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crackpots in brussels and a greek collapse

The Greek banks can't pay? Who will deal with it? The Greek Central Bank (GCB)? (Yes, believe it or not, there really is one!)
The GCB must take over the insolvent banks, but the lunatics in Brussels won't let them!

So that puts the responsibility into the hands of the European Central Bank. So what on Earth are they waiting for?
A vote maybe? The agreement of France's President Hollande perhaps? (The Greeks, whoever they may be, owe France about 60 billion € last I saw. Well, probably the French are waiting for the Greek banks to pay up, but they cannot.)

Perhaps the French Central Bank (yes, there's one of those as well in the Euro madhouse) can buy out the Greek banks, or maybe Germany wants a vote for that?

So there are national central banks without authority, and an European Central Bank that relies on a load of squabbling politicians for permission.
If you built the Shard this way, it wouldn't stay up five minutes.

The Euro is a currency and banking system built by fools. And Tony Bliar et al. wanted to join it, believe or not.
Ever closer union, join the club.

greece set to sue?

In my view, the Greeks have an overwhelming case for suing the ECB.

"Greek officials said they are seriously considering suing the European Central Bank itself for freezing emergency liquidity for the Greek banks at €89bn. It turned down a request from Athens for a €6bn increase to keep pace with deposit flight.

"This effectively pulls the plug on the Greek banking system. Syriza claims that this is a prima facie breach of the ECB’s legal duty to maintain financial stability. “How can they justify setting off a run on the Greek banking system?” said one official." [Quoted from telegraph.co.uk ]

But how much damage can the Euro loons do in the meanwhile?

They are trying to confuse Greek government debt with the duty of the ECB to maintain bank liquidity. To the best of my knowledge, even the bank accounts are insured by government to a level (of about 100,000€ if my memory is correct). It is the job of the Central Bank to provide that liquidity, even if it means they capture the Greek banks as some banks were captured in the UK. That's their job!

whose money is it in the banks?

The money in the banks belongs to the depositors, not to the ECB and not to the Greek government.

The chaos developed by the Euro idiots is beyond belief, and that despite warnings

With the Greeks still having a central bank, they also should be able to print money without limit to meet depositors demand, else what on earth is the point of having a Greek Central Bank?

Be aware, Euro currency notes are allegedly issued by the so-called sovereign countries! There is a character (letter) prefix to each note's serial number denoting the note's issuing country. Greek notes start with the letter 'Y'. Either the Greek Central Bank has those duties (printing money and controlling bank defaults) or the ECB has those duties.

Cutting off cash from depositors looks very like an illegal political act to me. Or is there is any law at all in the EUSSR any more?

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the web address for the article above is
https://www.abelard.org/news/economics042015.php#greek-bank-crisis-300615





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magnificent miliband, destroyer of the nation

What 'New' Labour left behind five years ago

In 1997, Tony Bliar was left with a national debt of around 50% of GDP. By the time the shambles 'New' Labour had left was assessed, there was a national debt of around 80%.
Continuing that momentum, the national debt may have reached around 90% of GDP.

Due to the much increased confidence of the markets, the cost of servicing that debt is now about 3% of GDP, or about £2,000 per annum per working family.
Brown the Clown left inbuilt inflation of about 20% for his last year alone!

Inflation takes time to feed through, probably at least 2 years. Inflation of 20% erodes the debt by a similar amount. That is, the pound in your pocket becomes worth only 80p!

The current national debt is a little north of £1.5 trillion.
20% of £1.5 trillion is £300 billion.
Brown the Clown, with acts of monetary debauchment in his last year alone, surreptitiously devalued the pound by 20%. (This, in present terms, also wiped out the equivalent in value of more than three years of the present national debt.) But 'New' Labour no practical political choice after Brown's fiscal irresponsibility. Then there was still more debauchment under the header of 'quantitative easing', just another term for printing money.

This monetary debauchment is a tax on everyone, that is part of the chaos left behind by 'New' Labour.

What the Conservatives have done so far

The innumerate nonsense being promoted by the fossil media scribblers and various innumerate socialists has very little contact with reality.

The deficit and the national debt are now coming well under control. That will continue unless the Red Eds get their sticky paws once more on the national money box.

And all that change has been achieved with the minimum damage to the poor, something Maggie Thatcher did not achieve despite having an oil bonanza.

David Cameron is probably the best Prime Minister we have had since Churchill.

After Churchill, the teeming thoughtless and gullible were persuaded to vote for another lunatic in Clement Attlee. I look forward to seeing whether the thoughtless and gullible have learned anything in the meanwhile.

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the web address for the article above is
https://www.abelard.org/news/economics042015.php#miliband-nation-destroyer-030515

minimum wage and benefits - economic illiteracy of the leftists

Nicola Sturgeon, Ed Miliband :
"I want a higher minimum wage,
that means lower benefits."

The money for a higher minimum wage comes from profitable companies.
The money for taxes for the benefits comes from profitable companies.

Does this mean that Miliband, Sturgeon and their fellow fantasists hope to reduce taxes so that profitable companies can meet the increased wage bills?

But that would reduce the part of government in the real economy. Usually that is anathema to the Leftists.

Or would you prefer to bet that the companies would lose both the taxes
and the increased wages, thus making them less profitable?

Of course, that would result in a loss of jobs and more companies going bankrupt.

So, business as usual for the Left's invariable fantasy economics?

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the web address for the article above is
https://www.abelard.org/news/economics042015.php#minimum-wages-illiteracy-200415

wherever is the money for the conservative promises coming from?

"Ed Balls, the shadow chancellor, will claim the Tories have amassed £25bn of unfunded spending commitments in its manifesto - the equivalent of £1,439 a year for every working household."

What £1439?
This is more economic illiteracy, but then it is the tax dodging, propaganda rag of the Socialists who is supinely printing Ed Balls' lies.

For example, the government 'borrows', that is prints, the 'money'. The interest rates charged to the government are now about ½%!
So, being generous, that is what the alleged household would have to spend :

£25 b / 11.4 m fully working households = £2,193
 
½% x £2,193 = £11 or so per annum

Meanwhile, the debt will be eroded by inflation taxation. Thus, this is similar to paying off a hire purchase debt or a bank loan.

And if government acts sanely, the country will end up with more houses or a rail line, thus increasing national real wealth. The latter, the ludicrous Balls wants to cancel!

Of course, Balls would rather waste the 'money' to fund more union shirkers or the doleys that are his constituency. In other words, he wants it to buy votes and get more people dependent on government.

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the web address for the article above is
https://www.abelard.org/news/economics042015.php#tory-promised-funding-160415

where nhs money goes - nurses can earn more than mps

"Salaries for Band 5 under the NHS Agenda for Change (AfC) Pay Rates (the entry point for graduate nurses) start at £21,388, rising to £27,901. -
Salaries in London attract a high-cost area supplement."

Nurses also receive automatic bonuses.

Increases are more or less automatic (as is the case for most government union jobs)

The £21,388 is supplemented by about £3000, over 10%, there is still more for London,
and this is a neophyte starter rate.

"Salaries at senior level (Bands 7-9 in the NHS) range from £30,764 - £98,453"

Comparable rates of pay exist in the private sector. that is by working for the agencies which, in fact, usually pay much more per shift.

"Payments for unsocial hours are made to NHS staff. For example, time plus 60% is paid for working on Sundays and public holidays. Details of pay for unsocial hours in the private sector may vary. Contact individual providers for details."

Notice the overtime rates.

Some nurses are reported as receiving £100,000 by working a lot of overtime

Of course, medics/doctors can receive far more than these rates.

There are approximately 400,000 nurses and a bit over 600 MPs.

Marker at abelard.org

funding the nhs - the calculations

From a laundry list of all the old Socialist desires from the money tree:

"Labour has accused the Tories of trying to "fund the NHS on an IOU" after Chancellor George Osborne pledged to increase spending by £8 billion by 2020."
[Quoted from telegraph.co.uk]

This from the party that broke the bank on borrowing! The frigorated cheek is beyond satire.

The UK economy is about £1.75 trillion, and is now once more growing.
£8 billion is around 0.2% of GDP.

The NHS bill at present is around £110 billion per annum.

Under Conservative supervision, the NHS has been saving around 1% per year.
continuing at that rate alone finds £5.5 billion over 5 years.

A central problem with socialists is that they are innumerate. Unfortunately, the schools cannot recruit adequate mathematics teachers because most of the teachers are Socialists, union time servers.

Any mathematician worth a light can earn at least double by switching to private industry, and no-one sane will work in the general chaos in schools generated by the teachers'unions.

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the web address for the article above is
https://www.abelard.org/news/economics042015.php#nhs-costs-130415


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