God gave us two ears and one mouth for us to listen twice much as we talk. Politicians seem to have half an ear and four mouths. Before elections, all candidates and parties travel around and seem to be listening, as long as the TV cameras are there.
The Government in Portugal promises a lot, based on an economic growth, which all serious economists say will not continue. America will keep its ‘America First’, protecting its industries against exports from China and Europe. China will protect itself against EU exports; same as Brazil. Our exports will drop.
Profits in investment funds will drop; because of that, OPEP will raise the price of crude oil. Tougher environmental control will press prices of services as transportation, and goods as produce. Drought and heavy storms will affect crops. Tragedies will affect profits of the insurance world cartel; fees will raise. Criminality will grow, PMs will boost budgets, raise taxes, dropping net family income, mainly in Europe. Because of all that interest rates will rise.
Corporations’, public and private debts in Portugal sum €750 billion, mainly to foreign banks and funds. Rates are now close to null because of an unsustainable policy of the European Central Bank to purchase public debt. The new ECB and EU leaders will change it. Finanças will pay €9 billion more a year for those debts; and families will loose some 5% of net income. Brexit is bad for all Europe in the short range.
Government wrote: “Public investment will continue to raise productivity and improve the quality of public services. It will boost quality jobs… focus in areas as railways, subs, hospitals, military and irrigation. This €10 billion investment meets two objectives: improve the responsiveness of public services and infrastructure that help increasing competitiveness… As the ‘Rail 2020’, an investment in the North interior, the South interior and a North-South corridor”. Etc.
These €10 billion will go to foreign banks, not to railroads. Local corporations will have no funds to invest in productivity, because of raised interest rates. Also two banks may collapse, as most of foreign investments in real estate is selling property and cashing its money. Local investors will not sell their 405,000 empty homes; bankrupted, they will affect local banks.
It seems all over the world politicians are using their fans to spread faked news in order to promise what they know will not deliver. Will extreme parties both to the right and left gain more MPs and threat democracy?
