[globaltax​revolt] FINANCIAL REPRESSION GEARS UP

Governments of Fourth Reich member countries and the European Central Bank are increasingly resorting to a form of taxation that helps liquidate the huge overhang of public and private debt and eases the burden of servicing that debt. Such policies, known as financial repression, bring consistent negative real interest rates, yielding less than the rate of inflation, that are equivalent to a tax on savers.
Most Europeans get less than 1.5% interest on their savings, but inflation now is at 3%. Euro area annual inflation was 2.7% in February 2012, unchanged compared with January. A year earlier the rate was 2.4%. Monthly inflation was 0.5% in February 2012.
EU annual inflation was 3.0% in February 2012, up from 2.9% in January. A year earlier the rate was 2.9%. Monthly inflation was 0.5% in February 2012.
In February 2012, the lowest annual rates were observed in Sweden (1.0%), Greece (1.7%) and Spain (1.9%), and the highest in Hungary (5.8%), Estonia and Poland (both 4.4%). Compared with January 2012, annual inflation fell in nine Member States, remained stable in five and rose in eleven.
The lowest 12-month averages up to February 2012 were registered in Sweden (1.3%), Slovenia (2.1%) and Malta (2.3%), and the highest in Romania (5.1%) and Estonia (5.0%).
Frankfurt Group is the shadow board of Eurozone. It consists of Merkozy, Barrompuy, Draghi, Lagarde, Juncker, and Rehn. Frankfurt Group is hiding the fact that Fourth Reich is in depression. Hoodwinking citizens is something Eurokleptocrats have learned from Graecokleptocrats. Europeans see that most of their kith and kin are without job and wonder what's going on. Que Sera Sera!
Socialists would like to see ECB bring out the bazooka, in other words, undertake massive purchases of government bonds to resolve the crisis. An ECB bazooka cannot restore competitiveness to PIGS, but would only encourage profligacy, kleptocracy, and metastasis of the cancer of socialism. European Stability Mechanism (ESM) is a joke. ESM's finances depend on the very same countries that it is supposed to bail out. This isn't stability, but a Ponzi scheme!
Jens Weidmann vehemently rejects ongoing demands that ECB embark on an aggressive bond-buying program. It's like an alcoholic saying that I need to get a bottle tonight, starting tomorrow I will be clean and abide by the rules, but I need the bottle tonight. Weidmann doesn't think it is sensible to give the alcoholic the bottle. The alcoholic won't have an incentive to solve the problem.
Financial and fiscal stability concerns will make it difficult for central banks to aggressively fight inflation pressures once they emerge. The European Central Bank is just the latest victim, the sovereign and banking crises have forced it into actions that threaten to undermine its credibility over time. The gold price and exchange rates have already been signaling a loss of confidence in the value of fiat money for some time.
Smart words are more effective than smart bombs! Mighty words of a charismatic keynote speaker can transform your people to a new dimension of organizational climate, efficiency, self-actualization, enthusiasm, belonging, and motivation. I would like very much to speak at your conference in order to explain critical points much further. Basil Venitis, venitis@gmail.com
A debasement of the currency is never a good thing. For one thing, inflation is a tax, only a secret, surreptitious tax. Nobody can predict in advance who is going to be the one who pays this tax, but some people inevitably will. Second, the injection of new waves of newly printed money send false signals into the marketplace, leading consumers and investors to make perverse decisions. The housing debacle is a good example of that phenomenon.
Banks in PIGS have unloaded risks amounting to one trillion euros with central banks. The central banks have distributed large sums to their countries' financial institutions to prevent them from collapsing. They have accepted securities as collateral, many of which are garbage. These risks are now on ECB's books, because the central banks of eurozone are not autonomous but, part of the ECB system. When banks in PIGS go bankrupt and their securities are garbage, the euro countries must collectively account for the loss. Bundesbank, provides one third of the ECB's capital, which means that it would have to pay one third of all losses. http://venitism.blogspot.com/