EU

Failing to grasp capitalism

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Good to see that the alarmists have moved the “saving the planet” argument to repairing 5yo washing machines. 35 years ago, repairing a VHS deck was worth the money. A new deck would set one back multiples of the repair. Can one honestly say they would bother repairing a 5yo deck when the replacement is likely to be near as makes no difference the same, if not cheaper than the repair?

Did the BBC think to measure that a brand new washing machine might consume a quarter of the electricity and half the water of a 5yo one? Over 100s or washes it would pay for its own environmental footprint many times over.

Perhaps the regulators trying to gather momentum behind this ‘grand’ proposal  might let the free market determine whether people would bother to repair a broken appliance based on cost. If they felt compelled to revive a 5yo for the cost of a replacement then so be it. Chances are, like flat screen TVs, capitalism will have brought the cost of a like for like new LED 4K to a quarter of what it cost 5 years ago.

Perhaps Brussels can establish an entire building dedicated to subsidized repair jobs. Spend billions in infrastructure to cater to a question no one is asking

The EU regulators are trying to force manufacturers to make appliances last longer. If a consumer wants to buy a cheap Chinese made fridge and run the risk of it dying too soon, why stop them? If another shopper thinks paying 3x for a fancy Made in Japan fridge on the basis it might last longer, why not let them choose?

Going by the EU directive surely car makers should offer 20 year warranties. Although doesn’t it contradict the push to eradicate fossil fuel sales by 2040. Doesn’t forcing child slave labour in Africa to mine the cobalt to go in batteries propose deeper ethical questions?

Ultimately market forces can quickly determine whether repair is feasible. No need to mandate makers to build equipment that consumers aren’t demanding.

Rest assured people! The EU once launched multi year study on whether water rehydrated or not. Instead of accepting it, the EU introduced laws which prosecuted companies that claimed its water products did! Go figure? It’s journalism like this that makes one think they’re all eating Tide pods.

Down and out in Davos

Davos is likely to be unlike any gone before it. Lucky for the globalist elitists who like to rug up in mink collar lined Moncler down jackets, Trump won’t be there to verbal them over their blatant double standards. Ironically the fact he isn’t going is more evidence of their inability to self reflect rather than the other way around. Trump is hardly an eloquent mouthpiece at the best of times but his words and stance around nationalism resonate far wider than the €200 Chateau Briande chewing wealthy will be prepared to admit at Davos.

France. As the Gilets Jaune (Yellow Vest) movement rolls into week 9, where has the media been reporting it? Macron would normally attend the Davos mob as “the poster child” but he can’t because of the domestic situation. Should he show up to hug his globalist chums, the chaos at home would exacerbate. This is no small matter for the proponents of world government. We shouldn’t forget Marine LePen is polling higher than Macron. Nor should we overlook the fact she won 35% of the 2nd round vote, twice the level ever seen in the anti-EU Front National’s history.

Germany isn’t much better. Although Frau Merkel will be in Davos. Despite stepping down from the rotting carcass her policies have turned her party into, she’ll be fawned over at the matriarch. Deutschland, the paragon of the EU’s economic chest beating, saw industrial production plunge 4.7% in November, its worst showing since the GFC. The fastest rising party in Germany, the anti-immigrant AfD, whose chairman was bashed to within an inch of his life, plans to be far more open about jettisoning the EU going forward. Yet more anti-globalist forces at the gate.

Italy has felt the wrath of EU meddling in ratifying its latest budget. Despite 60% of the country voting in eurosceptic parties last year, the EU is still pushing its weight around via the ECB. Italians are far from pleased with Brussels. Many of her banks in the south are carrying nose bleed territory bad debts which make them technically insolvent. Italians want out.

Hungary, Poland and the Czech Republic have openly rejected globalism and any shaming from the Bullies from Brussels has only led to bigger majorities handed to them by their citizens.

Austrian Chancellor Sebastian Kurz has made it clear that illegal immigration is not for them, no matter how much UN global compacts or EU directives want to encourage it. Why else would he appoint a member of the anti-immigrant FPO as the minister for that portfolio?

PM Rutte of The Netherlands lost seats in the last election, mainly to Geert Wilders’ anti immigrant PVV. The socialist parties were all but annihilated.

UK PM Theresa May is looking on shaky ground to pass her version of Brexit through the Commons. Even Jaguar’s woes in China are supposedly the fault of Brexit. Even the iconic brand’s UK sales are up 76% since 2013. Surely it’s macroeconomic headwinds not leaving the EU that is driving this. Despite all the scare stories from the BoE, the people aren’t buying it. The UK has its highest ever petition signed to get parliament to vote for “No Deal”. So much for the expert’s advice!?

There is a groundswell movement the establishment continues to ignore. Famous economists giving fire side chats to out of touch journalists don’t convince the people who aren’t living these utopian dreams espoused from Davos.

Davos seems a bit like an Oscars gathering. The audience they are appealing to are increasingly looking the other way and tuning out. It matters not whether some believe we need to show more compassion and embrace global cooperation. The people in charge of selling it could not muck up the messaging and execution of said plans if they had a mandate to do so.

Davos 2019 may well see its proclamations become little more than rearranging deck chairs on the Titanic. We’ve been so overdue an economic correction and the little bigoted people increasingly trying to protect their own interests are already telling us they’re knee deep in recession already. At the same time they’re sick of their leaders legislating against them for supposed intolerance.

Maybe France is the globalist canary in the coal mine. Macron’s police force is already being asked to step it up a notch against the protestors. He need be wary of the police switching sides which would be a cataclysmic blow for globalism. Bring it on.

Merry Xmas

Merry Xmas from the Contrarian Marketplace. May we all follow the right stars for 2019. May UK citizens get the outcome their democratic process promised them.

Do Brits really want people like this in control?

EC President Jean-Claude Juncker has managed to find himself drunk again before an African-EU dinner this week. He last embarrassed himself ahead of a NATO dinner where he had to be propped up by those EU member state leaders around him. Poor old Boris Yeltsin would feel outdone by this.

How wonderful that the man who refuses to yield to PM May on Brexit can’t seem to show any leadership in public. Why would Brits want to cede power to unelected bureaucrats like Juncker who take no responsibility in public for their inebriated behaviour? While his term is nearing the end, there is no doubt he’ll retire on a juicy state pension courtesy of member states.

We shouldn’t forget that in July 2016, Mr Juncker sent a letter to all 650 UK MPs claiming the referendum was not a real exercise in democracy and should be disregarded.

No Deal is the absolute best outcome for the Brits. It respects the result of the referendum as it breaks all ties with Brussels. The UK has always been a friend to the continent but the EU is treating the Brits like hostages. Apart from Project Fear it would be fair to say the world’s 5th largest economy will find trading partners soon enough. The auto industry will be the first to ask for a deal with the UK. Others will follow. The EU doesn’t want to lose a big contributor to the coffers.

It was soon after the referendum that we were told the UK economy would collapse. Nothing could be further from the truth. So why pay the Bank of England any mind with its prophecies? Former BoE Governor Mervyn King has publicly stated No Deal will be the best outcome.

Juncker proves again why the Brits should revert to type and be plucky. They just need a leader who is prepared to have a spine and respect the will of 17.4 million voters.

Hard Brexit in a Tweet

Sometimes perspective on a No Deal Brexit is this simple. Nary a Leave voter wanted to have any political ties or rules set in Brussels. That’s kind of what “Leave the EU” on a ballot means. There were no other interpretations.

Despite PM May’s warning that changing Conservative leaders would “put our country’s future at risk and create uncertainty when we can least afford it given the deal she has managed to achieve many Brits would welcome it all the same. CM has been a huge seller of May since she called an early election.

Time to put a leader in charge that will throw it back at Brussels. No Deal for the EU is a disastrous outcome for the continent. It is the deal they least want because it would reveal how impotent Juncker and Tusk are. Time to find a spine and tell the hostage takers their ransom demands won’t be met.

What do the Yellow Vests want? Frexit is one demand

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Here is the Gilets Jaunes’ (yellow vests) List of Demands. Note Frexit is one of them! CM wholeheartedly agrees on the stance on education and barring lobby groups from political circles. Note the demands with respect to banning migratory flows of those who cannot integrate with French values. Where have we heard this before?

President Macron should hope he has an invisible cloak in his wardrobe. So much for more globalism. Yet another sign of a European member state demanding nationalist interests be put before federal EU rule.

Will the mainstream media objectively report on the growing number of nations wanting to put themselves first? Or will they spin the story that the demands from nations like France are somehow different to that of the abhorrent views held by the monster in the Oval Office?

Economy/Work

  • A constitutional cap on taxes – at 25%
  • Increase of 40% in the basic pension and social welfare
  • Increase hiring in public sector to re-establish public services
  • Massive construction projects to house 5 million homeless, and severe penalties for mayors/prefectures that leave people on the streets
  • Break up the ‘too-big-to-fail’ banks, re-separate regular banking from investment banking
  • Cancel debts accrued through usurious rates of interest

Politics

  • Constitutional amendments to protect the people’s interests, including binding referenda
  • The barring of lobby groups and vested interests from political decision-making
  • Frexit: Leave the EU to regain our economic, monetary and political sovereignty (In other words, respect the 2005 referendum result, when France voted against the EU Constitution Treaty, which was then renamed the Lisbon Treaty, and the French people ignored)
  • Clampdown on tax evasion by the ultra-rich
  • The immediate cessation of privatization, and the re-nationalization of public goods like motorways, airports, rail, etc
  • Remove all ideology from the ministry of education, ending all destructive education techniques
  • Quadruple the budget for law and order and put time-limits on judicial procedures. Make access to the justice system available for all
  • Break up media monopolies and end their interference in politics. Make media accessible to citizens and guarantee a plurality of opinions. End editorial propaganda
  • Guarantee citizens’ liberty by including in the constitution a complete prohibition on state interference in their decisions concerning education, health and family matters

Health/Environment

  • No more ‘planned obsolescence’ – Mandate guarantee from producers that their products will last 10 years, and that spare parts will be available during that period
  • Ban plastic bottles and other polluting packaging
  • Weaken the influence of big pharma on health in general and hospitals in particular
  • Ban on GMO crops, carcinogenic pesticides, endocrine disruptors and monocrops
  • Re-industrialize France (thereby reducing imports and thus pollution)

Foreign Affairs

  • End France’s participation in foreign wars of aggression, and exit from NATO
  • Cease pillaging and interfering – politically and militarily – in ‘Francafrique’, which keeps Africa poor. Immediately repatriate all French soldiers. Establish relations with African states on an equal peer-to-peer basis
  • Prevent migratory flows that cannot be accommodated or integrated, given the profound civilizational crisis we are experiencing
  • Scrupulously respect international law and the treaties we have signed.

Brexit – Jonathan Pie does it again

Whether you’re a Remainer or Leaver, Jonathan Pie explains in his trademark profanity-laced way why the Brexit deal of UK PM Theresa May is such a dud. What is the point of having a referendum which garners the highest ever voter turn out only to throw it back in the faces of both sides? In what world would a collective constituency want their parliamentarians to vote for a deal that makes everyone worse off? Why did May fold to every EU demand? She should have channeled the leader across the pond as to how to negotiate with Brussels.

Last week the Bank of England (BoE) ditched its independence charter to aid-and-abet the PM by producing a document stating a “No Deal” Brexit would hit UK economic growth by 8%.  What a joke. Would the EU seriously try to stitch up the economy of the second largest car market for German auto makers? It is preposterous in the extreme. Obama threatened in 2016 that the 5th largest economy would be at the back the queue when it came to trade deals. Trump would happily move it to the front. Canada and Australia too…can the BoE honestly come up with credible reasons why the ROW would spurn the UK in unison to get to an 8% slump?

Why only now has the BoE discovered this potential economic apocalypse? After all, the scare stories leading into the referendum about how the UK would plunge into the abyss should “Leave” succeed have simply not manifested. None of it. Why believe it now when its forecasts have been so off reservation? After all it did not advise the HM Treasury not to dump all of its gold at the very bottom.

Yet the Brits aren’t so stupid to see the deal being offered is the only one going. They have heard Minister for European Parliament (MEP) Guy Verhofstadt demand that member states hand over more sovereign powers to the EU. They saw EC President Juncker stagger blind drunk across a NATO stage BEFORE the dinner. There was little doubt in their minds when they checked the ballot square as to what was at stake. A No Deal Brexit is the one that should be pursued. The EU has so many disaffected member states that it is the one that needs to play nice with the UK, not the other way around.

 

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Take this chart, which shows the level of apathy member states have to show up and vote at European Parliamentary elections. Were the Brits so gung-ho to stay in the EU, why have only one-third of Brits ever shown up to express their love and affection for federalism? Is it any surprise that Italy, Spain, France & Greece have shown similar disdain over time as the EU fails to deliver for them? Surely the trend since 1979 has shown the underlying mood of member state constituents about how they value EU membership.

Perhaps Verhofstadt put the Brexit discussion into perspective (from 6:20) – after member states ratified the May plan in 38 minutes (a sure sign it is a great deal for the EU) – when he stated the hope that in the not too distant future, “a new generation of British…decide to come back into the great political European family

Tells us all we need to know. This week will show beyond a doubt about whether the island nation will have the very democracy it has shed so much blood to defend will be protected.

As Baroness Margaret Thatcher said of Europe,

 “During my lifetime most of the problems the world has faced have come, in one fashion or other, from mainland Europe, and the solutions from outside it.”