Corporate Welfare on a vast scale.

For decades politician's, economic gurus of all shapes and sizes, have been extolling the virtues of the "free markets" and arguing that the state should stay out of the "market." “There is no alternative” was the unchallengeable dogma of these forces. Now have those say those same individuals demanding that the state intervene in the financial markets, the housing markets to save them for their own greed and reckless policies

COMMUNIST PARTY OF IRELAND
James Connolly House, 43 east Essex St, Temple Bar, Dublin 2

8th September 08
"Corporate welfare on a vast scale."

For decades politician's, economic gurus of all shapes and sizes, have been extolling the virtues of the "free markets" and arguing that the state should stay out of the "market." “There is no alternative” was the unchallengeable dogma of these forces. Now we have those same individuals and forces demanding that the state intervene in the financial markets, the housing markets to save them for their own greed and reckless policies

This clamour has resulted in the Bush government in Washington one of the most rabid of all neo-liberalist governments nationalising Fannie Mae and Freddie Mac in order to stave of a complete collapse of the North American financial sector with global consequences.

The policy of bailing out the bankers and financial speculators adopted on both sides of the Atlantic will only result in blowing up the bubble a bit more, working people will pay the price, in job losses, cuts in services, and loss of pensions and most likely their homes. Working people will be forced to pick up the price tag and bear the brunt of the on coming and unstoppable economic crisis.

What the present crisis has exposed is the reality that state intervention in the economy is very much allowed when the banks are in trouble and need state welfare to bail them out. Millions of euros can be found for this purpose, yet no new money is to be found for developing the health and education services or to help those struggling to keep a roof over their heads.

No demands were made on these banks, nor were new regulations introduced to stop them carrying on the same reckless financial strategies that are central to the present crisis. This is corporate welfare on a vast scale.

The bring forward of the budget by this lame duck government is yet another example of how working people are going to pay a heavy price for failed economic policies both at home and abroad. Statement ends.

Eugene Mc Cartan
General Secretary
087 9733414