Greek elections and future of Europe

Greeks are voting today. The are fooled by the idea that leftist party promising everything including kitchen sink will bring the real change.

Syriza party knows for sure their promises cannot be kept. But they have only one goal at the moment – to win at any cost and to deal with consequences later…

If Syriza tries to not to pay back the loans they received, it will set very dangerous precedent for other countries which can destabilize foundations of EU. That can mean even deeper EU recession when no QE (quantitative easing) would help.

History shows that Socialism isn’t working. By voting Syriza, Greeks will make their problem even worse. You cannot live above your means for long term… You cannot have big government in long term (especially with declining demography). When Greece cheated when joining the EU, this is the price they have to pay now… Blame politicians who did it, not the EU… You can perhaps fool or interpret statistics in different ways, but you won’t fool mathematics…

Big governments attract people, they offer false notion of security and well-being for everybody. They offer quick short-term benefits, but they cannot sustain it…

Big governments and their corporations and services are like cancer – they are spreading and growing for so long in patient’s body that patient thinks they are part of him, but unfortunately they are sucking his blood and eventually they will kill him… As with cancer, no soft approach is possible, only deep reduction of government and proper privatization of government corporations and services. The change from socialism to capitalism has to be done carefully and crony capitalism needs to be avoided at all cost.

Reduction of big government is always painful and apparently there is no easy recipe how to do it fast and without pain. There will be layoffs and if private sector is not refreshed and it is still being sucked and suppressed by big government, it won’t be able to create jobs and the change will be even more painful and suffering of people will be longer.

Perhaps economists and researchers should explore how to do this transformation with least pain and highest speed. I think government should borrow money to start to reduce itself and at the same time to re-start the private sector by reducing taxes and creating the good conditions for starting and maintaining private businesses.

Unfortunately Syriza promised to do exactly the opposite…

Good luck with your vote today Greece, Good luck Europe!!!

 

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