Welcome to European Tribune. It's gone a bit quiet around here these days, but it's still going.
Display:
# he prohibition of monetary financing (Article 123 of the Treaty on the Functioning of the European Union),

No QE?

# the prohibition of privileged access to financial institutions (Article 124 of the Treaty on the Functioning of the European Union),

Banks should get no tax payer guarantees?

# the no-bail-out clause (Article 125 of the Treaty on the Functioning of the European Union),

Banks and funds should get a haircut.

# the fiscal provisions to avoid excessive government deficits (Article 126 of the Treaty on the Functioning of the European Union, including the excessive deficit procedure), and

All governments have followed this, including Ireland and Spain. All have paid off their debts for 10-20 yrs. Ireland was only 2 yrs ago practically debt free.

# the Stability and Growth Pact (secondary legislation based on Articles 121 and 126 of the Treaty on the Functioning of the European Union).

Here is the key. In neoliberalism "growth" does not mean "wealth creation." It means credit creation. And wealth distribution by asset price inflation.

by kjr63 on Mon Apr 11th, 2011 at 08:38:43 PM EST
[ Parent ]

Others have rated this comment as follows:

Display:

Top Diaries

A Swedish government appears

by fjallstrom - Jan 16
6 comments

What happens now?

by IdiotSavant - Jan 15
66 comments

Too little, too late

by Frank Schnittger - Jan 12
83 comments

A TITANIC success

by Frank Schnittger - Jan 7
36 comments

Perils of a No Deal BrExit

by Oui - Jan 7
109 comments

Review of 2018

by Frank Schnittger - Dec 26
43 comments

Occasional Series