
and other weaker economies in southern Europe.
This inequality, exacerbated by the world capitalist crisis, pushed the
Greek rulers’ swollen national debt to the point of disaster. The
government’s insolvency, deepened by relentless pressure for payment on
Greek bonds in the hands of banks and private profiteers, threatened to
shatter the EU.
The EU, European Central Bank and International Monetary Fund provided
aid, but demanded the Greek rulers carry out ceaseless attacks against
the workers and farmers to make them pay for the crisis.
EU officials approved another $9.7 billion in financial assistance to
the Greek government July 7, once again postponing a looming debt
default crisis that could have threatened the survival of the 28-member
European Union.
The action, taken by the board of directors of the European Stability
Mechanism, unmasks the myth promoted by liberal capitalist politicians
that the EU is a stable, “progressive” counterweight on the world stage
to protectionist Washington under the administration of President Donald
Trump.
The emergency financial assistance permitted the Greek government of
Prime Minister Alexis Tsipras’ Coalition of the Radical Left to
immediately turn around and pay $7.9 billion due to the IMF and the
European Central Bank, which hold most of its almost $367 billion debt.
On its knees, the Tsipras government pleads that “we expect our partners
to respect the sacrifices of the Greek people” by permitting Greece to
sell bonds on the EU bond market. Speaking for German bondholders,
Chancellor Angela Merkel is opposed to any concessions. Tensions between
Berlin and Athens are rising.
“The government and people of Greece,” said ESM Managing Director Klaus
Regling, “should continue on its path to rebuild a competitive economy
and regain investors’ trust.”
Millions of Greek workers and farmers know from their own bitter
experience that Regling’s bureaucratic doublespeak translates into an
order to the Tsipras government to intensify its “austerity” drive that
has devastated the lives of Greek workers and farmers.
Over a seven-year period the Greek economy has shrunk by one-fifth.
Official unemployment stands at slightly less than 25 percent, but the
fact is half the working population has been driven out of the labor
market. Over 45 percent of young people are unemployed, forced to live
with their parents, unable to be independent, marry or buy a home.
The percentage of involuntary part- time jobs has risen from 45 to 72
percent over the last 10 years. Pensions have been slashed, schools and
hospitals closed, the public health system is in shambles. From 2009
through 2015, average wages dropped by 20 percent.
One price of the latest bailout was government assurance of further
pension cuts in 2019.
EU’s fatal contradictions
Despite the hype, the establishment of the European Union was never
about initiating an era of European postwar “peace and prosperity.” In
the aftermath of World War II, as U.S. capital expanded rapidly with
little competition, French and German capitalists and others began
discussion of establishing a joint protectionist bloc to gain a stronger
competitive position in world markets, leading to the establishment of
the EU in 1993.
But the EU was born with a fatal built-in destabilizing contradiction.
The capitalist rulers of each member nation protect their profits and
privileges, including against their EU partners.
The sharply different levels of economic and social development between
industrial powerhouses like Germany and France and lesser-developed
countries like Portugal, Italy, Greece and others push the union apart.
Berlin is dominant, with the most productive and developed industrial
base and consequently the economic and political clout to dominate the
economies of the lesser-developed countries in the EU. German
capitalists sell. Greeks buy, and go into debt to pay.
All these contradictions have come to the fore under the pressure of the
economic crisis, threatening to unravel the EU. Talks began June 19
between Brussels and London on the withdrawal of the U.K. from the EU, a
result of last year’s Brexit vote.
And everywhere — as in Greece — the price of dog-eat-dog capitalist
competition is foisted on working people.
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