Of Luigi Tedeschi

Source: Italicum
Germany dominates Europe through financial terrorism, a weapon of mass destruction for states, which entails the abrogation of democracy.
It was all already planned, however, it was an easy prophecy.
Mattarella's veto is perfectly consistent with a practice inaugurated by Napolitano and now consolidated, that of the president's governments. That this practice is in open conflict with the constitution, that governments elected by the people are removed and other "technical" governments appointed by Germany and European diktats are put before national sovereignty is now clear to everyone. A de facto presidentialism imposed by Europe has emerged. But above all, appointing Cottarelli in Conte's place, Mattarella has made a political choice that clearly violates the Italian constitution.
That of the technicians is in fact an eminently political choice that deposes popular sovereignty. That's how he expressed himself Marco Della Luna in the book“Traitors in the government” (Arianna Publishing 2013), in relation to the appointment of the Monti government by Napolitano: “… In the case of the Italian situation, and in general of a complex system like every country is complex, the problems are many (not just cheap, but also sociological, hydrogeological, legislative), they are unclear but controversial in their identification and causes; there is no precise and shared technique (Why, even within technical economic science there are totally divergent schools both in the analysis of the causes and in the recipes, indeed the crux of the choices is between opposing economic models); it's not just about solving problems, but to choose which objectives to pursue, what priorities to set, which social classes to tax, which to deprive of assistance, which development model (or modestly survival) adopt, and perhaps even more whether to defend a certain national independence or not, whether to accept or reject a Euro-financial architecture under German hegemony, how to challenge and change the current structure of the Eurosystem. All these choices are choices purely political, non-technical; e, based on the Italian Constitution and the general principles of representative democracy, just a political government, with a popular mandate, can be legitimately placed to carry out them. Not a technician or a government of technicians. And in fact the Monti government has done so, with the explicit and repeated endorsement of Napolitano, a series of heavily political choices, ideological, classiste, and very little "techniques". The thesis of the government of the technicians is a lie to cover up a clear and fundamental unconstitutionality, cannot be remedied retrospectively by a parliamentary vote, especially since the parliamentarians and the parties were not free and serene, but they were held under various threats, internal and external, from the spread to early termination before the pension accrues".
Until yesterday, a ghost was wandering around Europe: the Italian yellow-green government, result of a populist heresy, That, like a malignant virus has already infected Europe. The M5S – League alliance is an expression of popular will but, such a majority despite winning the elections, he cannot govern, as it is not compatible with the financial governance of the European oligarchy, non-elective ruling class, which has in fact expropriated sovereignty and delegitimized democracy in European states.
It had been widely predicted by us that the popular vote of 4 March would have been affected in any case, if not nullified by the dominant influence of the EU in the article “Elections 4 March: Europe has already voted for itself and against the Italian people", published on this blog on 19 February 2018. In fact, it was stated that “In the elections of 4 March will not be up to the people to decide, because Europe has already abrogated its future". http://www.centroitalicum.com/2018/02/19/elezioni-4-marzo-leuropa-ha-gia-vinto/
 
The German and European financial terror government
 
As expected, the reaction of Germany and the EU was not long in coming: in fact they vetoed the nascent yellow-green government. President Mattarella reaffirmed the constitutional prerogatives of the President of the Republic in also placing a drastic veto on the appointment of Paolo Savona to the Treasury Ministry, but as we well know his hostility to Savona is a direct consequence of Germany's clear adversity to populist governments, not loyal vassals, Meaning what, of Franco-German financial domination.
Paolo Savona is a liberal economist of great prestige, man already close to Giudo Carli and minister in the Ciampi government. But he has always declared himself against the euro and European treaties to the extent that the latter led to German domination over Europe. Media propaganda, especially in Germany, he carried out a work of psychological terrorism, emphasizing the dangers for the Eurozone arising from the program of the Italian populist government. German contempt for Italy was evident in all its glory: Italy would constitute a danger for the euro, which “freeloader” country, “in the throes of madness”, "blackmailer". The aim is to arouse fear and alarm among the people, whose savings could be destroyed by spending policies that would compromise the sustainability of the Italian public debt already at 130% of GDP.
The yellow-green coalition remained isolated, did not register the support of even one newspaper in the Italian press. We have witnessed a real work of media criminalization of Paolo Savona, almost as if he were a dangerous anti-Euro Bolshevik subversive. But Paolo Savona only intended to deal with Europe on equal terms with other states. Italy has always been penalized at European level. All previous governments, by Berlusconi and Renzi, they have always boasted of firmness and patriotism in Europe. But their servility towards European diktats is known to all.
The growth of the spread, which broke through the quota of 200 points compared to the German Bund, raises alarm, as the markets would not feel guaranteed on investments in Italian public debt.
 
In reality they want to create a new Italian debt crisis, as in 2011, with the advent of the austerity of Monti's technical government, imposed by Europe, policy that has continued to the present day. That austerity has only produced recession and deflation in Italy is an objective fact, that growth and employment can be relaunched through investments and public spending is clear, but such Keynesian policies would lead to failure to comply with European budgetary parameters. And flexibility on public finances can be granted by Europe only in the face of a reform program that includes cuts to the welfare state, job insecurity and wage compression in the labor market.
Therefore the markets would feel guaranteed by liberal reforms that generate poverty, inequality and job insecurity. That Europe has devolved its sovereignty to the financial markets is no mystery. In fact, large investors, such as investment funds and the dominant states in Europe themselves (first of all in Germany) with sovereign funds, if policies that do not comply with European treaties are implemented, by carrying out mass sales of significant shares of a state's public debt securities, they can determine a rapid default and overthrow governments with the intervention of the troika. This is what happened in Greece and could happen again in Italy.
The increase in the spread can also lead to the downgrading of states by rating agencies. In fact, S&P e Fitch, could lower Italy's rating, whose current rating is BBB and classify Italian debt securities as "junk securities". In this case, the liquidity provision of QE would cease: the ECB could neither purchase nor accept Italian securities.
It is therefore clear how the judgment of the markets turns out to be a deadly weapon of mass destruction for states. Germany dominates Europe through financial terror, which entails the abrogation of democracy.
 
The stock market crisis and the collapse of Deutsche Bank in virtuous Germany
 
Media alarmism is also concentrated in the sudden drops in the Milan stock market, which recorded a decrease of 7% (for the value of 17 billion), compared to 7 last May. However, the current tensions in the financial market are almost completely unrelated to the feared Conte government.
The crisis mainly affects the Italian banking sector, already penalized by the launch of the European legislation on NPLs (impaired loans). The Italian banking system will now also have to pay for the effects of the new European agreement of Franco-German origin, that foresees, in order to reduce the sector's risks in the event of bank resolution, the setting aside of further mandatory reserves equal to 8% of assets, to reduce losses and replenish capital.
It is clear that European regulations contribute to further credit restrictions and will negatively impact investments and consumption. Only Italy and Greece have opposed it in vain at European level, as, a risk reduction policy is not matched by any risk sharing measures.
The banking system also suffered the consequences of the increase in the spread: banks own 400 billion in government bonds and the increase in interest rates led to the depreciation of the securities in the portfolio.
However, Germany's rigorism in the European context is matched by a German banking system whose collapse has now been going on for ten years, even if cleverly hidden by the Merkel governments. These days, Deutsche Bank announced the cut of 7.000 jobs. Deutsche Bank reported for the 2017 losses for 512 million euros, his title suffered a sensational debacle 38% on the stock exchange. Its ongoing crisis is due to the mass of junk derivatives held since the crisis 2008. They would amount to 52.000 billions of euros, 20 times the German GDP. But the valuation of these securities has been covered by repeated omissions by European supervisory bodies.
The systemic role of this bank is confirmed by the collapse of its stock on the stock market, due to significant concerns about the solvency of one's debt, which amounts to 144 millions. This crisis will have vast repercussions on the European banking system. But about responsibilities, connivances, omissions by the German government (see the sanctions suffered by Deutsche Bank in the USA for the manipulation of Libor), an absolute reigns in Europe, deafening silence.
It should be remembered that Deutsche Bank carried out speculations that caused the Italian debt crisis in 2011, through the sale in the first half of the year of 7 billions of Italian public debt securities, When the crisis manifested itself with the flight of large investors, Deutsche Bank bought back significant shares of Italian securities at rock-bottom prices.
 
New global crises?
 
Financial markets are especially affected by the slowdown in growth of the global economy, which worries the Eurozone in particular.
The euro has depreciated against the dollar 7% since last February. An extension of QE is considered likely. This devaluation occurs in conjunction with the increase in the price of crude oil on a global scale.
International tensions are contributing to the slowdown of the world economy. Europe finds itself particularly exposed to the tariff war that has started between the USA and China, which will soon also involve Europe. The reinstatement of the American embargo on Iran could jeopardize significant European investments in the area.
But this Europe which within itself imposes a ruthless Franco-German financial dictatorship on the other member states, proves absent and incapable of implementing any foreign policy strategy in the global context and, given its proclaimed subordination to the USA, it is completely unprepared and vulnerable to the crises and challenges of the near future.
 
The possible potential for change
 
It was practically a given, given the climate of internal and external hostility, the failure of M5S and Lega. However, a clear secession has emerged between the institutions and the popular will in Italy.
The problems of social breakdown, Italian politics and morality are evident. The economic crisis, unemployment, growing inequalities, widespread poverty, they are problems that require structural reforms and the restoration of political sovereignty, economic and monetary states.
What is certain is that in Italy the formation of this new and unprecedented government would have represented a turning point with great innovative potential for the future.
Italy has no allies in Europe and is too isolated and fragile in the face of European oligarchic financial power. However, this institutional crisis is affecting all of Europe. Populism is rampant and forms of economic-financial repression are proving increasingly violent.
A serious political crisis is emerging in Spain, in France the social tensions against Macron's neoliberal reforms are very widespread. And in Italy the ongoing institutional clash will contribute to fueling Euroscepticism and social dissent.
The explosion of vast social dissent on a European scale, could determine profound systemic transformations in the European context in the near future in which Italy could take on a leading role.