The great regression Ignacio Ramonet It is clear that there is, within the European Union (EU), no political

will to stand up to the markets and resolve the crisis. Until now it had attributed the lamentable performance of European leaders to their overweening incompetence. Bu t this explanation (just) not enough, especially after the recent "financial cou p" that have ended in Greece and Italy, a certain conception of democracy. Obvio usly not just about mediocrity and incompetence, but of active complicity with t he market. What we call "markets"? In this group of investment banks, insurance companies, pension funds and hedge funds (hedge funds) that buy and sell essentially four t ypes of assets: currencies, shares, bonds and derivatives States.

To get an idea of their colossal force is enough to compare two figures: each year, t e real economy (enterprises of goods and services) creates, throughout the world , wealth (GDP) estimated at 45 trillion (1) euro. While, at the same time on a p lanetary scale, in the financial sphere, the "markets" worth moving capital of 3 ,450 billion euros. That is, seventy-five times resulting in the real economy .. . Consequence: any national economy, however powerful (Italy is the eighth world e conomy), can withstand the assaults of the markets when they decide to attack in a coordinated manner, as they are doing for over a year against the European co untries qualified contemptuously of PIIGS (pigs, in English): Portugal, Ireland, Italy, Greece and Spain. What's worse is that, contrary to what one might think, these "markets" are not just coming from some exotic forces distant horizon gentiles to attack our local economies. No. Most of the "attackers" are our own European banks (the same tha t with our money, the EU states saved in 2008). To put it another way, not just U.S. funds, Chinese, Japanese, or Arabs who are attacking en masse to some count ries in the euro area. It is essentially an assault from within, coming from within. Directed by Europe an banks themselves, European insurance companies, hedge funds in Europe, Europe an pension funds, financial institutions that manage the savings Europeans for E uropeans. They are the ones who have the main part of European sovereign debt (2 ). And who, to defend, in theory, the interests of their clients, they speculate , and increasing interest rates paid by States for debt, to carry several of the m (Ireland, Portugal, Greece) on the verge of bankruptcy. With the subsequent pu nishment for citizens who must endure the austerity measures and the brutal adju stments decided by European governments to appease the "markets" vultures, or th eir own banks ... These institutions, moreover, readily available money the European Central Bank to 1.25% interest, and lend it to countries such as Spain or Italy, to 6.5% ... Hence the importance disproportionate and outrageous of the three major rating a gencies (Fitch Ratings, Moody's and Standard & Poor's) because of the note of co nfidence attributed to a country (3) depends on the interest rate it will pay to obtain a credit from the markets. The lower the note, the higher the interest r ate. These agencies are not only wrong, particularly in their views on the subprime c risis led to the present, but in an environment like today, play a role execrabl e and perverse. It is obvious that any plan of austerity cuts and adjustments wi thin the euro zone will result in a decrease of growth rate, rating agencies rel y on it to degrade the country note. Consequence: it must spend more money on de

bt payments. Money will need to obtain further cut their budgets. With which eco nomic activity will inevitably shrink and growth prospects. And then, again, the agencies will degrade your note ... The infernal cycle of "war economy" explains why Greece's situation has deterior ated so dramatically as the government cuts multiplied and imposed a stiff auste rity. In no sacrifice has served the citizens. Greece's debt has fallen to the l evel of junk bonds. In this way the markets have got what they wanted their own representatives dire ctly access to power without having to submit to elections. Both Lucas Papademos , Prime Minister of Greece, as Mario Monti, President of the Council of Italy, a re bankers. The two, one way or another, have worked for the U.S. bank Goldman S achs, specializing in placing his men in positions of power (4). Both are also m embers of the Trilateral Commission. These technocrats should be imposed, regardless socially, within the framework o f a "limited democracy" measures (more privatization, more cuts, more sacrifices ) that the market demands. And some political leaders have not dared to take for fear of unpopularity that entails. The European Union is the last territory in the world where the brutality of cap italism is weighted by social protection policies. That which we call the welfar e state. The markets no longer tolerate it and want it demolished. That is the s trategic mission of the technocrats who have access to the reins of government t hanks to a new way of making power: the financial coup. Presented as well as com patible with democracy ... It is unlikely that the technocrats of this "post-political era" unable to resol ve the crisis (if your solution was technique, have been solved). What will happ en when European citizens see that their sacrifices are in vain and that the rec ession is prolonged? What level of violence the protest? How do you keep order i n the economy, in the minds and on the streets? Do establish a triple alliance b etween economic power, media power and military power? Will they become European democracies "authoritarian democracies"? Notes (1) One billion = a million million. (2) In Spain, for example, 45% of sovereign debt held by banks themselves as Spa nish, and two thirds of the remaining 55% are held by financial institutions fro m the rest of the European Union. This means that 77% of Spanish debt has been a cquired by Europeans, and only the remaining 23% is held by foreign institutions to the EU. (3) The highest note is AAA in late November, had only a few countries in the wo rld: Germany, Australia, Austria, Canada, Denmark, France, Finland, Netherlands, United Kingdom, Sweden and Switzerland. The U.S. note has been degraded, last A ugust, to AA +. That of Spain is currently AA-, identical to that of Japan and C hina. (4) In the U.S., Goldman Sachs and was able to place, for example, Robert Rubin as Treasury Secretary by President Clinton, and Henry Paulson in the same role i n the cabinet of George W. Bush. The new European Central Bank president, Mario Draghi, was also vice chairman of Goldman Sachs in Europe from 2002 to 2005.