Updates at the end
The beautiful country of Greece with its charming and friendly people is about to default and fall into an economic collapse. The wrong people won the election. The small Syriza party won because they convinced the people that the economic collapse, the economic scandals, were the cause of their dire situation and austerity was not needed. They are now looking to Russia for help to disentangle from the EU which puts the U.S. on the front line of redistributing our money to the failed economy of Greece.
Syriza sold the idea that politicians squandered the available monies and forced the people to pay for it. They became the “movement of indignant citizens”. Politicians became known as thieves and traitors and thus was born the fascist “Golden Dawn.”
They declared that the Capitalist system itself was hopelessly corrupt and what must be done is to break off from the imperialist unions of the EU and NATO with socialization of the means of production and the construction of another economy and society that will focus on the satisfaction of the people’s needs and not on profit.
Syriza are careful not to criticize Barack Obama’s alleged “neoliberal capitalism” in an effort to foster illusions among the working people that there can be another “good” capitalism.
The photo above shows ‘abolish the bailout 100%’ protesters. The Syriza party still enjoys significant popularity despite their failed policies and deceitful propaganda.
Syriza has been systemically destroying the country from within and has taken over much of the social-democratic party PASOK.
Greek Prime Minister Alexis Tsipras, photo below, closed the country’s banks Monday and people can only take $66 dollars a day out of their accounts.
The EU is moving to cap the amount of emergency loans to the country’s lenders and Tsipras is trying to avert a bank run. The stock market didn’t open either of course.
Tsipras called for a Greek referendum on whether to accept the terms of the country’s creditors to secure desperately needed funds but the IMF has refused to wait for the vote.
Athens is about to default on a $1.72 billion payment due to the IMF (International Monetary Fund) on Tuesday. The bailout expires Tuesday. Greece requested a one-month extension to hold a referendum but it was rejected by finance ministers.
The same situation took place in Cyprus and the government stole money from citizen’s checking and savings accounts.
According to Reuters, one-third of the country’s ATMs have been wiped out.
The politicians willfully and continuously lie to the people as statist governments must because if the people really understood what was going on, they’d never go along with it.
For example, Greek’s Finance Minister Yanis Varoufakis tweeted Sunday that his government “opposed the very concept” of any controls, and then Greek PrimeMinister Alexis Tsipras said later that day that he had forced the country’s central bank to recommend a bank holiday and capital controls.
Since the racist (they like to blame Jews for their woes), fascist Syriza party came into power, Greeks have been withdrawing their money in record sums out of fear that their money will be converted to Drachmas, a near-worthless currency, which will happen if they pull the country out of the EU.
The Greeks voted this party in because of their message insisting that they pull out of the EU and return to the Drachma with the idea that they could continue their unsustainable lifestyle including their extravagant union salaries and benefits. To date they won’t accept the necessary taxes or austerity. They want the loans but they don’t want to pay them back according to the agreed upon terms; they don’t want to accept cuts; and they want to keep spending.
There will be a referendum on July 5th but Tsipras and the Syriza party are telling Greeks to not accept the latest creditor proposals.
While a Greek departure from the EURO will be devastating for Greece, it will be a slow devastation for the rest of the EU as well.
The Guardian reported that the world markets are tumbling:
in London the FTSE 100 tumbled by 150 points – more than 2% – when trading began at 8am BST. There were even sharper falls across Europe, with the French and German markets both tumbling by 4%. European banking shares were the hardest hit, suffering losses of up to 10%.
Live Greece debt crisis: Thousands of ‘No’ supporters protest, as EC urges yes vote – live
Governments of France, Germany and Italy all warn that Greeks are voting on their eurozone membership on Sunday, as banks remain shut.
Overnight in Tokyo the Nikkei index had fallen almost 3% and in Hong Kong shares slid 2.5%.
Puerto Rico can’t pay their $70 million in debt. Spain, Portugal are right behind.
The U.S. will also feel the effects. We do a lot of trading with the EU and we owe trillions to people who hate us. We are already deeply in debt and spending far more each month than we pull in. Donald Trump said that when the U.S. hits a $24 trillion dollar debt, the damage will be irreversible. We will be at about $20 trillion in debt by the time Barack Obama leaves office.
The U.S. has already seen it’s Triple A rating evaporate and the president has accumulated more debt than all the presidents combined while lying about it. Greece is crashing over a few billion, the U.S. will crash over trillions.
Meanwhile, Syriza continues to play with the suffering of the people and lying to them about the so-called immediate solutions not requiring radical changes. They won’t accept austerity, they will continue to blame everyone else, and they will face eternal slavery. It should be a warning to the U.S. but it’s doubtful.
Days after refusing a deal from the IMF and after defaulting, Tsipras has agreed to most of the terms. It will take weeks to negotiate the deal.
Financial Times: Greece needs more than €60bn in new financial help over the next three years and faces decades of living in the shadow of a daunting debt mountain that would make it vulnerable to future crises, the International Monetary Fund has warned.
The U.S. owes $18.2 trillion.