EuroShow Operetta
The financial collapses within the European Union are beginning to resemble something quite surreal, like an operetta by Gilbert & Sullivan. Ireland, Portugal, Greece, Italy - (Spain?) all in desperate straits requiring special assistance from the union of Europe, with recalcitrant Germany, the wealthiest among the 27 EU member-countries, proud of its practise of restraint, unwilling to ride to the rescue of lavish spenders-beyond-their-means.Greece has a new prime minister. As part of the deal on forming a Greek national unity government. Heading off the finality of an economic collapse that would leave Greece a twitching corpse of a nation that rescue-banks would hesitate to tap with a generous barge-pole for fear of never seeing any of that funding returned. Greece's earlier bail-out left its backers holding worthless papers that will see a sad return on their investment.
George Papandreou, struggling to keep his country together - weighted down by the anger and scorn of the Greek public which has itself partly at fault in the situation of economic collapse, where the national pasttime is tax evasion, the wealthy find ways of excusing themselves from taxes, and everyone insists a social-minded state owes its citizens safety nets - hadn't firm footing with his rescue boat threatening to capsize.
Then, prepared to resign and hand over the reigns of government to the agreed-upon coalition interim administration, unable to do so, because the bickering opponents weren't able to arrive at a decision, selecting his replacement, and finally reaching the point where the new bail-out package for the faltering Greek economy could be signed. Desperation led to action, and the deed was done.
A former European Central Bank vice-president, and not a parliamentarian, rescued the situation by being named to the incoming coalition cabinet as prime minister. Elections will take place in February, after the new cabinet has been successful in securing the voters' agreement in keeping Greece in the eurozone.
Now, on to Italy, the eighth-largest economy in the world, with the 3rd largest bond market, and which is living well beyond its means, owing a trillion-and-a-half dollars, paying an intolerable 7% interest on its debt, and teetering on the brink of insolvency. Its president, finally, will be taking a leave of absence, leaving the way open for a successor - or a series of successors, reflecting the fleeting series of prime ministers that had led Italy for a generation.
Silvio Berlosconi may have other plans in the works; resignation if needed, but not necessarily permanent; if anyone can figure that one out, he will.
Labels: Economy, European Union, Political Realities
posted by Pieface @ Thursday, November 10, 2011
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