Greetings to the Saker community and readers.
In his book 1984, George Orwell wrote the following on how to rule over people:
He paused, and for a moment assumed again his air of a schoolmaster questioning a promising pupil: ‘How does one man assert his power over another, Winston?’
Winston thought. ‘By making him suffer,’ he said.
‘Exactly. By making him suffer. Obedience is not enough. Unless he is suffering, how can you be sure that he is obeying your will and not his own? Power is in inflicting pain and humiliation. Power is in tearing human minds to pieces and putting them together again in new shapes of your own choosing.
If you want a picture of the future, imagine a boot stamping on a human face — for ever.’
Yet in the eastern borderland of the EU, something unimaginable has happened: a government has asked its people if they liked a deal offered by the Master. And the people of the country, especially the young people, voted a resounding NO.
The most astonishing fact is that the NO came in spite of fierce opposition: Every single private television station and 99% of private newspapers and radio stations, the ECB, the IMF, Eurogroup, the European Commission, Greek Central Bank, the aristocracy, the palace (Greece used to be a Monarchy until 1974), hedge funds, ship owners, a good part of the star system. All these tried to terrorise the people and failed.
Reaction was immediate; first the low level stooges and gradually shifting to the big guns (courtesy of the live coverage of RT):
The head of Germany’s savings bank association (DSGV), Georg Fahrenschon, told Reuters that Greece has broken the rules of the eurozone by saying ‘No’ to the bailout, and should now leave the currency bloc.
Greece might be better off outside the single currency, Hans Michelbach, a senior German conservative lawmaker said, commenting on early results from the referendum that indicated Greeks are likely to reject the eurozone’s bailout terms.
“Now one has to ask the question whether Greece would not be better off outside the eurozone,” Michelbach from the Bavarian Christian Social Union (CSU) told Reuters.
“Unfortunately, Greece has chosen a path of isolation,” he said, adding that if the ‘No’ vote won there would be no reason to aid the country further.
“The last bridges on which Greece and Europe could have moved towards a compromise” have been “torn down” by Greek PM Alexis Tsipras’s Sunday referendum, German Economy Minister Sigmar Gabriel told the Tagesspiegel daily, as cited by Reuters.
Having rejected the rules of the Eurozone, Greece has made talks on a new bailout program “barely conceivable,” the minister, who is also the leader of Germany’s Social Democrats (SPD) party, said.
With Tsipras’s government, the country is en route to “bitter abandonment and hopelessness,” the German official added.
The top comment of this terror campaign though came from Martin Schulz, the president of the European Parliament: Mr Schulz earlier called for the elected Syriza government to be replaced by “technocrat” rule until stability is restored.
Who will be doing the replacing Mr. Schulz? And how?
So – Greeks voted NO, the EU got a slap on the face, what next?
The Empire started to strike back. Already the ECB stated that Greek debt held by the European Central Bank cannot be restructured as that would amount to the ECB financing a government, which is explicitly banned by EU rules.
And the first “casualty” appears to be Mr. Varoufakis. I believe that his removal is a political move to buy more time. After all his replacement; Mr. Tsakalotos has already been running the negotiations for some time. Note that Mr. Varoufakis is still an MP with Syriza and has every right to speak and vote at the Parliament.
Many people, especially economists argue that the best course of action for Greece is to leave Euro and issue its own currency. But Mr. Tsipras cannot do that at this moment, even if he wants to. The simple reason is that the people are not ready; the referendum vote was clearly not a command to leave the Euro let alone the EU. His best bet is to be seen to be negotiating a fair deal (hence the “removal” of Mr. Varoufakis) while at the same time preparing the country for an exit from the Euro and issuing its own currency. I do believe he gambles on the German (primarily) and every EU bureaucrat arrogance; that whatever proposal he prepares, no matter how logical or submissive it is, it will not be enough. In the meantime, he will be implementing Plan B (I believe he has some form of support / assurance from Russia and / or BRICS) which will primarily consist of preparing the people for an exit from the EU as well as the country; you cannot go to a new currency in a single day.
If he can hold long enough that the people of Greece to see and feel the vindictiveness from the Empire, then they will ask themselves to leave Euro.
Unless of course the unthinkable happens and the rest of the people or Europe rise up to the oppressing unelected Eurocrats themselves.