God is a Capitalist

Sunday, July 16, 2017

Macron tries extortion on Merkel

French President Emmanuel Macron pressured German Chancellor Angela Merkel recently to bail out the failed southern conference of the Big EZ. According to a Dow Jones Newswires report,
The French leader said the eurozone has deepened disparities, loading indebted nations with yet more debt and making competitive countries even more competitive.
France's public debt stands at more than 96% of economic output, compared with 68.3% in Germany at the end of last year. Unemployment is above 9% in France but closer to 4% in Germany.
Mr. Macron is calling for a shared eurozone budget that could be used to for a variety of reasons, including helping currency members in economic distress, believing that would help address flaws revealed by the 2010 debt crisis.
For the eurozone to have a future, the French leader said, it must have "powerful solidarity mechanisms."
The French leader said Germany should assist with a stimulus of public and private investment in Europe and work with France to find "the right macroeconomic plan."

Monday, July 10, 2017

OECD wants every nation to be Greece

Greece's financial troubles have slipped from the headlines lately, but the financial apocalypse that began there with the Great Recession continues. Now the Organization for Economic Cooperation and Development has made it clear it wants the rest of the developed world to imitate Greece, as it stated in a recent report:
Fiscal redistribution through taxes and transfers plays a crucial role in containing the impact of market income inequality on disposable income… Policies aimed at promoting growth should consider how growth will have an impact on many other outcomes, and how to ensure that those policies avoid the “grow first, distribute later” assumption that has characterised the economic paradigm until recently. It is now clear that growth strategies need to consider from the outset the way in which their benefits will be distributed to different income groups. … Inequalities tear at the fabric of our societies. Inequality of incomes translates seamlessly into inequality of opportunities for children, including education, health and jobs, and lower future prospects to flourish individually and collectively. …inequalities are reaching a tipping point.
Strengthening inheritance and gift taxes can support inclusive growth. … Inheritance taxes can…help achieve intergenerational equity goals. …In order to be effective, inheritance taxes must also be combined with taxes on gifts and wealth transfers during the taxpayers’ lifetime, as well as with measures to address avoidance and evasion.
Sufficiently generous unemployment benefits and social-assistance systems with a wide coverage are also a key.