BBC News - What's the matter with Italy?:
The country that came up more and more during meetings between ministers looking to solve the eurozone debt crisis was Italy, but why should it be affected by the Greek crisis?
Greece's debt problems are already widely known and the immediate consequences of a Greek default largely anticipated.
Moreover, the size of the Greek economy is small enough that the direct damage if Greece stopped paying its debts should be quite manageable for the eurozone.Instead, the big fear is "contagion" - that a Greek default could trigger a financial catastrophe for other, much bigger economies.
That is why European leaders announced in October a significant expansion of the European Financial and Stability Facility (EFSF).
And it seems it is Italy, not Spain, which is seen as lead candidate for that contagion among Europe's big economies and the main possible beneficiary of the enhanced fund.
Why is that?
Prudent Italy?
According to Germany's chancellor, Angela Merkel, "Italy has great economic strength, but Italy does also have a very high level of debt and that has to be reduced in a credible way in the years ahead."
As with Greece, she and other eurozone leaders believe the solution is more government austerity - spending cuts and tax rises - by Rome.
However, some economists might disagree with her assessment.
Showing posts with label Recession. Show all posts
Showing posts with label Recession. Show all posts
Monday, 31 October 2011
BBC News - ILO: World economy on verge of new jobs recession
BBC News - ILO: World economy on verge of new jobs recession:
The global economy is on the verge of a new and deeper jobs recession that may ignite social unrest, the International Labour Organization (ILO) has warned.
It will take at least five years for employment in advanced economies to return to pre-crisis levels, it said.
The ILO also noted that in 45 of the 118 countries it examined, the risk of social unrest was rising.
Separately, the OECD research body said G20 leaders meeting in Cannes this week need to take "bold decisions".
The Organisation for Economic Co-operation and Development said the rescue plan announced by EU leaders on 26 October had been an important first step, but the measures must be implemented "promptly and forcefully".
The OECD's message to world leaders came as it predicted a sharp slowdown in growth in the eurozone and warned that some countries in the 17-nation bloc were likely to face negative growth.
'Moment of truth'
In its World of Work Report 2011, the ILO said a stalled global economic recovery had begun to "dramatically affect" labour markets.
It said approximately 80 million net new jobs would be needed over the next two years to get back to pre-crisis employment levels.
But it said the recent slowdown in growth suggested that only half the jobs needed would be created.
"We have reached the moment of truth. We have a brief window of opportunity to avoid a major double-dip in employment," said Raymond Torres from the ILO.
The group also measured levels of discontent over the lack of jobs and anger over perceptions that the burden of the crisis was not being fairly shared.
It said scores of countries faced the possibility of social unrest, particularly those in the EU and the Arab region.
Loss of confidence
Meanwhile, in its latest projections for G20 economies, the OECD forecast growth in the eurozone of 1.6% this year, slowing to 0.3% next year.
The organisation called for G20 leaders, who meet on Thursday and Friday, to act quickly.
"Much of the current weakness is due to a generalised loss of confidence in the ability of policymakers to put in place appropriate responses," the OECD said.
"It is therefore imperative to act decisively to restore confidence and to implement appropriate policies to restore longer-term fiscal sustainability."
It also called for the eurozone to cut interest rates.
The global economy is on the verge of a new and deeper jobs recession that may ignite social unrest, the International Labour Organization (ILO) has warned.
It will take at least five years for employment in advanced economies to return to pre-crisis levels, it said.
The ILO also noted that in 45 of the 118 countries it examined, the risk of social unrest was rising.
Separately, the OECD research body said G20 leaders meeting in Cannes this week need to take "bold decisions".
The Organisation for Economic Co-operation and Development said the rescue plan announced by EU leaders on 26 October had been an important first step, but the measures must be implemented "promptly and forcefully".
The OECD's message to world leaders came as it predicted a sharp slowdown in growth in the eurozone and warned that some countries in the 17-nation bloc were likely to face negative growth.
'Moment of truth'
In its World of Work Report 2011, the ILO said a stalled global economic recovery had begun to "dramatically affect" labour markets.
It said approximately 80 million net new jobs would be needed over the next two years to get back to pre-crisis employment levels.
But it said the recent slowdown in growth suggested that only half the jobs needed would be created.
"We have reached the moment of truth. We have a brief window of opportunity to avoid a major double-dip in employment," said Raymond Torres from the ILO.
The group also measured levels of discontent over the lack of jobs and anger over perceptions that the burden of the crisis was not being fairly shared.
It said scores of countries faced the possibility of social unrest, particularly those in the EU and the Arab region.
Loss of confidence
Meanwhile, in its latest projections for G20 economies, the OECD forecast growth in the eurozone of 1.6% this year, slowing to 0.3% next year.
In May, it had forecast growth of 2% per year in both 2011 and 2012.
It also cut its growth forecasts for the US to 1.7% in 2011 and 1.8% in 2012. It had previously expected growth of 2.6% and 3.1% respectively.The organisation called for G20 leaders, who meet on Thursday and Friday, to act quickly.
"Much of the current weakness is due to a generalised loss of confidence in the ability of policymakers to put in place appropriate responses," the OECD said.
"It is therefore imperative to act decisively to restore confidence and to implement appropriate policies to restore longer-term fiscal sustainability."
It also called for the eurozone to cut interest rates.
The Broken Contract | Foreign Affairs
The Broken Contract | Foreign Affairs:
Like an odorless gas, economic inequality pervades every corner of the United States and saps the strength of its democracy. Over the past three decades, Washington has consistently favored the rich -- and the more wealth accumulates in a few hands at the top, the more influence and favor the rich acquire, making it easier for them and their political allies to cast off restraint without paying a social price.
Like an odorless gas, economic inequality pervades every corner of the United States and saps the strength of its democracy. Over the past three decades, Washington has consistently favored the rich -- and the more wealth accumulates in a few hands at the top, the more influence and favor the rich acquire, making it easier for them and their political allies to cast off restraint without paying a social price.
Rand hit as Japan weakens yen: Fin24: Markets: Currencies
Rand hit as Japan weakens yen: Fin24: Markets: Currencies
The rand has weakened sharply against dollar after Japanese authorities intervened to weaken their currency, sending the dollar to a 3-month high.
“It primarily seems to be driven by the large move in the euro/dollar and also on the back of the Japanese intervention. That seems to be the main driver,” said Leon Myburgh, Sub-Saharan Africa Strategist at Citi.
The rand has weakened sharply against dollar after Japanese authorities intervened to weaken their currency, sending the dollar to a 3-month high.
“It primarily seems to be driven by the large move in the euro/dollar and also on the back of the Japanese intervention. That seems to be the main driver,” said Leon Myburgh, Sub-Saharan Africa Strategist at Citi.
Sunday, 30 October 2011
WWIII Its coming, but when?
"The Truth is Extreme, to Make it Moderate is to Lie."
- Storm Clouds Gathering
Total Collapse - The Build up to World War III
Link to the above video is http://www.youtube.com/watch?v=zaKNko2Dq7Q
Thursday, 20 October 2011
Ranking of economies - Doing Business - World Bank Group
Ranking of economies - Doing Business - World Bank Group
Whoever develops this ranking does NOT live in the New South Africa.
If ease of doing business is referring to how easy is is to start selling home-made art along a busy road earning R50 - R100 per day, then certainly we belong in 35th place.
If and starting a business is referring to how easy is is to start selling home-made art along a busy road earning R50 - R100 per day, then certainly we belong in 44th place.
Dealing with construction permits 31st place? Have they ever tried getting construction permits in SA? Do they get this information from our corrupt Regime? They should ask any construction company about this before listing us at 31st place.
Registering a property in the New SA is 100% dependent on how large a bribe one is prepared to pay and even then it would take months to years. That is if the documentation does not get lost along the way.
Getting electricity in the New SA is much easier than starting a business or getting a property registered. Doing business with all the power outages is another problem altogether.
Getting credit with our new Credit Act is virtually impossible and has been killing the economy since coming into place. Add the new Consumer Protection Act and making money becomes a nightmare.
This ranking system is a joke and was obviously compiled by someone that had never set foot in the New South Africa and not even worth any further discussion.
Whoever develops this ranking does NOT live in the New South Africa.
If ease of doing business is referring to how easy is is to start selling home-made art along a busy road earning R50 - R100 per day, then certainly we belong in 35th place.
If and starting a business is referring to how easy is is to start selling home-made art along a busy road earning R50 - R100 per day, then certainly we belong in 44th place.
Dealing with construction permits 31st place? Have they ever tried getting construction permits in SA? Do they get this information from our corrupt Regime? They should ask any construction company about this before listing us at 31st place.
Registering a property in the New SA is 100% dependent on how large a bribe one is prepared to pay and even then it would take months to years. That is if the documentation does not get lost along the way.
Getting electricity in the New SA is much easier than starting a business or getting a property registered. Doing business with all the power outages is another problem altogether.
Getting credit with our new Credit Act is virtually impossible and has been killing the economy since coming into place. Add the new Consumer Protection Act and making money becomes a nightmare.
This ranking system is a joke and was obviously compiled by someone that had never set foot in the New South Africa and not even worth any further discussion.
South Africa: Producer of Educated Skilled Labour for the 1st World
Is it rational that a white child is allowed to attend school with Government subsidies, then allowed to enter University and study with Government subsidies, but then once graduated he/she is rejected because he/she is white?
How does this fit in with our supposed non-racist, (supposed) "Democracy"?
Thanks to racist programs like BEE (so-called Black Economic Empowerment) and Transformation South Africa has become a major producer of highly educated skilled labour to the rest of the World. While taxpayers are subsidising the education and training of all nationalities in SA, once graduated whites are unable to enter for the local labour market, yet they are sought-after abroad.
This is not only racist, but irrational. SA is a third-World country that needs educated, skilled labour for development and growth.
Socialism - Remind you of the NEW SOUTH AFRICA?
An economics professor at a university made the statement that he had never failed a single student before but had once failed an entire class.
That class had insisted that socialism worked and that no one would be poor and no one would be rich, a great equalizer.
The professor then said, "OK, we will have an experiment in this class on socialism.
All grades would be averaged and everyone would receive the same grade so no one would fail and no one would receive an A.
After the first test, the grades were averaged and everyone got a B.
The students who studied hard were upset and the students who studied little were happy.
As the second test rolled around, the students who studied little had studied even less and the ones who studied hard decided they wanted a free ride too so they studied little.
The second test average was a D!
No one was happy. When the 3rd test rolled around, the average was an F.
The scores never increased as bickering, blame and name-calling all resulted in hard feelings and no one would study for the benefit of anyone else.
All failed, to their great surprise, and the professor told them that socialism would also ultimately fail because when the reward is great, the effort to succeed is great but when government takes all the reward away, no one will try or want to succeed.
South Africa should take heed this profound lesson from the past.
Stated way back in 1931 and it says it all :
"You cannot legislate the poor into freedom by legislating the wealthy out of freedom. What one person receives without working for, another person must work for without receiving. The government cannot give to anybody anything that the government does not first take from somebody else. When half of the people get the idea that they do not have to work because the other half is going to take care of them, and when the other half gets the idea that it does no good to work because somebody else is going to get what they work for, that my dear friend, is about the end of any nation. You cannot multiply wealth by dividing it." - Dr. Adrian Rogers, 1931
When are we to stop correcting the errors of the past?
The newspapers are filled with articles on racism and discrimination and one thing that tends to stand out is the mudslinging that goes with it. To-and-fro blaming, accusations and insults.
It matters not who was liberal, left or right-wing, how we have changed our political views or not, what is important is what we are going to do to ensure a future for all South Africans.
The World commended South Africa for the peaceful transition in 1994, we were commended for our ground-breaking Constitution. Unfortunately what we have discovered is that it is not what everyone expected or hoped for. Racial discrimination is at the order of the day and not only being supported, but demanded by legislation, which is the cause of much dissension and tension within.
South Africa is THE example to the rest of the World on peaceful Governmental transition, on the successful eradication of Apartheid and white on black racial discrimination, but are we an example to the World on the eradication of racial discrimination in general, no we are not. We have replaced white on black discrimination with black on white discrimination.
What is needed and would it take to level the playing field, to show the rest of the World how a country can be managed in such a way that all forms of discrimination, not only racial discrimination, is eradicated. If South Africa really wants to achieve anything in future we need to build on the achievements that led to the founding a new democratic non-apartheid based South Africa.
We need to interpret and apply our Constitution as it is written and without creative interpretation to find loopholes with which to continue the propagation of a discriminatory system in new and revised form. BEE and Transformation are no more than synonyms for Apartheid.
Discriminatory legislation and systems are often born from fear, fear of being overruled, fear of losing control, fear of being unable to compete on a level playing-field, etc.
What is it that black South Africans need to fear, that Government or the ruling party needs to fear that prevents them from leveling the playing field? Besides the promises to the masses and the fear of losing at the voting stations next time round, what is there to fear from such minorities?
We also need to keep in mind that this is not a white forum for discrimination against whites, because not only are the whites being discriminated against, but also Coloureds, Asians and other minorities are being refused equal opportunities. BEE and transformation is not about reversed discrimination, it is discrimination against all minorities particularly those not classified as black.
The excuse for this new form of discrimination is often given as being a means to address the wrongs of the past. One needs to question when does the past begin and when does the past end and how long does one continue correcting the errors of that past.
If South Africa is still in the transition phase of correcting the errors of the past it means that this is not yet the new South Africa, this is South Africa in the interim phase working towards a New South Africa.
The New South Africa is envisaged as a matured South Africa without discriminatory legislation and systems, it is a united South Africa that HAD corrected the errors of the past and IS working towards development of the nation and country as a whole as one singular colourless, genderless united all-equal nation.
How do we achieve this? We can only achieve such maturity by guts, conviction and determination. We achieve that through strong leadership, with leaders that are beyond reproach, ethical, moral, honest, without baggage, without debts to friends, with leaders that will have the guts to lay down the cut-off date for redress and call the closing date of this interim period during which the errors of the past are to be corrected.
How could we ever correct the errors of the past of we cannot even acknowledge the errors of today? We are so "Politically Correct" that no problems seem to exist. "Political Correctness" is the language of the weak, of those too scared of offending or standing up for what they believe in. The language of the pretentious hypocritical appeaser who blesses his decapitator after having sold-out everyone else. The "Politically Correct" are to be feared more than the enemy & than the Devil himself. "Political Correctness" is a disease, a virus that destroys truth & denies reality.
As long as legislation is in place that demands of business, industry and employers to redress the imbalances caused by the old regime, companies are compelled to comply with such legislation and we shall remain in this interim immature void.
Pressure needs to be applied to Government to call the closing date of this interim transitional period of redress so that the current legislation demanding compliance with transformation and BEE may be abandoned and we as South Africans can start building the New South Africa of the future, equal, united, together.
How does this fit in with our supposed non-racist, (supposed) "Democracy"?
Thanks to racist programs like BEE (so-called Black Economic Empowerment) and Transformation South Africa has become a major producer of highly educated skilled labour to the rest of the World. While taxpayers are subsidising the education and training of all nationalities in SA, once graduated whites are unable to enter for the local labour market, yet they are sought-after abroad.
This is not only racist, but irrational. SA is a third-World country that needs educated, skilled labour for development and growth.
Socialism - Remind you of the NEW SOUTH AFRICA?
An economics professor at a university made the statement that he had never failed a single student before but had once failed an entire class.
That class had insisted that socialism worked and that no one would be poor and no one would be rich, a great equalizer.
The professor then said, "OK, we will have an experiment in this class on socialism.
All grades would be averaged and everyone would receive the same grade so no one would fail and no one would receive an A.
After the first test, the grades were averaged and everyone got a B.
The students who studied hard were upset and the students who studied little were happy.
As the second test rolled around, the students who studied little had studied even less and the ones who studied hard decided they wanted a free ride too so they studied little.
The second test average was a D!
No one was happy. When the 3rd test rolled around, the average was an F.
The scores never increased as bickering, blame and name-calling all resulted in hard feelings and no one would study for the benefit of anyone else.
All failed, to their great surprise, and the professor told them that socialism would also ultimately fail because when the reward is great, the effort to succeed is great but when government takes all the reward away, no one will try or want to succeed.
South Africa should take heed this profound lesson from the past.
Stated way back in 1931 and it says it all :
"You cannot legislate the poor into freedom by legislating the wealthy out of freedom. What one person receives without working for, another person must work for without receiving. The government cannot give to anybody anything that the government does not first take from somebody else. When half of the people get the idea that they do not have to work because the other half is going to take care of them, and when the other half gets the idea that it does no good to work because somebody else is going to get what they work for, that my dear friend, is about the end of any nation. You cannot multiply wealth by dividing it." - Dr. Adrian Rogers, 1931
When are we to stop correcting the errors of the past?
The newspapers are filled with articles on racism and discrimination and one thing that tends to stand out is the mudslinging that goes with it. To-and-fro blaming, accusations and insults.
It matters not who was liberal, left or right-wing, how we have changed our political views or not, what is important is what we are going to do to ensure a future for all South Africans.
The World commended South Africa for the peaceful transition in 1994, we were commended for our ground-breaking Constitution. Unfortunately what we have discovered is that it is not what everyone expected or hoped for. Racial discrimination is at the order of the day and not only being supported, but demanded by legislation, which is the cause of much dissension and tension within.
South Africa is THE example to the rest of the World on peaceful Governmental transition, on the successful eradication of Apartheid and white on black racial discrimination, but are we an example to the World on the eradication of racial discrimination in general, no we are not. We have replaced white on black discrimination with black on white discrimination.
What is needed and would it take to level the playing field, to show the rest of the World how a country can be managed in such a way that all forms of discrimination, not only racial discrimination, is eradicated. If South Africa really wants to achieve anything in future we need to build on the achievements that led to the founding a new democratic non-apartheid based South Africa.
We need to interpret and apply our Constitution as it is written and without creative interpretation to find loopholes with which to continue the propagation of a discriminatory system in new and revised form. BEE and Transformation are no more than synonyms for Apartheid.
Discriminatory legislation and systems are often born from fear, fear of being overruled, fear of losing control, fear of being unable to compete on a level playing-field, etc.
What is it that black South Africans need to fear, that Government or the ruling party needs to fear that prevents them from leveling the playing field? Besides the promises to the masses and the fear of losing at the voting stations next time round, what is there to fear from such minorities?
We also need to keep in mind that this is not a white forum for discrimination against whites, because not only are the whites being discriminated against, but also Coloureds, Asians and other minorities are being refused equal opportunities. BEE and transformation is not about reversed discrimination, it is discrimination against all minorities particularly those not classified as black.
The excuse for this new form of discrimination is often given as being a means to address the wrongs of the past. One needs to question when does the past begin and when does the past end and how long does one continue correcting the errors of that past.
If South Africa is still in the transition phase of correcting the errors of the past it means that this is not yet the new South Africa, this is South Africa in the interim phase working towards a New South Africa.
The New South Africa is envisaged as a matured South Africa without discriminatory legislation and systems, it is a united South Africa that HAD corrected the errors of the past and IS working towards development of the nation and country as a whole as one singular colourless, genderless united all-equal nation.
How do we achieve this? We can only achieve such maturity by guts, conviction and determination. We achieve that through strong leadership, with leaders that are beyond reproach, ethical, moral, honest, without baggage, without debts to friends, with leaders that will have the guts to lay down the cut-off date for redress and call the closing date of this interim period during which the errors of the past are to be corrected.
How could we ever correct the errors of the past of we cannot even acknowledge the errors of today? We are so "Politically Correct" that no problems seem to exist. "Political Correctness" is the language of the weak, of those too scared of offending or standing up for what they believe in. The language of the pretentious hypocritical appeaser who blesses his decapitator after having sold-out everyone else. The "Politically Correct" are to be feared more than the enemy & than the Devil himself. "Political Correctness" is a disease, a virus that destroys truth & denies reality.
As long as legislation is in place that demands of business, industry and employers to redress the imbalances caused by the old regime, companies are compelled to comply with such legislation and we shall remain in this interim immature void.
Pressure needs to be applied to Government to call the closing date of this interim transitional period of redress so that the current legislation demanding compliance with transformation and BEE may be abandoned and we as South Africans can start building the New South Africa of the future, equal, united, together.
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