The October 27th Agreement.

On or around October 27th 2011 (27/10/12) the leaders of the European Union (EU) got together and agreed to what became the European Fiscal Compact (Europact). Unfortunately at the time I was a little distracted running between hospitals, care homes, various injunctions, court appearances and preparations for the COP17/CMP7. However I believe that this was the point that the EU (germany) realised that the European debt crisis could not be solved by simply forcing nations to raise taxes and cut public spending in order to pay the interest on their Sovereign debts. So being an exceptional case Greece would have to get at least 50% of it's creditors to write their off debt in order to allow for the nation to introduce targeted taxes increases and public spending cuts to grow the national economy on a structural level. To avoid becoming exceptional cases the rest of the EU would have to trim their structural deficits to gradually reduce the level of their Sovereign debt in order to allow the nations to introduce targeted tax increases and public spending cuts to grow the national economies on a structural level. These structural reforms of course need to be tailored to individual national economy.

So in summary all these protesters in the EU who are demanding growth are actually preventing growth from starting by delaying the implementation of the austerity phase that needs to happen first. An hounourable mention though should go to the global Occupy Movement. Their collective action played an essential role in convincing Greece's creditors (the Banks) to write off 75% on Greek debt.

Now if anyone needs me at around 22:50 on 8/5/12 I'm going to be trying my hardest to sleep through the Queen of England's speech at the state opening of Parliament tomorrow (9/5/12). It's the only way I can think of avoiding nasty questions about on what authority does she think she'll be passing laws.


Edited at around 22:55 to repair glaring errors in spelling, punctuation and sentence structure. Finished 22:58.

Edited again at around 23:10 on 8/5/12 to add: Yeah I'm still not loving the new blogger interface. It gives weird data on things like how many people have read each individual post. At around 23:12 That's the excuse I'm giving for why the last sentence of my orginal post still makes no sense and why I failed to realise that October 27th 2011 is in fact 27/10/11.