15 June 2013



Holland (the Netherlands) has the euro-zone’s fifth-largest economy. It is considered part of the “core” northern countries, but — because of the euro currency — Holland remains in an ever-worsening depression, just like the “peripheral” nations.

Germany is the only euro-zone nation that does not have a recession, since Germany enjoys a massive trade surplus. and since the ECB is located in Frankfurt. But even Germany’s growth has slowed, as demand for German imports continues to fall in other euro-zone nations.

According to a survey by the Center Automotive Research (CAR) at Duisburg-Essen University in Germany, Western Europe’s car industry is suffering its worst year in three decades of record keeping. Across the euro-zone, demand for new vehicles is at a record low, and is continuing to plunge. Sales fell 11 percent last year, and will fall another 5 percent this year. At most, a total of 11.89 million vehicles will be sold, which sounds like a lot, but it’s one vehicle for every thirty people. Next year it will be one vehicle for every 60 people…and so on. Many carmakers have closed or are about to close some of their plants, including Peugeot-Citroen, Ford and Opel.

This refers to the euro-zone overall. Of course, car market is almost completely dead in France, Italy, Spain, Portugal and Greece.

However, bankers and politicians continue to live in splendor, and rich people continue to get richer – which, after all, is the purpose for austerity. For rich people, a depression simply means the disappearance of the middle class.

Next week the Dutch government will begin negotiating on how to impose another €6 billion worth of austerity on the Dutch people to satisfy the Troika mobsters. Beginning in August, Dutch politicians must impose enough spending cuts and tax increases to reduce Holland’s GDP by at least 1%..

Finance Minister Jeroen Dijsselbloem says he is up to the task (of worsening Holland’s depression).

Earlier, Mr. Dijsselbloem had famously boasted that the Cyprus Heist was the “model” for future Troika dealings with its slaves.

“I hear too many people saying that spending cuts are bad, and that we should lower taxes,” he says. “There is simply no money for that. The time for easy solutions is over.”

No, there is no money, since Holland must borrow all its money from the Troika and from private investors.

Holland brings up the two forms of austerity that I explained in my last blog post. Both forms are designed to widen the gap between the rich and the rest.

When the masses scream about fiscal austerity, the bankers and politicians switch to legal austerity, whereon the media claims that “austerity has ended.” An example is the Los Angeles Times item, farther below.

After a while, the bankers and politicians switch back to fiscal austerity. That is, they resume spending cuts and tax increases.

In April, for example, Dutch politicians postponed a new wave of fiscal austerity (€4.3 billion in spending cuts and tax increases) in return for legal austerity that consisted of massive concessions from labor unions. Politicians effectively told workers, “If you let us impose legal austerity on you, then we won’t have to impose fiscal austerity.”

This coming August the politicians will impose more fiscal austerity ANYWAY.

Idiot bloggers and corporate media outlets will then debate about whether austerity “really ended” after all.

In actual fact, austerity (i.e. the class war) will never end until there is a social revolution. Until then, bankers and politicians will switch back and forth between the two forms of austerity. “If you let us have more fiscal austerity, then we won’t have to impose more legal austerity.”

Later, “If you let us have more legal austerity, then we won’t have to impose more fiscal austerity.”

Back and forth. And the public never catches on.


Legal austerity is also called “reforms,” “structural adjustment,” “fiscal consolidation, ” and so on.

The corporate media outlets pretend that legal (or structural) austerity is not austerity.

However anything that increases the power of rich people at your expense is AUSTERITY.

Tax increases have reduced the incomes of Dutch households, which are already grappling with high mortgage debt and falling house prices.

“Last month alone, nearly 800 companies went bankrupt,” says Hans Biesheuvel, chairman of MKB Nederland, a lobby group for small and medium-size firms.

In neighboring Belgium, politicians have imposed €18 billion worth of austerity (spending cuts and tax increases) on the people since December 2011, thereby reducing Belgium’s GDP by 5% — and worsening Belgium’s depression by 5%. This year, Belgian politicians must impose another €500 million worth of austerity in order to avoid Troika sanctions.

So if euro-zone nations don’t continue to commit suicide, they face Troika sanctions, which is like taking a cyanide pill to avoid the guillotine.

On Tuesday (11 June), Finland’s Prime Minister Jyrki Katainen told Finland to prepare for austerity. He said he would not “rule out” austerity if Finland’s recession did not end soon. And he knows it is permanent.




By Henry Chu, Los Angeles Times

After years of unrelenting austerity, Europe seems to have turned a corner on its debt crisis — right into a dead-end street. Since the turmoil erupted in 2009, countries from Ireland to Greece have focused almost exclusively on slashing budget deficits and debt as the road back to economic health.

Bullshit. “Economic health” means a wider gap between the rich and the rest. The purpose of austerity is to widen the gap between the rich and the rest, and increase the power of the financial economy over the real economy. In Europe’s case, austerity also increases Germany’s power over the other euro-zone nations. Since the euro currency is lent (not issued) from Frankfurt,  austerity is unavoidable. Anyone who disagrees with these facts is a liar or an idiot.

But officials are discovering something many people know already: Crash diets seldom work, and often make things worse.

Bullshit. With national governments, austerity doesn’t often makes things worse; it always does. NO EXCEPTIONS.

As their economies shrink, countries have seen their debt ratios climb, not fall — the exact opposite of what Eurozone officials said would happen.

It’s called the death spiral. Because euro-zone nations surrendered their Monetary Sovereignty, they must borrow all their money. Hence they have no choice but to keep going further into debt, which means they must keep imposing more austerity, which worsens the debt, which worsens the austerity, which worsens the debt, which worsens …


“Having austerity be the main focus across Europe has been a mistake,” said Megan Greene, chief economist at Maverick Intelligence, a London-based consultancy. “There needs to be a wholesale different approach to this crisis.”

Bullshit. There has been no mistake. The euro currency, and the austerity that goes with it, are part of a deliberate, intentional, calculated plan to destroy the welfare state, widen the gap between the rich and the rest, and increase the supremacy of the financial economy at the expense of the real economy. In short, the purpose of austerity is to reduce the earth to a planet of peasants and lords.

In the UK and USA, austerity is strictly gratuitous, since both governments create their money out of thin air.

The pressure may finally be starting to tell. Recently there have been signs that the region’s leaders, most notably in Berlin and at European Union headquarters in Brussels, are rethinking their dogmatic pursuit of spending cutbacks and balanced budgets.

Bullshit. As I noted above, when the corporate media claims that “austerity has ended,” it means that bankers and politicians have temporarily switched from fiscal austerity to legal austerity. But it is still austerity.

There’s much more in the article, but it repeats the same old shit.


One LA Times reader commented:

“Dump the euro. This one item, established primarily to the benefit of Germany, has choked everyone else and their ability to control their individual economies. In order for the euro to work, everyone’s economy has to be of equal size.”

This reader has almost grasped reality. However, in order for the euro to work, it is not necessary for all participating economies to be of equal size. What is necessary is that all participating nations have a neutral balance of trade, with no surpluses or deficits between them, and the ECB must give (not lend) euros to the participating states.

If you and I both use the same currency, and if both of us must borrow that currency, then if I export more goods to you than you export to me, you will be my slave.





This is cute:

The United Kingdom’s pursuit of austerity under Prime Minister David Cameron was aimed sparking economic growth and reducing deficits.

That’s like saying, “In order to rise above the ground, we must tunnel beneath it.”


Three years after the conservative government began its deficit reduction efforts, though, it has failed to spark economic growth or reduce the deficit. Britain is now on the brink of its third recession in four years and its economy is still smaller than it was when the Great Recession began.

Yeah. It’s called “austeruity,” and it has nothing to do with boosting economies.

In 2010, Cameron and finance minister George Osborne projected that their austerity package would by now have reduced deficits from 4.8 percent of the economy to just 1.9 percent. At the beginning of 2013, the deficit stood at 4.3 percent.

Yes. That’s why the UK has a depression. This madness continues because idiots like YOU think that deficit reduction is a good thing. You just don’t think that austerity is the best way to cause this “good thing.”

Here’s the reality, you moron. Deficit reduction is austerity. It is always bad, since it always causes recessions. The UK government has no need for deficit reduction. It creates its money out of thin air.

Still, Osborne and Cameron remain committed to austerity, with Osborne telling the BBC last week, “You can’t get out of debt crisis by borrowing more and more.”

But Britain doesn’t have a debt crisis — its borrowing costs are at historic lows.

Actually the British government’s “borrowing costs” are zero, and always have been zero. The government “borrows” (i.e. sell T-securities, or “gilts”) because it chooses to, not because it has to. (Unlike the euro-zone nations.)





Republican austerity fanatic John Boehner, Speaker of the House, is so notorious for opportunistically crying in front of cameras that he is popularly known as the “Weeper of the House.” When it comes to hypocrisy, this clown has no shame whatever.

He especially cries when he publicly talks about subjects like young school children (which his austerity is killing).


YouTube is full of videos of Boehner crying about the little kids he is impoverishing (indeed killing) with his austerity. .

Are these crocodile tears? Yes, but more is involved. Mr. Boehner is a well-known alcoholic, and there are YouTube videos of him drunk in Congress. Google has many articles about this.

Alcoholics usually have very erratic personalities, now weeping with sorrow, now howling with rage. This is not bipolar disorder; it is alcoholic personality disorder. Alcoholics spend half their time beating their wives and kids, and the other half  begging for forgiveness, saying, “I am worthless!”

Half the time the alcoholic sees himself as God, and everyone around him as inferior. The other half of the time he sees himself as the most inferior person on the plant.


I see Boehner as having self-esteem issues, which he compensates for by shilling for the rich. That, plus his substance abuse problems, make him an perfect “useful idiot.”

Here’s a 30-second clip of Boehner doing his act. It’s nauseating…


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