From:   shaista husain <shaistahusain@gmail.com>
Sent time:   Tuesday, November 01, 2011 11:39:29 AM
To:   september17@googlegroups.com
Subject:   SPAM-MED: Re: [september17discuss] Greek government on verge of collapse over austerity referendum
 

There is a lot missing Gabriel, I am just asking --posing the

issues--what you call an economic slowdown, i would call economic

asphixiation or a brutal shock....cheers, shai

 

On Tue, Nov 1, 2011 at 1:29 PM, Gabriel Johnson <gabjoh2@gmail.com> wrote:

> "unpopular austerity measures"

> This does not seem like "New Deal" measures to me. This seems like the

> opposite of that, and the opposite of what Keynes would prescribe during an

> economic slowdown. Is there something not in the article I'm missing?

> --glj

> On Tue, Nov 1, 2011 at 1:12 PM, shaista husain <shaistahusain@gmail.com>

> wrote:

>>

>> Thanks for posting this,

>> The social democratic leadership PASOK party have sold out to the

>> Troika and Greece really is on the brink of a revolution--it is also

>> the weakest link in Europe. It is important that we understand why

>> social democracy and why this Third Party has not been able to

>> implement reform and structural changes for the people. Greece poses

>> an interesting lesson--and those of us who think similar keynesian

>> "New Deal" steps are a solution to our problem (*yes anything is

>> better than what we have now*!!!!) but these "New Deal" policies are

>> being rejected by the Greek workers, as these measures have not been

>> able solve the economic crisis. What are the people of Greece

>> demanding?

>>

>>

>> On Tue, Nov 1, 2011 at 11:01 AM, Doug Singsen <dougsingsen@gmail.com>

>> wrote:

>> >

>> > http://www.nytimes.com/2011/11/02/world/europe/markets-tumble-as-greece-plans-referendum-on-latest-europe-aid-deal.html?_r=1&hp

>> >

>> > Government in Greece Nears Collapse Over Referendum

>> >

>> > By NIKI KITSANTONIS and RACHEL DONADIO

>> >

>> > ATHENS — The Greek government was plunged into chaos on Tuesday and

>> > faced an

>> > imminent collapse, as lawmakers rebelled against Prime Minister George

>> > Papandreou’s surprise call for a popular referendum on a new debt deal

>> > with

>> > Greece’s foreign lenders.

>> >

>> > Power company customers lined up in Athens on Monday to ask about a new

>> > tax.

>> > President George A. Papandreou’s surprise promise of a vote on austerity

>> > measures threatens a deal reached to ease the European debt crisis.

>> >

>> > Such a collapse would not only render the referendum plan moot, it would

>> > likely scuttle — or at least delay — the debt deal that was agreed on in

>> > Brussels last week, putting Greece on a fast track to default and

>> > possible

>> > exit from the monetary union of countries sharing the euro currency.

>> >

>> > Analysts said that Mr. Papandreou’s call for a referendum was a last

>> > resort,

>> > meant to gain broader political support for the unpopular austerity

>> > measures

>> > in the deal without forcing early elections that would only worsen the

>> > country’s political and economic turmoil.

>> >

>> > But after weeks of mounting pressure, one Socialist lawmaker quit the

>> > party

>> > to become an independent, reducing Mr. Papandreou’s majority to 152

>> > seats

>> > out of 300 in Parliament, and another six Socialists wrote a letter

>> > calling

>> > on Mr. Papandreou to resign and schedule early elections for a new

>> > government with greater political legitimacy. Together, the developments

>> > made it doubtful whether his government would survive a confidence vote

>> > planned for Friday.

>> >

>> > Meanwhile, the center-right opposition New Democracy party on Tuesday

>> > stepped up its calls for early elections. Its leader, Antonis Samaras,

>> > has

>> > opposed most of the austerity measures the government accepted in

>> > exchange

>> > for foreign financial aid. Mr. Samaras has said that if he were in

>> > power, he

>> > would try to renegotiate the terms of Greece’s arrangement with its

>> > principal foreign lenders, known as the troika: the European Union, the

>> > European Central Bank and the International Monetary Fund.

>> >

>> > “Mr. Papandreou, in his effort to save himself, has presented a divisive

>> > and

>> > extortionate dilemma,” Mr. Samaras said on Tuesday. “New Democracy is

>> > determined to avert, at all costs, such reckless adventurism.”

>> >

>> > Mr. Samaras declined to say whether he would ask his 85 members of

>> > Parliament to resign, a move that would lead to the dissolution of

>> > Parliament and a snap election. The next general election was not due

>> > until

>> > 2013, when the Socialists’ four-year-term expires. Mr. Samaras is

>> > expected

>> > to clarify his stance at a meeting of his party’s parliamentary group on

>> > Wednesday.

>> >

>> > European leaders have repeatedly dismissed Mr. Samaras’s notion of

>> > renegotiating Greece’s deal with its lenders, saying that trying to do

>> > so

>> > would be damaging and would throw away months of work on a plan to keep

>> > Greece from defaulting.

>> >

>> > Mr. Papandreou’s announcement of a referendum took Greek lawmakers by

>> > surprise, just a s it did political leaders and investors across Europe.

>> > On

>> > Tuesday, the state television channel Net reported that even the finance

>> > minister, Evangelos Venizelos, had not been informed in advance about

>> > the

>> > referendum, although he was aware of plans for a confidence vote.

>> >

>> > Mr. Venizelos was taken to a hospital Tuesday morning, complaining of

>> > stomach pain. Doctors said he had an inflamed appendix. He is the latest

>> > in

>> > a string of governing party officials to be rushed to hospitals in

>> > recent

>> > weeks. One Greek negotiator had a heart attack in Brussels last week.

>> >

>> > On Tuesday, European leaders said the deal reached last week to write

>> > down

>> > 50 percent of some Greek debt was the best available way to build a

>> > financial “firewall” that would keep Greece’s troubles from causing a

>> > damaging run on other shaky European economies like that of Italy.

>> >

>> > The political instability in Greece has long dismayed European

>> > officials. In

>> > a statement, the president of the European Commission, Jose Manuel

>> > Barroso,

>> > and the president of the European Council, Herman Van Rompuy, said that

>> > Europe’s plans to protect other vulnerable members were “more necessary

>> > than

>> > ever, without delay.”

>> >

>> > “We are convinced that this agreement is the best for Greece,” they

>> > added.

>> > “We fully trust that Greece will honor the commitments undertaken in

>> > relation to the euro area and the international community.”

>> >

>> > In Greece, Mr. Papandreou’s referendum proposal seemed to be his last,

>> > best

>> > hope. His political capital has dried up, and he faces intense anger

>> > from

>> > voters who have been squeezed to the breaking point by the austerity

>> > measures demanded by Greece’s foreign lenders.

>> >

>> > “Papandreou could not take more political punishment,” said George

>> > Kirsos, a

>> > political analyst and the owner of the Athens City Paper. “We have a

>> > strange

>> > situation: Everyone’s cursing the government, and everyone expects the

>> > government to do the job by itself — to reorganize the economy, to cut

>> > the

>> > deficit, to make a deal with the Germans — but at the same time, nobody

>> > helps him.”

>> >

>> > “All parties and all media criticize the government,” Mr. Kirstos added.

>> > “So

>> > Papandreou, in a sense, tried his best to do the referendum to force the

>> > parties, the media and the citizens to undertake their own

>> > responsibility.

>> > The referendum is a yes or no issue: Either you are in favor, or you

>> > decide

>> > that you say goodbye to the euro zone.”

>> >

>> > Charged by Europe with dismantling the welfare state they helped create,

>> > many of Mr. Papandreou’s Socialist members of Parliament feel they too

>> > have

>> > reached their breaking points.

>> >

>> > Vasso Papandreou, a prominent member of parliament and a former minister

>> > who

>> > is not related to the prime minister, called on Greek President Karolos

>> > Papoulias to order the formation of a unity government ahead of early

>> > general elections. “Bankruptcy is imminent,” she said. Earlier this

>> > month,

>> > Ms. Papandreou said she would vote for a new raft of austerity measures,

>> > but

>> > that it would be “the last time” she supported the government

>> > unconditionally.

>> >

>> > “The current government has none of these necessary prerequisites.

>> > Today’s

>> > government policy is asphyxiating. Day by day the country is

>> > experiencing

>> > collapse, lawlessness and absence of government,” they added.

>> >

>> > If Mr. Papandreou’s government falls, it would not be the first one in

>> > Europe to be toppled by the austerity demanded by European debt relief.

>> > In

>> > Ireland and Portuga,l governments that accepted bailouts from the

>> > European

>> > Union and the International Monetary Fund fell, and last month the

>> > Slovakian

>> > government fell over whether to participate in the European Union’s

>> > rescue

>> > package.

>> >

>> > Niki Kitsantonis reported from Athens and Rachel Donadio from Rome.

>> > Stephen

>> > Castle contributed reporting from Brussels.

>

>

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