10
Apr
11

icelanders vote not to pay for bankers’ mistakes

of the sources I check, including progressive ones, none but al jazeera noted the icelandic referendum on paying the debt incurred by its bankers

i wouldn’t know, but this seems like an important item for anyone in any country whose economy has been ravaged by banksters.

The shape of Europe that is emerging is not the original view of mobilizing technology to raise living standards. The leaders who originally sponsored the EU viewed nation states as having plunged the continent into a millennium of warfare. But today, finance is the new mode of warfare. Its objective is the same as military conquest: to seize the land and basic infrastructure, and to levy tribute – euphemized as bailout repayments, as if the financial system were necessary to fuel industry and labor rather than siphoning off their surplus.

The Irish government’s €10 billion interest payments are projected to absorb 80% of the government’s 2010 income tax revenue. This is beyond the ability of any national government or economy to survive. It means that all growth must be paid as tribute to the EU for having bailed out reckless bankers in Germany and other countries that failed to realize the seemingly obvious fact that debts that can’t be paid won’t be. The problem is that during the interim it takes to realize this, economies will be destroyed, assets stripped, capital depleted and much labor obliged to emigrate. Latvia is the poster child for this, with a third of its population between 20 and 40 years old already having emigrated or reported to be planning to leave the country within the next few years.

The EU’s nightmare is that voters may wake up in the same way that Argentina finally did when it announced that the neoliberal advice it had taken from U.S. and IMF advisors had destroyed the economy so much that it could not pay. As matters turned out, it had little trouble in imposing a 70% write-down on foreign creditors. Its economy is now booming – because it became credit-worthy again, once it freed itself from its financial albatross!

[greek left review]

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