Joined up thinking for the Irish Left
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Interested in maladministration. Estd. 2005
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A bird's eye view of the vineyard
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Please click on the ‘cc’ button to activate subtitles and on the little ‘wheel’ (looking like this: *) next to it to chose your subtitle language.
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Yes: We're Going To Do What They Told Us
Friday June 01, 2012 20:00 by D Martyn
Fiscal Treaty passed with 60% majority
Like lambs to the slaughter the Irish people ratified the Fiscal Stability treaty by a yes vote of 60.3%. Even members of the parties advocating the yes vote admitted fear and confusion were among the reasons why Irish people gave into the demands of the government. As they threw around buzz words such as stability, growth, investment and threatened a harsher budget if the treaty wasn’t ratified, it’s no surprise their school yard bully tactics won out.
There’s only so much sympathy you can have for a nation who keep asking for punishment and allow the government and bankers to dictate to them. It’s one thing not taking to the streets to protest but when given a chance to change the course of a lifetime doomed to austerity and still not taking it, you have to think we only have ourselves to blame. With only half the nation bothering to vote the other 50 per cent have given up their right to complain.
There was little worry in Germany during the week as they correctly assumed we would do as we’re told. It is hard to shake the meek schoolchild inside that’s been conditioned to say yes to authority, yes teacher, yes Fr.,yes Taoiseach, yes , yes,yes!!! Just like the meek schoolchild the government had the people in the perfect weakened position to exert control over them.
They preyed on the fear and vulnerability of people already suffering severely from the governments’ previous actions. The government’s main argument being the treaty will provide stability and access to the ESM if we need it. What they didn’t focus on were the details surrounding this.
We have to contribute €11 billion to this in various forms of capital. In addition monies can be requested at any time and must be delivered within 7 days.
Conditions of the treaty mean the maximum structural deficit we could have is 0.5% of GDP. The Department of Finance estimates that in 2015, Ireland will have a structural deficit of 3.7%. In order to get that down to the required 0.5% they would have to cut spending by €5.7 billion.
The rules on structural deficits will be written into national law and will provide a proposed “correction mechanism” if they are not being fulfilled. If this is not done the issue will be referred to the Court of Justice and fines of up to 0.1% of our GDP can be imposed.
So how are we going to manage to stick to this agreement when we are already repaying interest on the first bailout and suffering cuts and increased taxes?
By suffering more cuts and increased taxes.Despite what the government seem to believe austerity and growth are in direct conflict with each other. To put it in simple terms for Mr. Kenny if you have a rope and you keep cutting it very soon there won’t be enough left to tie a noose. By writing austerity into law we are dictating economic policy for governments’ to come, who forever will be at the mercy of Europe.
So as the Taoiseach patronisingly thanks the people of Ireland for voting yes, commending the “understanding and pragmatism of the Irish people”,he can lighten the load he’s been carrying around and pass responsiblity on to Europe. Ensuring the nation they will follow Europe’s good houskeeping rules to ensure stability and growth, Kenny is in the position he likes best, a puppet on Europe’s string. He doesn’t have to stand up and take responsibility. He can play the meek schoolchild role as Europe tell him how to budget and all he has to do is say yes sir how much?