So Spain’s desperate attempt to balance its books as the EU orders includes higher taxes, shifting spending cuts to regional and local governments, and . . . a bank bailout. I kid you not (NRO – The Corner):
Less than 24 hours after the French election, Spain was putting together a taxpayer-funded rescue package for something called Bankia, according to the FT:
Spain is planning a state bail-out of Bankia, the country’s third biggest bank by assets, in a move likely to involve the injection of billions of euros of public money into the troubled lender.
Is this what politicians think that European voters want to spend their “saved” austerity money on — more bank bailouts?
I suspect the EU politicians don’t think much of what the voters want at all.
Lest we forget, the nation that had recovered the most quickly is the one that refused to believe in “too big to fail” and let the sick banks die: Iceland. Sadly, the Icelandic government is drinking the euro Kool-aid . . .
. . . which to eurozone inhabitants, is more like poison.
Cross-posted to Virginia Virtucon