truthout, 11 April 2015

Germany's recent history has featured reduced wages (especially via increasing part-time jobs), fewer social welfare protections, major bank bailouts in the crisis of 2008, rising inequality of income and wealth, austerity policies and so on. Its leaders around Merkel have responded by carefully rescripting their recent financial maneuvers as "Europe's bailout of Greece" in a classic exercise in scapegoat economics. [...] The "bailout of Greece" was thus really an indirect bailout of [...] private banks.

Without that indirect bailout, those private banks would have suffered the usual losses that come when banks make loans that cannot be repaid. [...]

This gambit protected their political careers from voters' wrath while getting all of Europe to share the cost of loans to Greece.