Monday, October 06, 2008

European socialism working well then?

BBC reports "World stock markets have plunged after government bank bail-outs in the US and Europe failed to stem fears of slower global economic growth."

Confidence has been rattled, big time, and the European interventionist governments can't resolve their own banking system, after what the Economist described as schadenfreude about the US financial crisis. Europe's more left leaning governments saw it as part and parcel of Yankee wild wild west capitalism - gee how everything looks as bad or worse close to home.

Sarkozy, once seen as the Thatcher of France is no more. The Economist reports:

"In the space of three days, he twice laid into free-market capitalism. “Laissez-faire is finished,” he announced in Toulon. “The all-powerful market that is always right is finished.” It is not just rhetoric. With unemployment climbing, Mr Sarkozy has launched a scheme of state subsidies to supplement low pay, paid for by an extra 1.1% tax on capital income that dismayed his own party’s deputies. Talk of tax cuts has been shelved. " at the same time as saying "that “capitalism is the system that has enabled the extraordinary development of western civilisation,” adding firmly that “anti-capitalism offers no solution to the current crisis.”"

It's not only the USA that printed money indirectly through central banks offering excess credit.


immunetocommonsense said...








What is European Socialism anyway? Which EU member is socialist?

Best regards from NYC

libertyscott said...

Yes, you enjoy not having to queue up for your healthcare, or pay twice (once through taxes for it to fail, again for health insurance)

Many communist countries in Europe have better infrastructure? What nonsense! How many have you been to?