Posted Sep 18, 2013 by Martin Armstrong
Spanish Prime Minister Mariano Rajoy
The collapse of Socialism is unfolding before everyone’s eyes – they just ignore it. In the states they manipulate the CPI to render inflation irrelevant and impossible. In Spain, they now will stop indexing pensions altogether because they cannot create a fake CPI as the US does. There will no longer be any automatic link to inflation from 2014 onwards for Spanish Pensions. Thus, the Spanish government wants to save 33 billion euros in ten years. The retirement age for the time being remains at 65 years for now but there are discussions about raising that to 70 in the EU as a whole behind closed doors in Brussels.
Politicians make promises all the time, then they break them. If a fund manager took your money said they will pay you 25%, then reduce it to 20%, then 15%, then 5%, then say it is theirs, isn’t that FRAUD? Not in politics. That is why Socialism fails.