The coup of the financial markets
The euro crisis is playing with the financial markets and the federal government. DIE LINKE rejects a transfer union for banks, says the chairman of the party DIE LINKE, Klaus Ernst, the decision of the Federal Government to expand and reform of the Euro-bailout EFSF.
The EFSF shall in future take out loans from the financial markets to buy government bonds and directly prop up banks. The causers and profiteers of the crisis will be spared while the majority of the population in Europe will pay with leaden lifebelts and the worst cuts in social services in postwar history. This will lead to a new crash. The sovereign right of parliaments - budgetary sovereignty - is also curtailed.
In France, the super rich announced they would gladly pay more, but Sarkozy does not let them. In Italy, Berlusconi cuts on the solidarity tax for high earners. However, in Germany, there is not even a debate on a crisis levy for the wealthy.
DIE LINKE calls for an EU-wide property tax, a construction program and to separate the state finances from the financial markets. A public bank should provide direct loans to the euro-zone countries to prevent permanent interventions at the expense of taxpayers. Financial injections into banks may only be possible along with their nationalizing and regulation. We also need a reduction of imbalances in foreign trade through higher wages in Germany to prevent new debt crises. Nevertheless, together with support there always have to be sanctions, such as higher taxation of the super rich.