I told you. Even the best laid plans have a tendency of going terribly wrong. And a certainty of going wrong when based on the kind of Nonsense Economics The Frau believes.
After vetoing all of the tried remedies for getting out of a debt crisis, such as higher rate of inflation to devalue the debt and/or stimulus of the economy to increase revenues and hence grow out of debt, she and unfortunately We, are facing the possibility of an implosion of Europe. Not just the slimy little countries to the south, but the whole of the EU. And perhaps even beyond.
Elections in France and Greece have gone the wrong way for The Frau, an insolvent country Spain is required to bail out an insolvent bank, the North Rhine-Westphalia elections went sorely wrong for The Frau, slumping her party to the lowest its been, the spreads (interest rates) on Spanish and Italian bonds are going dangerously up, stock markets are falling, panic is taking root all over the continent, the Italians are getting restless, the Euro is falling in value against the dollar, Greece is in a political gridlock and cannot form a government, so Berlin/Brussels have begun threatening and blackmailing again… quite who? The Greek people as such? Total and utter confusion teetering on breakdown on a grand scale.
All of this should have been avoided. And could have been avoided had The Frau not decided unilaterally to impose the shock doctrine first on Greece and then the whole of Europe. It was a decision based on dogma, the Chicago School Milton Friedman dogma. It was not a decision based on economics, and certainly not on historical experience. J.K. Galbraith’s book The Crash of 1929 is only about 200 pages long. She could have read it in an afternoon.
But she didn’t want to know. No. She didn’t. Quite simply because she knew that it was she and only she who knew best. Perhaps the result of growing up in a dogmatic totalitarian environment. Or perhaps my Conspiracy Theory was right all along.
The Frau’s secret plan was to reinstate Communism throughout the whole of Europe this time, not just the East where she grew up and was educated. We do look so much closer to that now, don’t we?