On Wise Vote of Undecided Hangs Hope of Greece

The conjunction of dreaming and ruling generates tyranny.

Michael Oakeshott

By Con George-Kotzabasis January 22, 2015

All the pre-voting polls show that the radical party of Syriza leads the liberal party of New Democracy by three to four percentage points up to this moment. This is because a sizable part of the electorate has been gravely wounded by the austerity measures of the Samaras’ government that were necessary for Greece’s economic resurgence, and therefore has been easily duped by the populist spurious promises of Syriza in its fixed-all campaign that will presumably pull out the country from the quagmire of austerity. If there is no reversal of this lead of Syriza in the next few days, then this party of neo-communists by taking power will throw the country into the vortex of economic destruction and bankruptcy, as a result of their barren, sinister, and deadly ideology, whose consequences will plunge Greeks into mass poverty and political enslavement for at least a generation.

This intransigent Marxist ideology is readily encapsulated in the  preannounced inflexible and inexorable hard stand of Syriza’s position toward the negotiators of the Troika, i.e., the lenders of Greece, by threatening to repudiate and shred basic tenets of the second Memorandum that had already being agreed by the Greek government and its European partners. The latter have made it limpidly distinct that any action by a future Greek government that would imperil fundamental clauses of the Memorandum, could lead to the cessation of funds going to Greece that are so vital for the economic stability and resurgence of the country, and indeed its survival. Hence any unyielding rigorous stand on the part of Syriza’s negotiators with the European Union would lead to the economic rigor mortis of the country. Therefore, the elections of Greece next Sunday are tragically Shakespearian, “to be or not to be.”

Is there a force that could prevent this tidal wave of Syriza from destroying the country? My answer is in the affirmative. It is the force of intelligence that is embodied in that part of the electorate that has not decided as yet for which party to vote next Sunday. The major part of this undecided part of the voters consists of former supporters of New Democracy who are grievously angered with the policies of the Samaras government but who nonetheless perceive the small improvement in the economic magnitudes that have been accomplished by these policies in the short span of two and a half years since New Democracy was elected. It is inconceivable to imagine that these voters will let fly the one bird that they have in their hand for the two birds in the bush promised by Syriza. Nor could one imagine that this middle class would cut their nose to spite their face and vote for the neo-communists. It is on the wise vote of the undecided part of the electorate that hangs the hope of Greece. The return of New Democracy into the government benches under the insuperably strong and astute leadership of Andonis Samaras will ensure that Greece will overcome all obstacles to its economic recovery. In times of severe crises only the strong and intelligent can indulge in hope.

The Search of Neuroscience for the Quintessence of Economics

By Con George-Kotzabasis—October 03, 2014

A reply to “of markets and minds” –by professor Peter Bossaerts

Melbourne University Magazine

Economics is the application of scarce means for the attainment of countless abundant ends. Since all ends cannot be fulfilled because of the scarcity of resources, human choice selects those ends that are more needful or pleasurable to man than those that are less so. The attainment of those more needful ends is a result of human action. These ends, however, are the fruits of the future and the inevitable uncertainty that is riveted upon it. Therefore human action is always speculation based, however, not upon the throw of the dice but upon ratiocination. Furthermore, actions are determined by the value judgments of individuals i.e., the ends they are eager to attain. These valuations differ among individuals due to the different circumstances and living conditions of these individuals and to the variable desires and wishes that emanate from the plethora of their personalities. There is no constant relationship between these valuations, as they emanate from the different wishes, desires and caprices of an umpteenth of individuals, and are therefore beyond the bailiwick of science to measure them; what scientific method could measure with precision the capricious longings of man and the uncertainty that surrounds his existence?

Professor Bossaerts’ attempt therefore, to identify and control the ‘cells’ of the economy and finance and the complex interactions that determine their course by the scientific method of neuroscience for the purpose of rationally directing the process of the economy to a more beneficial path, is in vain and is bound to fail. Science measures constant relationships in the controlled experimental environment of the lab but cannot measure uncontrolled innumerable variants that determine, in our case, the process of a free market economy. The search, therefore, of finding the inexorably elusive quintessence of the economic process by the tools of the hard sciences, though a laudable task, is purblind, as it cannot see nor understand that science is incapable of measuring the measureless.

The endeavour to supplant and redress, on the one hand, the imperfections of the free market economy, and on the other, the failures of government dirigisme to regulate and direct the economic process of the free market to a more optimal state, by the powerful algorithmic tools of science, will be found to be another futile attempt to direct the economy from a central command post, this time by the methods of neuroscience and not by an omniscient cabal of socialist planners.

In an imperfect and uncertain world, the free market economy will proceed and move by trial and error and continue to spread its benefits to mankind. But the intervention of man’s reason and understanding will substantially diminish the errors by increasing their correction in time by the power of man’s imagination and ratiocination.

Recruiting Muslims to Team Australia Harder than Recruiting them to Terrorism

By Con George-Kotzabasis August 10, 2014

Reply to ‘Recruiting Muslims to Team Australia’ by Waleed Aly

The Age, August 8, 2014

 

Waleed Aly, since his acquisition of celebrity status by his prominence, but not cerebral preeminence, on the screens of the ABC and the pages of The Age, has prudently hidden his past implicit, if not explicit, support and justification of Muslim terrorism, although in his above piece on the Fairfax press could not as prudently conceal his crypto justification of the holy warriors of Jihad. In his attempt to turn the “short bow” of the government’s new counter-terror laws into a ‘long bow’ of the connection between section 18C of the Racial Discrimination Act and counter-terrorism—despite the fact that the government ultimately dropped its amendments, unwisely in my opinion, to section 18C on the false assumption that they would be communally and nationally divisive—he exposed himself, not only to a fallacious argument by not taking in consideration that in the long fight against terror one also has to be able freely to criticize the religion, as interpreted by its radical imams, from which the ideology of jihadism emanates, but also revealed himself as an insidious espouser of Jihad by trying to conceal the connection of 18C and counter-terrorism.

The defeat of terrorism is ineluctably twofold, since it is an engagement both in the field of battle and in the realm of ideas, of criticism and counter-criticism. Hence, free expression is an indispensable and necessary ‘weapon” against the devotees of terror. The dumping, therefore, by the Abbot government, of the amendments to section 18C of the Act in the name of the interests of ‘national unity’, is an action of shallow thinking whose unwitting egregious constrain of free expression is a serious error that will gravely weaken the government’s fight against terrorism.

Waleed Aly with his tinsel pop idol status is not squeamish and has no reservations in entering and delving in the abstruse rarefied affairs of philosophy. He insists, that ‘to draw a…connection between 18C and counter-terrorism requires a long bow. But the…attempt to do so (by the government) has intriguing philosophical consequences’ (M.E.). He claims that by this connection, ‘the government is implicitly accepting the social dimensions of terrorism.’ The latter, ‘gathers around feelings of alienation and social exclusion; that intelligence flows best from communities that feel valued and included rather than surveilled and interrogated. This…accords with the best research we have on the psychology of radicalisation and effective counter-terrorism policing.’ But what are these real ‘social dimensions,’ and not the fabricated ones, of Waleed Aly, that are endeavouring to put the blame for terrorism on Western societies whose discriminatory conduct toward Muslims is the cause of their alienation and exclusion, according to Aly? Why this same “discriminatory conduct” to other migrants, such as Chinese, Hindus, and southern Europeans, has not alienated them to the same degree and induced them to become terrorists? Aly in his studious endeavour to shift the blame oddly disregards, or rather hides, the fact, that this ‘alienation’ and ‘social exclusion’ on the part of most Muslims is voluntary and is an outcome of their culture and religion, which according to them is by far superior to Western culture and Christianity, and therefore makes them repugnant to adopt the principles of Western culture or integrate into it; as such assimilation would entail for them the replacement of their superior culture with an inferior one. He also ignores and overlooks the fact that a great number of the perpetrators of terror come from well-to-do families and are mostly well educated. The leader of the suicidal squad of 9/11 was the son of an Egyptian teacher and was educated in a Western university, and the terrorist, who had failed to blow-up Heathrow airport in London, was a medical doctor, who, when he was arrested called Allahu Akbar, God is Great, not to mention others. These people were hardly alienated and excluded by Western societies as all of them received their degrees from western universities. What recruited them to terrorism was their deep hate of Western societies and its Great Devil, America, a hate that was incubated in Mosques and Muslim schools by fanatical imams and teachers, respectively. These are the roots of terrorism, and not the specious psychology of Waleed Aly that connects the “radicalisation’ of Muslims to discriminatory exclusion and alienation by Western societies, as a result of his poverty of thought or his sinister and clandestine espousing of terrorism.

It is also erroneous on his part to believe ‘that intelligence flows best from communities that feel valued and included rather than surveilled, suspected and interrogated.’ The truth is that in free societies all communities are ‘valued and included,’ and Muslims are no exception to this principle and there is hardly any evidence of discrimination against them. The surveillance and interrogation is an outcome of past and imminent terrorist actions as broadcasted by terrorists themselves. It would be gigantically foolish to take these ominous threats not seriously. The government has a huge responsibility to protect its citizens from the fanatical death squads of Islamist terror. It must take relentless and most severe measures to protect Australians from future actions of terror that could kill thousands of them in shopping malls and football grounds. The threat of Muslim fanatics to kill in the future thousands of Australians is an act of war. It is therefore incumbent on the government to enact emergency legislation, as in war, to deprive the right of all Australian jihadists, who had fought in Syria and Northern Iraq to establish a caliphate, to return back to Australia by annulling their passports. As a return of these fanatics back to Australia will incalculably pose a menacing threat to the country and to the lives of its citizens. It would be fanciful and inane to think that once these fanatics return to Australia they will be remorseful and repent about the atrocities they committed on their adversaries in Syria and Iraq and declare their mea culpas for the beheadings on which their rudimentary Caliphate was established.

The Abbot government is beholden therefore to reconsider its withdrawal of the amendments to section 18C if it is prepared to seriously confront the future threats of terror on its soil, because, as I have argued above, free expression is a decisive weapon in the government’s arsenal against terror. This it must do even if the chances of these amendments to pass the Senate are slight. And if the Greens and the Labour Opposition chose to oppose these amendments they will reveal themselves as being derelicts of their duty to protect Australia and playing havoc with the security of the country and the lives of its citizens. The palmy days of Team Australia and its complacency are rapidly ending, as Islamist fanatics are recruiting to terrorism.

I rest on my oars: Your turn now.

 

 

Barbarians Inside the Gates

The following paper was written on October 9, 2004. It’s republished here as a result of the ominous events occurring in the north-west of Iraq and the capture by fanatic Islamists of Mosul and their proclamation of a Caliphate. It is noteworthy that many of its jihadists are citizens of the USA, UK, Europe, and Australia

By Con George-Kotzabasis

A deadly Trojan horse has been placed in the midst of the metropolises of Western civilization and, like Troy, is threatening its destruction. Throughout Europe, North America, and Australia, the belly of this deadly Horse is already bursting open delivering and unleashing a horde of fanatic barbarians on the cities of the civilized world, whose holy agenda decrees the wiping -out of Western institutions and their open, tolerant and free societies, and the genocide of their peoples by the fire of Allah’s hell.This is the nightmare scenario that countries of the economically developed and free world are facing as a result of their humanitarian and generous, but replete with folly, immigration policies that allowed such vast numbers of mostly unassimilable Muslim immigrants with ‘exponential’ birth rates, to become permanent residents and citizens of their countries. (In the Netherlands almost one third of children under the age of thirteen are Muslim. No wonder that the great Islamic scholar Bernard Lewis argues, that “Europe will be Islamic by the end of the century”.) As inexorably, not an insubstantial number of these Muslims of the diaspora will become terrorist - fodder for the likes of bin Laden, as Mohammed Atta, the Western educated ringleader, as well as so many other terrorists who have been also educated in Western universities, as the murderous group of 9/11 has shown, whose terrorist cell was hatched in Hamburg Germany. This is especially so for many young unemployed Muslims in the West, who have been brought up within the strict confines of their rigid religion and who are therefore psychologically more susceptible to the calls of their fundamentalist imams for a Jihad against the infidels, making them therefore prone to become martyrs in this holy war against them. Hence the terrorist barbarians are not at the gates of civilization but inside its gates.

September 11 was a wake up call to all governments of the democratic world to the mortal threat that Muslim fundamentalists posed to their peoples. However, despite the exploding sound of this call, only a few governments are willing to recognize this great danger -whose gathering dark clouds teeming with lightning bolts are hovering over the cities of the world threatening their peoples with total annihilation -and stand-up against it. Apparently, only a handful of them have the intellectual capacity, imagination, and historical insight to perceive this great danger, and the resolve and moral mettle to take the necessary relentless measures and actions to prevent this catastrophe of biblical proportions from happening. America, Britain, Australia, Italy, Poland and the thirty other countries who have deployed their armed forces to fight global terror in Iraq under their politically and morally strong and historically savvy leaderships, will be acknowledged and renowned by history as the countries that saved Western civilization from this lethal attack by this horde of fanatically necrophilous barbarians. The no quarter given, relentless retaliation of these governments to this existential challenge of global terrorism to the civilized peoples of the world, will be totally justified by future historians, as has been the stand of those nations who fought against Nazi and Communist totalitarianism and who made the necessary and stupendous sacrifices to save the world from these two regimes of evil in the Twentieth century.

DESPITE US ERRORS AN WITHDRAWAL IS UNTENABLE

Even if one concedes that serious mistakes have been made by the Americans post March 2003 after the defeat of Saddam, which was part and parcel of the war against global terror, such as indiscriminately disbanding all Iraqi military units, and not dealing with the incipient insurgency of urban terrorists last April by using overwhelming force against it and nipping it in the bud, instead of ceasing their military offensive, as they did in Fallujah, and passing the control of that city to a former Iraqi general, who proved to be completely inept in disarming the insurgents. The strategic goal of the military planners against the insurgency, should have been the prompt and devastating defeat of the insurgents in this city, either by their mass capture or mass annihilation, which would serve as a deadly example to all other insurgents in other hot-bed provinces in Iraq, with the high probability that this would have led to their complete demoralization and surrender, as I had suggested in a previous paper of mine last April, which was sent to the U.S. Embassy in Canberra. (It seems now that the Pentagon is using exactly this strategy, as the capture of Samarra by American and Iraqi forces and the elimination of the insurgents, has shown.) As the outcome of this erratic implementation of the Pentagon’s military plan, by starting an offensive against the insurgents and then stopping it halfway before achieving its goals, Iraq has now become “the crucible of global terror”, to quote Tony Blair. This is the glaring fact that all governments who have committed themselves to fight global terror are presently confronting.

To turn tail and run now from Iraq would not be merely foolish, it would be the greatest military error against the war on terror, as it would deliver a tremendous victory to the terrorists on a global scale. It would reinforce in the minds of the terrorists, as the withdrawal of US forces from Beirut and Mogadishu had done, as a result of the casualties Americans had suffered in these two cities, by presidents Reagan and Clinton respectively, that America and other Western nations lack the resolve to stand-up to them and fight, and will induce them to be even more lethally aggressive against the ‘cowardly’ West. Hence the critics and opponents of the war, who blame the Bush administration for exacerbating terrorism in Iraq and call for the US withdrawal from Iraq, are purblind and cannot see that such action would be the greatest error that one could commit against the war on global terror. It would surpass by a great order of magnitude all the mistakes that the Pentagon committed in Iraq. If indeed the opponents of the war are right, that the US incursion of the country and the overthrow of Saddam has strengthened and intensified terror in Iraq, then the reasonable course for nations who believe that there is no other alternative but to fight and defeat this global menace, would be for these nations to deploy their armed forces in Iraq and inflict a deadly blow on global terrorism, by defeating the insurgents decisively. Or if they are unwilling to spill the blood of their own soldiers, they should at the least support morally and politically the soldiers of the nations, i.e., the American – led coalition, who are brave enough to sacrifice their own lives in the cause of global security and freedom.

This would be the wise course to follow, to correct the mistakes of the Americans, instead of aggravating and compounding these mistakes, by running away from Iraq, and in spite of these errors (in all wars errors are made ), to unflinchingly support America in this historic and deadly confrontation with these medieval barbarians, whom only America’s military might can defeat comprehensively, among all other nations in the world.

THE ENEMY WITHIN

But the war against global terror and Muslim fanaticism will not be won, unless the governments who have pledged themselves to fight global terror also deal with and tackle the cunning and deceitful enemy that lies within their borders. To carry out this far from easy task, these governments have to realize that they can no longer be tolerant, on the basis of laws of non-discrimination on religious grounds, to the breeding grounds of terrorism that entangle, ivy-like, the edifices of Western cities, i.e., the mosques and Islamic schools, of whom a minority of, but highly influential, imams and teachers, preach hate against the mores of Western civilization and of their peoples, inciting young Muslims to enlist in a holy war against the Great Satan, America, and on all other nations that embody the cosmopolitan values of Judeo-Greco-Roman civilization.

The cardinal question therefore is, how to sterilize and make barren the breeding grounds of terrorism that are ensconced in the cities of the West whose deadly offspring are the enemy within. Since the idea of repatriation and resettlement by means of a monetary incentive for millions of Muslims, who have now made their home in Western countries, is no longer feasible – fathered by that prophet of British politics Enoch Powell, who in his Birmingham “Rivers of Blood” speech on April 20 1968, clearly and ominously predicted the deadly conflicts that would arise between Britons and British citizens of colonial background who had settled in England, and who with prescience had opposed the so called humanitarian immigration policies of both Labor and Conservative governments – one has to consider other lines of action. One of them would be the immediate cessation of funding these mosques and schools by governments, unless the former adopt in their curricula a primary undiluted course of ‘no leaks’ assimilation for their students to the mainstream culture of the nation that they have chosen freely to live in, and put an end to all ‘traffickers’ of the disastrous policy of multiculturalism, which with mathematical precision divides a nation. Another one would be the swift passing of special, indeed emergency, legislation that would make it easier for the police and for the relevant government officials to jail or deport, radical imams and teachers who propagate, either openly or cunningly and insidiously, a holy war against the West. Furthermore, to attenuate and diminish the high birth rate of Muslim families, governments should introduce a policy of negative incentives, which could stop this high birth rate such as paying to all families of the nation, children’s allowances up to the number of four children. Any children born beyond that number would not be entitled to any allowances. Nor would any allowances be paid to children born from a second marriage, whose fathers or mothers already have four children from their previous marriages. This measure would bring the birth rate as close as it is possible to the common standard of Western societies and to the ethos and aspirations of motivated modern nuclear families. It would also stop the ‘racketeering’ of phony separations and single motherhoods, whose deliberate purpose is to abuse and defraud the system of family payments, and whose side – effect is, the perennial continuation of voluntary unemployment among this group of men and women.

Undoubtedly, these harsh measures will raise a hurricane of protests from Muslim organizations of the diaspora and from Muslim states. This will be followed by a chorus of international lawyers and of the liberal intelligentzia from the well-heeled countries of the West, who will denounce these measures as brutal and heartless to poor families, viciously racist, and chauvinistic, striking a terrible blow to democracy and opening the way to an authoritarian state and even worse. But this soft potpourri of legal and intelligence gnomes are unwilling to recognize, and it might be beyond their depth, that the grossly mistaken immigration policies of the nations of the West are now coming to haunt them with their destruction. And the only way to prevent this destruction is for the governments of these nations to take tragically severe measures to correct this gross mistake of past governments that now threatens their peoples with extinction, either by weapons of mass destruction or by the upshot of demographics.

 

DEFEAT OF TERROR LIES IN ITS LACK OF SUCCESS

One must recognize that the terrorists are technically educated barbarians, with PC’s in one hand and with the distorted fragments of the Koran in the other – who consider it to be the only fountain of knowledge – lacking the open- mind of a universal education; unread in the great writings and literature of all peoples and of all ages; mentally untouched by their rich Arab culture, literature and philosophy; unread in the great philosophical writings of Al-Farabi, who placed rationality above the revealed truth of the Sharia nor in the equally brilliant writings of Ibn-Sina (Avicenna ) and of Ibn-Rushid (Averroes ), who both placed human reason above religion, and of Omar Khayyam, who never believed in Providence or in any other World but this one, valuing the sensual pleasures of this world as the fill to the brim of life. Being ignorant of the existence of this great Arab intellectual treasure, that was an essential element of the cornerstone of Western civilization and of the Italian Renaissance, their minds locked in the fanaticism of fundamentalist Islam and its death-cult, they have no respect for any other peoples’ religions except their own. Instead they zealously believe that the followers of all other religions are destined to go to hell and only Muslims will enter the gates of infinite paradise, especially if they are anointed by martyrdom. It is of such stuff that these implacable enemies of Western civilization are made.

Confronting such suicidal fanatics, who fervently believe that the West and its Great Satan, America, are responsible and culpable for all the ills that have befallen upon Muslim countries; determined to destroy this source of evil by chemical, biological and nuclear weapons, as soon as they are in their possession, the political leaders of the West, and especially of America, are deprived of any soft options and are forced to take on the hard option of the “unsheathed sword”

The art of diplomacy, the laudable deliberations of the United Nations for peace making, which could be effective when one deals with a rational foe, are totally ineffective when one confronts an irrational enemy, whose only ‘rational’ communication, in his hearing, is with God. That is why the academics who teach their students the ‘management’ of terrorism by a diplomatic demarche as the only rational way to counter and thwart it, rather than war, which is so costly in human and economic terms and without making certain its defeat, are not only starry-eyed, but also debar themselves from the disciplines of politics and of war strategy. Management presupposes and involves rational processes, which to the terrorists is terra incognita, and therefore with algorithmic precision is bound to fail.

But wherein lies the answer to this conundrum of how to defeat global terror and its state sponsors? History’s edict provides the clear and indefeasible answer to this intricate issue. When a nation fights a swarm of religious fanatics, depriving these fanatics of the ability to launch successful operations against their enemies is the most effective way to defeat them, as the terrorists, being no longer successful in their attacks against the West and in their attacks against the American-led coalition in Iraq, will find the “mouse of doubt” implanted in their hearts (a doubt whose epiphany will reveal to them, that after all they might not be in God’s favor) gnawing, slowly but surely, at their belief that they are the instruments of Allah. This, in itself, will compel them to abandon their cause.

And this is why the successful outcome of the war in Iraq for the U.S. – led coalition and the introduction of democracy to its ravaged people, is of such vital importance. The decisive defeat of the terrorist insurgents will unfold a dawn of a bright future for the people of Iraq, and also commence the beginning of the quick end of global terror.

I rest on my oars:your turn now

If Conventional Economic Weapons Work “Nuclear Option” is Out

 

The Samaras Government by stupendous, sagacious, and painful efforts, and by using “conventional economic weapons,” is pulling Greece out of its economic crisis. For the first time after four years, Greece next week will be able to borrow funds on the international financial markets.

I’m republishing this short reply that took place early in 2012, for the readers of this blog.

By Con George-Kotzabasis

A reply to Bruce Wilder, suggesting default for Greece and Italy as the remedy for their economic crisis.

In serious discussion it is wise to enter it carrying a sieve in one’s hands to separate the wheat from the chaff.

Your crystal clear “efficient calculating machine” that would implement your proposal of default, would be no other than a wise, brave, imaginative, and humane technocrat. So what exactly you have against technocrats? They are OK if they adopt your plan and only transported to Hades in toto for their ‘mortal sins’, if they don’t! Default was and is always an option. The distinguished economist Deepak Lal and exponent of the Austrian School of economics, long ago suggested such a schema. Lucas Papademos and Mario Monti, Prime Ministers of Greece and Italy respectively, both presumably have this option in their arsenal to be used as a last resort if everything else fails. But before they use this ‘nuclear’ option, they must try, and be given the right by all objective analysts and commentators, to resolve this economic crisis by ‘conventional’ means that could avoid a default which would open a big hole in their countries GDP and throw their people into pauperization for decades to come.

The Gravitational Force that Pulled European Nations into a Black Hole

As the superb and strong statesmanship of Antonis Samaras is pulling decisively Greece out of its economic crisis, I’m republishing this piece that was written in the midst of 2012, for the readers of this blog.

Government intervention always wills the good and works the bad.

By Con George-Kotzabasis

The European Union’s sovereign debt crisis was neither an act of fate nor an act of a free self-dependent man but an act of deluded ideology whose sails were blown by the long-lasting winds of government dirigisme, i.e., intervention, and welfare dependency. Once again it was the work, the social engineering, of the bien pensants in the form of a state directory of planning that would put a floor of security for the masses and protect them from falling into abject economic privation that was always, according to their thinking, the omnipresent and inevitable result of the unjust, harsh, and unequal regime of the capitalist competitive free market. The trouble was that this floor was made out of straw and at the first jump of an economic crisis–whose seeds were planted by government intervention,  loose monetary policy and low interest rates–would open a gaping hole through which this security would disappear and drown in a massive pool of unemployment and poverty.

The Eurozone’s one dimensional foundation of monetary union without banking and fiscal union could not sustain the European edifice in the long run with the differentiating regime of taxes, social benefits, and pensions that existed among its constituent states. The proliferation and prodigality of unsustainable Entitlement Economies, which have been the characteristics of the welfare states of Europe especially in the south, could not have been continued without cracking the economic underpinnings of the Eurozone. Also, the European Central Bank’s enabling of low risk premiums on interest rates of government debt, encouraged Greece, Portugal, Spain, Italy, and Ireland to go on an orgy of borrowing and overspending. The inevitable outcome was a stampede of budget deficits that were unsustainable and the eventual loss of all credibility in the financial markets that the afflicted States would be able to pay back their debts and thus the shutting out of the latter from the global financial lending pool.

Since no private person would hazard to lend money to states lassoed in sovereign debt the only alternative left was for the richest countries in the Eurozone, such as Germany, to become the lenders and continue to finance the former for their economic survival. But such help would be given under very severe terms encapsulated in strict Memoranda to the receiving countries with the stipulation that the latter would adopt and implement stringent austerity measures that would decrease substantially government expenditure, would restructure and reform their economies making them more competitive, and privatizing public enterprises, whose inefficiency and lack of a diligent working ethos can only be sustained by a continuous expensive staple of government subsidies.

These austerity measures, however, whose formulators have been the European Commission, the European Central Bank, and the International Monetary Fund, the so called Troika, are forcefully rejected by the people of those countries who for decades have been inured to the social and economic comforts and benefits engendered by the reckless spending of their governments, and are refusing to accept any cuts to these benefits even when some are aware that the latter can no longer be provided since the governments’ coffers are empty and the convenience of funding these benefits by borrowing, as they have done in the past, is no longer available due to their nation’s sovereign debt. Moreover, these austerity measures initially had not being complemented with policies of economic development and thus led to the worsening of the economic conditions of those countries that adopted them, such as Greece, leading to unprecedented massive unemployment by the closure of large and small business enterprises and to the smashing of the middle class which is the cornerstone of free societies.

This situation is dangerously engendering the fragmentation of social cohesion in those countries and giving rise to political parties of the extreme right and left, coming out of the foam of waves of violent demonstrations that imminently threaten democracy. A latest illustration of this danger are the attacks by petrol bombs and other incendiary devices by hooded youths of anarchists and extreme leftists in Greece against the homes of outspoken journalists, offices of the governing coalition of New Democracy, Pasok, and the Democratic Left, and the burning of Bank’s ATMs. And of particular significance are the attacks on journalists, which are a blatant violation of free speech and a sinister attempt to intimidate them from expressing their opinion about events and criticizing politicians of Syriza, the official opposition, of whom obviously the fire carrying mobs are its ardent supporters.

This will be the tragic legacy of European big government and its ill-considered, indeed, destructive intervention in the processes of the free market that for at least two centuries have delivered prosperity and an unprecedented increase in the standard of living of the masses; as the socialist politicians from Francois Mitterand to Jaques Delors–the architects and enforcers of the European Monetary Union that forced Germany to succumb and pay the price of the unity of west and east Germany as demanded by France–and their present disciples of  etatisme are in the process of killing the goose that laid the golden egg, i.e., the unimpeded free market, and by doing so unconsciously and unwillingly are generating and  unleashing the brutal forces of fascism and leftist directorates of totalitarianism on the landscape of Europe.

To avoid this slide to the hell of totalitarianism only the rise of statesmen who “can act beneath heaven as if they were placed above it” is consummated. The fiscal and balance of payments crisis can only be remedied by substantial cuts in government spending and the euthanasia of big government, and by the privatization of debt ridden public enterprises–that are the last strongholds of obtuse and doctrinaire unions– and by the freeing of private enterprise to pursue profit by competition and entrepreneurial creativity and dynamism, respectively. These ‘bitter’ remedies can only be administered by statesmen of the calibre of Lee Kuan Yeu and Antonis Samaras. The latter, indeed, might not only be the progenitor of the Greek Renaissance but also the paradigmatic leader of other European politicians to imitate for their own European Renaissance. The Newtonian apple that will stop the European ‘discord’ that currently threatens the demise of the EU will fall to the gravitational force of such statesmanship.

Hic Rhodus hic salta

 

The Danger of Tyros Handling War Strategy

I’m republishing this short piece that was written on October, 2007, for the readers of this blog.

A short reply by Con George-Kotzabasis to:

Clinton’s Statement on Kyl-Lieberman Resolution Washington Note, September 30, 2007

Like the two eminent commentators of the New York Times Paul Krugman and Frank Rich, respectable in their own professions as an economist and art critic respectably, and a bevy of politicians like Nancy Pelosi and Harry Reid, not so respectable because of their populist stunt, all of them being novices par excellence in the affairs of war who have attempted to pass judgment on the war in Iraq and cashier its victory despite evidence to the contrary, we now have another “tired less” tyro joining them in war strategy. The scholar and blogger Steven Clemons of the Washington Note. Clemons indirectly rebukes Senator Clinton for her support and vote of the Kyl-Lieberman resolution that designates the Iranian Revolutionary Guard as a terrorist organization, fearing that this will allow Bush to manipulate this resolution and use it to attack Iran.

He calls therefore on Senator Clinton to exercise “leadership in passing an explicit Senate resolution forbidding Bush from taking action against Iran without clear advice and consent from Congress”. But such action is not a declaration of war against Iran needing the authorization of Congress. It’s a strategic force de frappe on the part of the US against Iran in which the elements of secrecy and surprise are pivotal and decisive in the success of such an attack. Therefore Clemons’ call is strategically oxymoronic.

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