scandal debts and public interests, the main cause of disaster foretold ...
As aptly wrote AJ Holbecq, one can not dispute that the French state - and most heavily indebted states in the euro area - has paid interest since 1973's abysmal public debt (1.5 trillion in late 2009 more than three quarters of GDP, and only slightly less than 1600 billion at end 2010).
remember that this is straight from the famous reform 'Giscard d'Estaing,' Article 25 of the 1973 law forbidding the state to submit its own effects in the Bank of France - 'Innovation' endorsed Then in the Maastricht Treaty as EU Directive.
Note that this principle " no direct financing statements " was in line with the history of the "financial deregulation" so-called 'liberal' - even a supposedly liberal economist, the late Allais, has always protested against the directive, instead of another French economist, considered him as the left D.Strauss-Kahn, the current director of the IMF.
The interest earned in thirty five years are such that the current public debt would have even been zero or even negative if there was no such interest ( an annual average of over 45 billion ) to be paid to creditors, mostly private.
Many voices have been raised for years - too often trying to cling to quarrels Byzantine on the benefits or perceived benefits of 'banking principle' or the 'Currency Principle', one of the best summaries contained in C. Gomez , disciple and friend of Allais - calling for a reform of the monetary system.
Inverting the maxim, often at work among the princes who govern us " why make it simple when it can be complicated " - I will leave it up to the evil thought that this complication is that a smokescreen to make people swallow the little snakes increasingly strong - why not consider a different approach, and try to keep it simple?
For abolition of interest on public debt:
Since the mechanism of interest is the main cause of the increase of these debts, both public and private, why not delete those interests - at least those concerning debts of the APU '(State, various administrations, and Social Security Administration)
It would involve a "small" technical adjustment (reform of the relevant article in the Treaty of Lisbon).
It is true that it is also a political act as our partners euro area, and beyond the EU may oppose. It would surprise me very worrisome, however, after the example of Greece and Ireland in the face of public deficits and debts exceeding all reasonable opportunity to absorb short-medium term - even with extreme measures of severity and unbearable socially (and economically stupid) - you can reject this proposal out of hand.
Especially since it is quite possible that Portugal, Spain, Italy, Poland, and even France are soon in a situation similar: we could therefore expect some understanding on the part of many governments - even if their "partners" or financial advisors do not probably hear the same ear.
But even if we reject this treaty, even threatening to leave the EU for this, why not? If Paris was well worth a Mass for Henry of Navarre, out of the euro or the EU to overcome the financial crisis and its thousands or millions or billions of collateral damage and a death-spiral can be worth the coup - and the cost.
Put more precisely, give back state the power to self-finance its own spending , rather than borrowing to 3% from banks or other 'partners' financial that the European Central Bank - supposedly an offshoot of sovereign states - ready less than 1%, if not through recapitalizations implicit or hidden.
To a suspension of debts:
If this first measure of common sense is not enough (even if it would save 45 to 50,000,000,000 per year to the state, that is to say to all of us, or twice half the deficit of social security - and much of the hole 'pensions') we can go much further.
Again very simply, 'would' be a moratorium on all debts public or on the debt held by our fellow citizens (if you do not want to upset the foreigner, even if the possibility of Chinese armored or Russia coming to pay their debtors seems pretty unlikely).
I am confident that Ireland, like Portugal and many other countries that would not take a dim view of the moratorium on debt, instead of austerity unprecedented them is, or will they be imposed. Proposal may
naive does one argue. France no longer find or not find more, lenders outside its own borders or even inside? And same thing for Greece, Ireland, Portugal ...
Big deal ... Although one might think that money rules the world, this is not money that we eat, we consume, which produces real wealth .
Delete debts does not change anything in production capacity of France, Ireland, Portugal, nor its potential export capacity.
France, like any modern country, obviously needs to use an internal currency as payment internally. But on the outside perspective, we are still in the system of barter, as Airbus cons few million tons of textiles and hundreds of thousands of toys from Asia, or elsewhere, and it does are not excessive variations of the Yuan, the dollar or euro that change anything in this issue of international trade.
If there are more foreign lenders, because for more than France, and any other sovereign country, to resume "beat" its own currency , rather than assigning this task to banks, national or international.
Can we overcome the crisis differently?
The other branch of the alternative is simple and terrifying: continue to talk about the virtues of an international monetary system composed of a basket of regional currencies which is not known yet - and neither the U.S. nor China are willing to accept - and see the old - or young - Europe sink deeper and deeper into crisis, making a default of payment means a failure to produce wealth.
Do not fall into the trap of King Midas, who died of hunger before a pile of gold. We must deny that the financial and banking system - which should be a simple accounting system to facilitate trade - driven into poverty more and more people. It is true that, as would Devos said, since when our elites believe that a person who is someone that must be addressed?
The scepter of the misery it would haunt Europe, because we want to continue to confuse financial sphere - Or bank - and economic sphere, bankers and entrepreneurs, pensioners and farmers. Do we continue to accept money from the financial world conducts the world, and suggests that the collusion between politicians, bankers, real estate or other tax havens or financial "- denounced by a number of media - is unsurpassable reality?
Contractors, producers, workers of all countries, unite against the dictates of finance.
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