Saxo Bank: European officials as stow passengers

An irresponsible policy reigns in the world: attempts to “slip without a ticket” can be observed everywhere - from competitive devaluation to the lack of reforms in the States and Europe. Such an idea was expressed by the chief strategist of Saxo Bank, Stein Jacobsen in the preface to the forecast of the brokerage company for the second quarter published today.

“Economic collapse has turned into a full -scale political crisis. The United States and Europe tried to win the time so stubbornly that the problem from the category of tasks requiring a solution has turned into a disaster that simply cannot be ignored, ”the strategist writes.

Jacobsen cites several arguments to defend his thesis about the policy of “stow passengers”. The first argument: incessant pumping up with the money of the European periphery. The largest check over the entire world history was the Marshall plan, proposed by the states of post -war Europe, recalls the economist. Then the amount amounted to $ 13 billion, which is only 5% of the US GDP. Suppose that Germany is ready to save the rest of Europe with the help of a plan similar to the Marshall plan, Jacobsen writes, but 5% of the volume of the German economy is $ 180 billion, and this is clearly not enough. In order to end the debt crisis in Europe once and for all, you need 2-3 trillion euros.

“We see an attempt to slip without a ticket, which is expressed in the hope of helping Germany, but the facts talk about the opposite,” said Jacobsen.

The second argument is a plan for saving Cyprus and deposits introduced in the peripheral countries. Neither Cyprus “cut” and nationalize private money, in Italy and Spain they approved the widespread tax on deposits (0.015% and 0.2–0.3%, respectively). Cyprus was largely the first, but the trend was formed before it, the strategist notes. In addition, Stin is sure that the low tax on deposits in Italy and Spain is not a reason to sleep calmly.

“Denmark introduced VAT in 1967 at 9%, since then it grew to 25%,” he writes. “The bottom line is that it is a pleasure to collect taxes on deposits, they come from the private sector and seem fair to many non -creditors,” and we are returning to the desire to ride without a ticket. ”

Italy perfectly illustrates the situation that has developed around almost the whole world, Jacobsen is sure. Beppe Grillo and his “Five Stars” movement gained 25% of the vote, having no program at all and only contrasting itself with the establishment - this is what this policy has brought to.

“This is an ominous warning for all of Europe,” the economist emphasizes. “Voters are not going to sit on the sidelines, although for a long time they were inveterate freezers.”

Now it is more important for Europeans to find work and return to normal life, and not wait for help from the system. There is almost no confidence in the European officials (especially after they arranged in Cyprus), therefore, according to Styn Jacobsen, the politicians have almost no time left.

“Since the electorate is simply tired of listening to their plans to develop plans by 2018,” he summarizes.