Sunday, April 03, 2011

EU Asset Stripping of Ireland poses Free Movement of Labour Dilemma.

On Friday the shares of Irish Life and Permanent fell by 59 per cent, read the Irish Times report, from here.

The EU will apply pressure on Ireland's Finance Minister, Michael Noonan to increase the Irish Corporation tax rate to stifle Ireland's attraction as a destination for overseas investment versus other countries in the Eurozone, in Budapest on Tuesday. Teams from the IMF and EU will also arrive in Dublin on that day to dictate other changed policies the new Irish Coalition Government must now be compelled to undertake. All this to protect the senior bondholders in Irish banks. An Irish Times report is here.

The Independent Irish edition, meantime headlines this morning the fact that the previous Irish Cabinet were given no say in giving the banking guarantee that is intended to protect these senior Irish banking bondholders, but in fact will almost certainly finally lead to the collapse of the Euro currency, given the blatant crushing of all democratic procedures in the squashing and economic subjugation of Ireland.

One very pertinent question for the arrogant autocrats guiding the Euro Group's policy is raiseed in the headline to this posting. If the Irish capitulate and get a small reduction in interest rates from the EFSF in exchange for raising their corporate tax rate, as foreign investment goes elsewhere to other Euro Group countries, will not Irish labour surely follow, (especially to avoid the penal Irish personal tax rates which will then have to prevail)? And how then can any Irish Government raise the assets to repay the horrendous debts?

The answer of course to this latter question can only lie in Ireland (and other countries later to follow) selling off everything of value now to be found in their land, presumably to the very senior bondholders whose crazed greed driven investment decisions caused this very crisis.


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