Cyprus crisis is at the heart of fundamental problems in the eurozone … According to the well-known quotation from Virgil, you should beware Greeks bearing gifts. But what about Greeks asking for them? Even if the Cypriot government has been able to facilitate a deal and get concessions from the Troika of the EU, the ECB, and the IMF, it will not close the matter. – UK Telegraph
Dominant Social Theme: Cyprus has been saved and you need not look behind the curtain.
Free-Market Analysis: Cyprus seems to us to join a number of other recent events as a miscalculation of the elites running the EU and even the Western World.
This article in the UK Telegraph makes the same kind of point, though its analysis is restricted to Cyprus. The idea is that the Cyprus eruption is part and parcel of a larger dysfunction that is built into the European Union itself.
At this point, most experienced observers and investors will have to grant the truth of this observation. The euro forces Southern Europe to act like Northern Europe – and as this is an impossibility, we get ongoing eruptions of insolvency that Northern Europe (Germany) has to deal with.
The excerpt above notes that a deal will "not close the matter." Good observation. Nothing can close the matter, in fact, because of the problematic imposition of the euro itself. When Europe burned its thousand-year-old currencies, it burned the benefits of the trade union itself and traded peace for war.
Our analysis leads us to believe that this was actually the point of the exercise. The EU was never planned merely as a trade union but as a building block to empire.
But as we have pointed out regularly, in the era of the Internet Reformation, the kinds of manipulations that have been practiced on long-suffering Western citizens are a good deal more transparent and therefore less likely to be effective.
The EU – or at least the euro – seems to be unraveling before our eyes. But this is no coincidence. It is part of a PATTERN. And the pattern leads us to believe, as we've pointed out before, that manipulations are increasingly less effective.
In fact, in the modest arc of this publication's existence we've charted the rise and fall of numerous dominant social themes prepared and offered by globalists. From global warming, to the drug war, to the war on terror and the utility of the European Union experiment we've charted the production of sociopolitical (and economic) memes and concluded they are less effective in the Internet era than before.
We base our conclusion on Cyprus from observing that the original solution has been abandoned and that only the "wealthy" are going to be subject to confiscation of assets based on the latest solution emerging from the Cyprus crisis. Here's more from the article:
By the time you read this, the crisis in Cyprus could be over. On Sunday night the country's President was in Brussels for meetings with senior EU leaders and eurozone finance ministers for last-ditch talks to secure €10bn (£8.5bn) to save Cyprus from bankruptcy. The negotiations wre expected to go to the wire.
But even if the Cypriot government has been able to facilitate a deal and get concessions from the Troika of the EU, the ECB, and the IMF, it will not close the matter.
So why the crisis in the first place? Cyprus is a tiny country and the amount of money involved is nugatory. According to one strain of commentary, the crisis just represents another demonstration of the euro-zone leaders' inept handling of key issues.
I have some sympathy with this view. But it goes too far. The Cypriot crisis goes right to the heart of the fundamental problems besetting the euro. It emerged because the issues are genuinely difficult and whatever was done there were bound to be casualties.
Small beer or not, the Troika has not been keen to kiss goodbye to a few more billion euros, given that Cyprus has been a bad boy, and so many of the depositors who would be helped by further assistance are Russians whose money is, how can I put this politely, of dubious provenance.
Moreover, there are the wider effects to consider. Greek public finances remain dire and further restructurings of Greek debt are inevitable. Before long, Italy and Spain may well need a bail-out. And France is not far behind in the queue. Meanwhile, across the continent, there is growing public unrest over continued austerity. If the Troika is seen to give soft help to Cyprus this bodes ill for getting other indigent countries to take their medicine.
Very good! This excerpt encapsulates the sociopolitical and economic tensions that haunt the euro and even the EU. The crisis of Europe is not a single event but a process that is yielding up economic instability one country at time. With rare exceptions these crises are not solved but continually provide yet more problems.
As the article points out, Italy still has no government; meanwhile, Spain has unemployment of close to 50 percent in some demographics; Portugal is struggling, Greece is in flames and sooner or later France will face the same sort of difficulties as the Southern PIGS regarding insolvency and then austerity.
It is austerity itself that is aggravating the problem. IMF's methodologies – including raising taxes and reducing government services – only aggravate difficulties at such times.
It is difficult to avoid the conclusion we have made in past articles that much of what passes for solutions in the EU are actually being implemented to aggravate what is already injured. The idea perhaps is that a lingering crisis gives Brussels's Eurocrats the ability to further implement a "deeper" political union.
Are you an investor? Are you betting on the euro – or even the EU? In the era of the Internet, when people increasingly understand how the "great game" is played, the deliberate (evolutionary) deepening of a crisis is perhaps unwise.
You don’t have to play by the rules of the corrupt politicians, manipulative media, and brainwashed peers.
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