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  • Showing posts with label Austerity. Show all posts
    Showing posts with label Austerity. Show all posts

    Monday, February 20, 2017

    The 2012 student movement in Quebec: fair shares, commodification and saucepans

    Clara Lea Dallaire-Fortier
    In 2012, a policy to increase university tuition fees, and a large student mobilisation against it, led to a broad debate on education, accessibility and public institutions in Quebec.

    The education system in Canada falls under provincial governments’ jurisdiction. Tuition fees in Quebec are below the Canadian average and its institutions are relatively underfunded. In other provinces, the debate on the public education system had no repercussions and the basis of the student struggle was perceived as foreign to their societal priorities. In Quebec’s debate on public education, citizens influenced by the rise of neoliberalism were at odds with the values of others who thought the increases undermined notions of collectivity.

    The right-wing Liberal Party in Quebec had planned two consecutive hikes in university tuition fees, the first by 30% from 2007 to 2012. This increase was not publicly discussed: some media even claimed there was no increase (Nadeau-Dubois, 2013). The second increase of 127% was planned for the period of 2012 to 2017. This would have raised the cost to CA$3 793 (about US$ 2 880). Between 2007 and 2011, students began to plan actions for 2012. Student associations undertook extensive research on accessibility and university finances, and mobilised in universities and CEGEPs, the general and vocational colleges which teach a post-school degree unique to Quebec. 

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    Sunday, February 1, 2015

    Trouble ahead in Portugal, still?

    Ricardo Paes Mamede
    Clean exit?
    A ‘clean exit’. These were the words used last May, at home and abroad, to celebrate the end of the Portuguese three-year adjustment programme, just like in Ireland a few months earlier. Having accumulated a buffer that covers government financial needs until the end of 2015, Portuguese authorities announced, just ahead of the elections to the European Parliament, that the country would not need to resort again to international assistance – whether in the form of a precautionary line by the European Stability Mechanism, or a new loan by international creditors. 

    The ‘Portuguese exit’ added to the general sense of relief that has been increasingly felt among EU authorities since the European Central Bank (ECB) announced the Outright Monetary Transactions (OMT) programme in 2012. The continuous drop in government bonds’ interest rates across the Eurozone is seen as a decisive step to overcome the risks of disruption in the European Monetary Union. Though acknowledging the high social and economic costs accruing from several years of budgetary austerity, EU official documents typically conclude that the adjustment programmes implemented in the periphery of the Eurozone were essentially successful, having created the conditions for a sustained recovery from of the crisis.

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    Sunday, January 25, 2015

    Thank You Greece

    Maria Helena dos Santos André
    In a time when in Paris Marine Le Pen is “Ante Portas”, when xenophobic populists are marching through the streets of Dresden, when in London the UKIP sets the tone for an ever more Anti-European hysteria, and when in Helsinki the Finnish government becomes the most ardent proponent of more austerity for Greece, for no other reason but the fear of a success of the “real Finns” at the next ballot box, the Greek people have given a clear signal, voting against more austerity and for the European values of democracy, the welfare state, tolerance and inclusive societies. 

    They have rejected the ruling by European and international technocrats. They have said no to their national oligarchic establishment that has led the country to the current situation. But they also resisted the Siren calls of Golden Dawn. They have given their confidence to an untested party, with no experience in government, a party that has presented an electoral programme proposing better governance, more democracy, greater social justice and an end of austerity policies that have destroyed the economy and created unprecedented hardship while the public debt (and the private one) continued to increase. The Greek voters have sent a clear message to the rest of Europe: they want to be part of Europe, they can’t bear more austerity; they need a sustainable solution to their debt problem; they want to be a respected partner in the European Union and play an active role in the common search for a Greek and European recovery.

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    Monday, December 17, 2012

    Greece in the deadlock of the Troika’s Austerity Trap

    Giorgos Argitis
    On 27 November 2012, the Eurogroup reached a new “Greek deal” which once more discloses that there is no political will to address Greece’s debt crisis, as well as the country’s economic and social catastrophe. This fact increasingly makes Greeks think that the sovereign debt crisis incorporates significant geo-economic and geo-political interests at the expense of national sovereignty. Nonetheless, in the pure economic domain, there are two main aspects of the new agreement: first, the Troika’s condition that Greece has to adopt and apply a fiscal correction mechanism to “safeguard the achievement” of irrational and unrealistic fiscal growth and privatisation targets. This mechanism will institutionalise economic austerity and the impoverishment of Greek workers in the private and public sectors, and squeeze to zero the degrees of freedom for national economic policy-making.

    The second aspect is the restructuring of creditors’ debt claims as a means for Greece to reduce its financing gap and borrowing needs. This decision, in conjunction with Greece’s public debt tender purchases, is hypothesised to bring Greece’s public debt back on a sustainable path by 2020-2022, which will facilitate the gradual return to market financing. The new agreement between Greece and the Troika is characterised by much fantasy, but little realism. The economic, social, and political environment in Greece remains fluid since uncertainty and lack of credibility continue to surround the course of economic policy-making in Greece and the Eurozone.

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