Greek Parliament Passes Latest Austerity Vote

[Roland99]

http://www.zerohedge.com/news/greek-parliament-passes-latest-austerity-vote

The Greek parliament just passed the latest proposed austerity plan with a majority voting Yes. Judging by the reaction of the EURUSD, which experienced a modest 40 pip short covering squeeze in the last few minutes, one would imagine that today's Greek vote outcome is surprising. It isn't: after all, all Greece has done is promise to do something it won't do in hope it can get another bailout package, this time amounting to €210 billion (of which its people will pocket a de minimis 19%). As we said earlier: " The only real questions are i) what the Greek population may do in response to this latest selling out of a population "led" by an unelected banker, which if history is any precedent, the answer is not much, and ii) how Germany will subvert this latest event, and put the bail [sic] back in Greece's court once again." Sure enough, to paraphrase what we said before, the question now is what the popular Greek response will be having learned its politicians sold it out yet again, which will likely be nothing much, as it is 1 am local time, and as everyone knows revolutions in heavily socialist countries only start between 9 am and 5 pm, with a 2 hour break for siesta. More importantly, keep a close eye on headlines out of Germany. That is all that matters now.

Greece votes to save the central bankers.

[DCBob]

1. Well thats done. Now the hard part.

Implementing the austerity measures without driving the economy deeper into recession and keeping the lid on the anger and protests which no doubt will continue.

[Ken Burch]

16. Don't you mean "now the IMPOSSIBLE part"?

There's nothing left now of the social welfare state in Greece. Workers now no longer have any meaningful protection against any form of exploitation. And these losses are not due to anything done by any of the occasional "left-of-center" governments Greece has-their due to massive tax fraud, the international financial collapse, and the massive cost overruns on the Athens Olympics.

I hope the people of Greece will break with the Euro and recover their dignity. They have nothing to gain from submitting to the financial and economic abuse being inflicted on them from without. Nothing they could gain from being in the "Eurozone" could possibly be worth permanently forcing them back to the early 19th Century in social terms.

[awoke_in_2003]

2. big money doesn't just run this country. nt

[CAPHAVOC]

3. How much did Bailout Ben pony up?

[BelgianMadCow]

7. 170 billion times the percentage the US has in the IMF, then maybe about half of that.

Greece has been in recession since 2008, and the austerity is a recipe for depression. The above calculation is mine, and only for this round of bailout. How soon till Bailout Ben has to reach for his wallet again?

Funds are coming form the IMF/ECB/EU. I haven't seen the breakdown but I saw a detailed analysis that the IMF is in the driver's seat, which leads me to believe they also carry the biggest "burden". Well, you do. Ok, make that WE do. If only it would help the people...

[CAPHAVOC]

15. Don't! let us get thrown in the CDS Bates Hotel.

They can check in but they can't check out.

[riderinthestorm]

4. I really wonder if someone's going to get assassinated over this.... nt

[DeSwiss]

5. No matter what they may do......

...it's ALL still coming down.

- K&R

[BelgianMadCow]

6. the german finance minister has made it abundantly clear they will need to see implementation

of previous plans and this one before more money is disembursed. Also, the troika wants written guarantees that implementation will last past the upcoming election.

That is not gonna happen.

End of story.

Beginning of a new, hopefully good, hopefully without to much repression in the meantime.

Germany isn't willing to give much more, the greek people arent'w illing to accept. Who is putting all the pressure then, and why?

The IMF, to save banks and generate awesome profits in firebrand government asset sales, creating a thirld world country in the process.

[Imajika]

9. The Greek people are willing to accept austerity...

..and they will keep doing it too. They will always pass these bailout plans because the alternative to them seems worse.

Greeks can default, leave the Euro and deal with massive short term pain in order to avoid long term malaise, or they can go along with these austerity plans and see their lifestyles crimped and squeezed but not dramatically changed. It is very clear the majority continue to choose the latter. The elections in April won't change a thing.

I rather suspect the rioting is mostly done by young anarchists with a wink and a nod from the police/gov't. They government is happy about it because they think it scares the average Greek into thinking the alternative to austerity would be extreme violence.

If I were a Greek citizen I'd want to default and leave the Euro, but it seems most don't really want to rock the boat too much. Austerity will march on, labor union strikes will not stop it. Through all this the one thing we are beginning to see repeatedly is how little clout the unions really have. They've failed to stop austerity in Greece, they failed to stop France from raising the retirement age, the are failing to stop austerity in Spain and Italy, etc.

[BelgianMadCow]

10. Interesting point about unions. They are powerful here

and they are striking. As far as I can tell, that is just a way for everyone to shout their heart out and nothing changes. At least here in Belgium, the top of the unions has been exposed as gambling in the casino themselves.

I wish all militants (because ofc the union base is very much ok) would throw away their colours here and come be part of the alternative. Like, all join a new credit union without profit goal.

I also agree the people should choose the shorter pain - and I think they would. They were offered a referendum by Papandreou and that scared The Markets shitless. So his government had to go.

We differ on whether the common greek is ready to rock the boat. I think they are ready to tear down the house.

[TBF]

23. I also think the Greek workers are ready to tear things down -

this has been building.

[Yo_Mama]

11. They are demanding a written promise from the party leaders to implement

Because of the April elections.
http://www.ft.com/intl/cms/s/0/3c7fad3e-55a7-11e1-b66d-00144feabdc0.html#axzz1mDJAsJat

The European Union and International Monetary Fund have made clear that further funds cannot be released without the party leaders’ signatures. Their insistence highlights Greece’s persistent failure to complete fiscal and structural reforms agreed in return for a previous €110bn bail-out in 2010.

I think Greece may explode because of that. It's the idea that the election won't mean anything that will drive them nuts.

This is going to be a huge change for very many Greeks, and an extremely painful one. The minimum wage is being cut 22%. Imagine if that happened here.

[Imajika]

12. Is there any real indication the Greek people are about to go "nuts"..

..over any of this? Seriously?

Other than the anarchists that the police seem perfectly happy to allow to burn some buildings, it looks to me like most Greeks are just resigned to austerity for as far as the eye can see. Are they mad? Sure. Are they really doing anything about it? No. Were the elections held tomorrow, what would change? The same party's would win, they would all promise to negotiate better for the people, but in the end they will agree to the same austerity - and in their hearts, it looks clear to me that the people know it.

The choice is really to default, leave the EU and suffer a lot of short term pain. Or, endure endless austerity and a loss of national sovereignty in exchange for only a reduced standard of living. I see no evidence most Greeks aren't prepared to accept the latter. All the screaming and wailing aside, every time we reach a crunch time moment the austerity packages always pass. Do you really, honestly, believe that is going to change? I don't.

[BelgianMadCow]

13. 100.000 people near the parliament on a sunday evening, 40 buildings ablaze and clashes elsewhere

http://www.aljazeera.com/news/europe/2012/02/2012212114832570350.html

In the hours leading to the vote, an estimated 100,000 protesters were massed outside the building and at nearby Omonia Square, with some 6,000 police deployed and more protesters arriving. At least five building were in flames in downtown Athens, including a bank, mobile phone shop, glassware store and a cafeteria.

Al Jazeera's John Psaropoulos, reporting from Athens, said the protest on Sunday began peacefully but had rapidly descended into violence from both police and protesters.

"There is absolute mayhem in the square outside parliament. Thousands of people whew lotsa anarchists there who started peacefully have not been budged by all the tear gas and stun grenades," he said.

-----------edited to add:
"As more than 40 buildings went up in flames, including two historic cinemas and several banks, Athens city centre was left resembling a war zone with cafes and shops smashed and looted as MPs backed the austerity measures by 199 votes to 74 in the single most important ballot in modern Greek history.

The chaos dominated one of the stormiest debates seen in the Greek parliament as MPs argued over a raft of strict measures demanded in return for international aid. Clashes were also reported in Thessaloniki, Patras, Corfu and Crete."

http://www.guardian.co.uk/world/2012/feb/12/greek-protesters-clash-parliament-austerity

[Yo_Mama]

25. Yes, there is

Basic bills for medicines and so forth are not being paid. People are going hungry. The mandate to fire 150K workers from the state-run enterprises will generate a whole lot of utterly desperate people, and add to that the ones who are hungry, and the parents who don't know how to feed their children....

Look at what happened there this weekend. Also the protests are not just confined to Athens this time.

What will push this over the edge is the demand that the leaders of all the political parties sign an agreement to enforce this deal. This leaves the desperate Greeks among the general population with no way to pretend that they can change anything through the political process, and thus robs them of hope.

The current situation is not stable at all.

[greymattermom]

8. Koch brothers

If they want to make bigger bucks, why don't they just buy Greece?

[stockholmer]

14. this is the Greek initial thoughts on the subject

http://www.democraticunderground.com/1002303461

[BelgianMadCow]

17. a very important picture there

so much for "rioters" and "looters" memes.

Just a lot of mad people, to me.

on edit: note the number of people wearing rudimentary masks. And the very young people.

[Nye Bevan]

18. It's a lot more fun for young people to set fire to Starbucks

and throw things at the police, than to accept that to stay in the Euro they need German style productivity and tax collection.

[BelgianMadCow]

19. young people are 50% unemployed, and youg lawyers work for 700 euro/month

whilst the minimum wage is slashed to 540 euro for people under 25.

Your idea of fun is not mine, nor theirs I would guess.

Your comment is very misplaced, but to each his own of course.

To bed! The last word is yours.

[TBF]

20. Correction - the leadership of Greece votes to save the bankers

the people are not on board with this decision.

[CAPHAVOC]

22. Why do I have to help pay for some Geeks pension?

[unkachuck]

21. K&R....n/t

[lovuian]

24. They kick the can down farther

and the Greek people suffer more and more