EU: The Corrupt Practices of Financial Manipulation: The Meaning of the Greek Economic Crisis - by Pascal Franchet

The wind is rising throughout Europe and carries the refusal of employees, pensioners and the poor to bear the brunt of the financial crisis.

What is missing in these mobilizations, in addition to break the isolation of struggles, is an outlet, which establishes the links between the social and political responses. Throughout Europe, social movements need to bring elements of alternative programs to address the systemic crisis, choosing to defend and expand the collective rights against the logic of valorization of the capital.

The central question raised by these "crisis pretexts" of the public debts in the North is about a different distribution of wealth. A harmonized tax reform on a European scale would allow to address the existing tax loopholes, as well as restoring a progressive tax on all income (taxes on income and corporate taxes); to reduce or abolish indirect taxes which strike especially the poorest (VAT, taxes on petroleum products). Any effort for reform has to establish a special tax on financial income and wealth of the creditors of the debt, without forgetting the taxation on other capital income and pension tax. A cleansed fiscal policy would also cancel the many social contribution exemptions for enterprises; increase employer contributions, and thus ensure sustainable social protection for all as well as a good standard for retirement and pensions.

Finally, the financial system has proven its adverse social effects. We must expropriate the banks and other financial institutions, transfer them to the public domain and place them under citizen control.

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