All the world was waiting to see what form of budgetary punishment would be visited upon the Irish people as a consequence of banking mistakes and the perceived “need” by the European political class to assure that no bank investors shouldered any of the losses.
While the proposed budget may not be capital punishment, it is not far off.
DUBLIN—Ireland took the first crucial step Tuesday on an expected four-year road to financial recovery by securing support for a budget that will make €6 billion ($7.99 billion) in cuts across all sectors of society, from the most vulnerable welfare recipients to the country’s political elite
With the 11th-hour support of two independent lawmakers, the government is now expected to pass the budget to qualify for the €67.5 billion financial aid package from the European Union and International Monetary Fund. Ireland will contribute €17.5 billion.
Hidden in there is the proposal that the roughly half of Ireland’s 2.2 million workers who currently pay no taxes, begin paying taxes at a rate of 20% (to be phased in over the next few years). At the same time, the corporate tax rate, long used as little more than a tax dodge by international corporations, will remain unchanged at 12.5%. Also, there is a cut to the minimum wage, various social services cuts, reductions in unemployment assistance, and cuts to child benefits.
While the budget may or may not be passed (it probably will, is my assessment), the idea here is simple enough: When there’s no longer enough to go around for everyone, the ruling class will always seek to make the working and lower classes pony up most of the costs.
This is going to be the theme over the next few years and decades, and the trick is going to be in keeping one’s wealth safe from the clutches of an increasingly desperate political and ruling class that wishes to maintain the status quo. Very few of them appear to be concerned by the idea that this condition of less may be a somewhat permanent state of affairs.
by travlin 
