The Future & Political Economy of Europe with Yanis Varoufakis



I only wish there was an established party that I could support without running for elections because there is nothing worse than seeking people's votes it's very very boring but there's no established party that we could support not on the Left not on the center no on the right of course look allow me to say that this is a very special period in our history most of you are young you had a bad luck of experiencing in 1929 moment in 2008 and just like 1929 the Wall Street financial sector collapse caused or triggered a chain reaction that very soon afterwards fragmented the financial infrastructure of Europe then moved into the economic sphere and caused a political crisis waves of austerity the waves of deflation surely but steadily generated political monsters to put it bluntly you're experiencing a postmodern 1930s any attempt to look at it as a Greek crisis or a crisis of the Irish banks of a crisis of the Italian state a crisis of your pension funds and negative interest rates is bound to confuse you to stop you from understanding that here is a systemic European crisis and all these are symptoms there isn't why you have negative interest rates doing harm to your pensions it's the same as the reason for which we have very high levels of unemployment use and employment in Greece failing banks in Italy an inability of our car industry auto interest here in Bavaria to produce the electricity the electric cars that are necessary you know we're falling behind you are falling behind China it's one crisis if I'm writing this and we have a systemic crisis we need the system systemic solution none of the parties that you mentioned are interested in a transnational economic political and social agenda so we thought well we need to start one and if we need to start from scratch we will do it and that is why there is a creek running in Germany there is a German running in Greece we have the same green New Deal agenda being presented here in Munich in Copenhagen in Warsaw in Sicily in Oporto in Spain across Europe we are too late I think in doing this but better late than ever oh it's worse than that is that even a question of enabling left politics we need to really politics because this is a great paradox we have in Europe we have democracy in Bavaria in Germany where democracy in Greece we fought for it I grew up in a fascist dictatorship first time I came in Munich I was seven years of age because my mother and father were running away away from the Greek dictatorship we ended up in Munich for a few months so so we have democracies in our nation states and origins in our municipalities and that is a fantastic thing and we should preserve it like a very precious good that it is but a very same time we have shifted all the important decisions to a democracy black hole in Brussels and Frankfurt Frankfurt because of the the European Central Bank so all the decisions are being made the important decisions I meant on the land hmm he wanted to increase the wealth tax he wanted to change the fiscal pact and make it a growth and stability pact you know why he stopped after you I used up I happened to know when he was elected he received a phone call from Frankfurt no actually no that's a mistake from Paris from the Banque de France the Central Bank of France the equivalent of your buddhist bank and they said to him mr. president congratulations if you don't stop talking about the things we are talking about the banks will cease functioning within a week you have you thought you must not rock the boat with Angela Merkel you never heard of him again he sank without a trace now when I was in the Euro group above control it was very clear first time he spoke in my presence after I presented my proposals for what we should do with Greece's debt program and all that he said spectacularly and very honestly and I appreciate that democracy cannot be allowed to change economic policy and then I said well let's not have elections then if you're in that you shouldn't have a look we've created a monster we've created a monetary union that has a central bank without a state behind it because the European Central Bank doesn't have a corresponding state unlike the in the United States right or Germany before the Europe you had the Treasury and the Minister of Finance and you had the Buddhist Bank correspondence the ECB is a gigantic central bank no state behind it and you've got 19 states without a central bank this is not a way to create a monetary union which is consistent with a political union that the fallacy in 1991-1992 of Helmut Kohl and Francois mita they believed that you start with a monetary union and then you move towards a democratic political no if you start with a monetary union you make sure that it will not be a democratic political union so what we do about this this is the canal okay one thing is to lament the architecture the way we created a problem it's far more important to talk about solutions diem25 at democracy Naropa has a very clear strategy it's a two prong strategy we are moving along two paths that are parallel and one reinforces the other the first one is economic social and environmental we have three very clear policies of what can happen tomorrow morning using the existing institutions of the eurozone as they in order to have fund the green transition works that we need to the tune of 500 billion euros every year without new taxes that's very important what to do about precariousness and poverty how to tackle we need at least a hundred billion years to spend every year across Europe in order to prevent poverty from destroying lives and empowering the fascists to put it very bluntly and thirdly what to do about the banking system and public debt so this is very tangible very boring very technical policies but there are policies that are realistic very even conservative I would say but radical in the sense that they tackle the problem that's one axis one path the second path why Europe is stabilizing our political economy our environment the labor market good quality jobs are being created in the labor market while this is happening and people start seeing Europe again as a source of solutions not just as a source of problems we can start having the discussion amongst ourselves through citizens assemblies at the municipal level at the regional level at the state level at the European level of what kind of democratic constitution we want to be living under in the next 10 years or so so tangible answers to what needs to be done tomorrow morning and the vision that we create together not somebody comes up and tells us what it is one that we create together for a constitutional assembly process of where we want to be in 10 years or 20 years well all-important Democratic revolutions started with two or three people in a room deciding that they will not take it any longer yeah when we started the democracy of movement in Berlin at the folks being a theater and other theater because you know when the politicians turn CA parliaments into farce we take theaters and convert them into Parliament's we had a hundred thousand members now a hundred thousand members is a drop in the ocean but you know top by drop we can create a river we can create a torrent and a limited I mean your political scientists you know this better than me but for the purposes of this discussion let me let me remind you it won't sound good I know but support the fascists did not need to win government in France to make President Hollande introduce racist legislation in the National Assembly the if' day did not have to win government in this country to shift the whole spectrum of politics in the direction of misanthropy we're trying to do the same thing from the humanist progressive side we are going to change Europe by being elected in the European Parliament for you know for chrissakes we're not right but we will table those proposals in the European Parliament we will make the life of the Social Democrats of the Greens of the conserve of the FDA will make it very difficult because we will say to them why are you disagreeing with our proposal to utilize a common asset that we have the European Investment Bank in this way so as to create good quality jobs and the technologies that we need for green transition tell us why and if we start this process of infecting from within the institutions but also within these theaters and the streets and the grassroots there is no alternative now if you ask me well is this going to work or not I have no idea probably not you know probably this European Union will disintegrate but we have a duty not to predict we have a duty not to be in the business of prognosis diagnosis in science it's your duty to predict if you're a meteorologist your duty is to predict the weather and you are judged on the basis of the accuracy of your predictions but when you are in politics when you are in social work when you are working with the refugees when you're working for the environment you have a duty not to predict but you have a duty to do that which is necessary and if we enough of us do that then we will change the world [Applause] well I can't be something that is impossible you cannot be a left-wing populist if you're a populist you are right-wing and misanthropic if you can if you are left entry try to be populist you stop being left let's define our words our terms right because it depends on what you mean allow me to define populist myself right populist is nothing to be popular because nothing to do with the people as such a populist is a politician who exploits the discontent and the anger of people who have every reason to be angry well good reason to be angry so a populist taps into this anger and uses it with false promises looking at them and say I'll make you proud again they never promise concentration camps the never promise war they never promise bombs and machineguns what they promise is to make you proud again to make you feel that you your country your community is strong again that you have dignity that's what they offer you and the harvest that anger and then they take this power that they get from the anger of the people to impose authoritarianism upon the people and to sell them out to work in the interests of the oligarchy look at Trump this is precisely what Donald Trump has done in the United States Donald Trump were succeeded in becoming president because he turned against Wall Street he turned against Hillary Clinton who was so sympathetic and so close to Wall Street and he said I am going to drain the swamp meaning Washington and New York right and he went to the Midwest and he talked to the dismissed precarious blue-collar workers working-class proletarian workers in places where the establishment had abandoned them and said I will make you proud again I will build a wall I will stop the American corporations from taking money out of the country or jobs out of the country and he promised them all that he beat up theirs anga jointed together with racism and created a power base for himself first thing he did was to take three people from goldman sachs and a point I mean his cabinet right exactly the same way you will allow me to say this that's the National Socialists in this country who were attacking the bankers the the rich and the owner that capitalism you know I mean some of the most powerful criticisms of German capitalism came from people like Gables in the 1920s right and what do they do firstly they get funded by croup by the banks by the the oligarchy and the first thing they do is they empower the oligarchy once they gain power so the last thing we Democrats must do is stop criticizing the establishment and the oligarchy which is creating the discontent amongst the people that then the populist s' were always right-wing exploit in order to gain power against liberalism against the traditions of democracy to introduce authoritarian rules supposedly in favor of the people and then turn it against the people so that can never be left-wing what does it say it means say you're a left-wing pop and populist well allow me to criticize for them they are not right-wing they're good people they're my friends but why are we not running with podemos in in Spain because they don't believe in having a very definite tangible realistic pan-european program for change we try to have this with them but they have a they have a policy of not having a policy in that sense they are trying to please everyone by not saying anything specific but that's not populist that's simply inefficient politics and this is why they are now declining we would not have created the democracy in Europe movement if we turn them out of a sit on the same thing or democratizing the European Union so allow me to be a bit positive now you know because III don't I don't do optimism optimism I don't like I think optimism is for fools you have to be a fool to be optimistic but I put a lot of emphasis on hope optimism is the saturated variety of hope hope we have we must have I mean I II what is the point of living if you don't have hope I mean we'll all die we know that that's no reason not to wake up in the morning and zeusie a Stickley and with hope so we do that so I don't need to be optimistic to do that yep so allow me this was a personal note but look the hopeful message I have used this the fact that the European Union is a democracy free zone a bit like the moon with oxygen doesn't mean that we shouldn't democratize it or that we can't democratize our states were not democratic were created as the political wing of a ruthless despot that's what the state was it was an instrument by which the rulers kept the people down it was the opposite of democracy even the Magna Carta that the previous slide love to posit as the beginning of Western democracy which it is in a way way what was the Magna Carta it was a contract between the king and the Barons so the Barons will be allowed to keep their slaves and their capacity to to exploit them that's what it was and to keep their own wealth it was a contract between the Barons and the king and the royalty so we have created democracy out of that kind of political instrument called the state we can do the same thing in Brussels but we are not going to do it through tiny little whimsical reforms of a system which was such a set up to cancel out democracy because even if I were to send you with the German people were to send you to the Council of Europe to the European Union council you have a mandate but so does the French president so does the Portuguese president prime minister and so on so they all have mandates so they cancel each other there is no mandate you know what happens merkel leaves european union council meeting and she comes back with a buddhist AG and society is the best i could achieve and the French president makan goes to Frances is the same thing so nobody owns the decision nobody's answerable to anyone because everybody says it's not what I wanted it to be and no one can fire them as a group as I am as an instrument so this is where cloud and I agree entirely we need to move towards a federal Europe where we can elect our federal government huh I demand the right to vote for a German in the same way that the Germans should be able to vote for an Italian independent like an Arizonan vote for a president that comes from Minnesota yeah but to move to that stage we need first to stabilize a political economy and at the same time to start the process of writing together our Constitution because what binds together a democracy what creates a demas it's not so much the common language you can hear that my German is zero non-existent it is common political activity and the collective authoring writing of our rule book our Constitution this is a huge discussion but allow me to be brief so that Claudia can answer firstly by doing what we are doing today here you have a creek running in seeking your votes we have a German increase seeking click votes and we have a transnational move so that's a groupie and demos in the making it's not another Europe is possible another Europe is here point number one point number two you said ah there is the German point of view and the Greek point of no there isn't any sentence beginning with the Germans think this is wrong because you disagree amongst yourselves any centres with the Greeks believe that is completely wrong there is more commonality between the average Greek and the average German than there is between the Greeks or between the Germans [Applause] how about by telling stories through stories will you allow me to tell a story which I think explains the euro crisis in a way that brings all of us together it was 2011 in the midst of the worst part of the Greek drama not Greek crisis we we clicks have lots of words like that tragedy drama catastrophe crisis the things that he can optimist I talk about the European crisis and the Greek drama yeah say it was 2011 and I was flying via Munich to New York on Lufthansa remember and I was going to conference that's my work and I was sitting next to a guy yeah after when you are in on the same plane for eight nine hours with someone after a while you start talking because it's so boring and ok so he told me his story he was in his 60s German used to work for one of your failed banks Commerce Bank I believe yeah and he had just retired and he told me that a story which initially it makes sense he said I said well so why did you retire he said because he was a relatively young man he said because I I nearly got sick after the Euro was created for why why did the Euro make you sick he said listen before the Euro I lived a heavenly life I used to fly to Athens to Madrid to Rome to Dublin and I would see bankers there I would see industrialists I would see ministers and all of them wanted my money the German banks money as I would take me to the Opera they will take me to nice restaurants they will try to convince me that they will be good betters yeah and that they will be reliable and and and then and I would go back to Frankfurt with those years full of business plans and I would start them with my my own leisure and decide who gets what and whom I am prepared to lend money to who's great and then the eurogames came and from the moment the Euro came my life became hell I said why he said because headquarters in Frankfurt gave us quotas we had to lend every week so many billions and if we did not lend so many billions every week our job was unsafe so suddenly I would have to go to Athens to Dublin to Rome to Madrid right and I would have to bet I would have to bribe them to take money from me yeah bribe them to take money from me and they would be playing they would play but they would be playing hard to get because they were other German bankers and French bankers doing the same thing and that was compa I was feeling that I I was giving money to people that I could see work corrupt that we wouldn't get our money back and headquarters was pressurizing me to give it away now the question is why why would this happen so you need to explain this to the people in this country when you create when when when you create a common currency and you refuse you merge the deutsche bank with the deutsche mark with italian lira or the Greek drachma right what what what happens is this if you have an economy like Germany's which is all has a lot more capital than an economy like Greece they were there's always going to be a trade surplus coming from Germany to Greece more folks wagons would be sold to Greece then Greek cars will be sold to German there are no big cars okay so when there is an exchange rate that is flexible okay what happens is the Greek drachma keeps going down and stabilizes the trade volumes but if you have the same currency that is no longer possible so for every folks wagon or BAM they have goes to Greece or to Ireland em an amount of money comes from Greece to Commerce Bank in Frankfurt that creates a big lake of money big lake of money why be clever funny because the Germans don't have the same need to borrow as the deficit countries do so this big lake of money is that nightmare for the bankers because there is nothing worse than for a banker than money that they are not lending idle money is terrible huh so they make this guy go and say who's Germany did not have the demand for those funds you didn't have the demand for those funds folks Reagan did not have the demand for those so they take this money they give it to France whatever his name is they say go to Greece go to Spain and so on and give it away and you know what the Greeks had that was fantastic from the Commerce Bank point of view low levels of private debt the clicks on their homes they're not very good homes but yeah they own them yeah and suddenly and they don't have any debts or they didn't have any debts but then in 2000 so they are a bankers dream people with the Deutsche Mark the Euro same thing same currency who have no debt and own their homes fantastic dump it all of it to them so they'd then buy Volkswagens and BMWs house prices start going up people in Greece in the periphery start feeling richer they get from their banks the Greek banks money that the Greek banks have borrowed from Commerce Bank and Deutsche Bank and so on to get credit cards we used to have credit cards arrived in our post in Greece before 2008 that we had not applied for now seriously well I was tearing them up and burning them and putting them in the bin but some poor people say well you know I will buy something for my son for my daughter so ok now this is what happens when you have imbalances in an economy like Europe because you know Germany has an eight and a half percent trade surplus now somebody has to have a deficit for this and the tragedy for Germany is that to maintain this surplus you need to keep lending your savings to follow MERS you have to because for everything you sell to the foreigners you get money and that has to be recycled you have to give it back to the forints to keep buying your stuff if you are going to have a trade surplus so trade deficits are terrible but rate samples is available as well and the reason why you have wage stagnation of this country had mini-jobs hard sphere reforms and so on was to keep this imbalance going so to cut a very long story short recycling is essential but this kind of reciting through the banks only strengthens the oligarch increased and the oligarchy here and when there bubbles burst you have to pay for it and the Greek people have to pay for it and then they turn you against the Greeks and the Greeks against you when it is an alliance of oligarchs from here and from there that are effectively functioning in a way which is detrimental to the majority of the Germans and to the majority of the Greeks this is what we need to tell the people who are lured by the IFJ it's not a German scape versus the Greeks it's the oligarchy across Europe against the majority across Europe before I talk about speak to the Green Deal which I really want to one point about how do we how do we get ourselves hurt by those that must listen to us well firstly this is not a contest between different political parties the worst enemy at the moment it's not so much supporters of the eighth day of you know other parties at another in agreement with us they are not the enemy the enemy's apathy is people who have switched off politics who are sick and tired of the political process we don't give a damn about any political party who are not going to go to volt who simply stay at home and privatize their fears and lick their wounds this is this is our main target not and we will get to them if we have tangible answers if we can say things to them that are now we want another Europe we want fairness woman they say yeah yeah yeah go away just go away I'll die if I hear you speak another word yeah so but you have so you need to answer specific questions so what is that people are worried apart they are worried about in this country allow me to to say to the extent that I know anything firstly they are worried that their children have worse prospects than they had the quality of jobs is coming down security is coming down precariousness is going up especially for their children that's number one I connected to this is their pensions especially the suave and housewife that was putting money away in the kitty I call it Dracula magma I believe Angela Merkel whatever she says I agree with okay so you know and she seized up negative rates interest rates are eating this away and they all blame the European Central Bank and therefore the European Union okay and that the third thing they worry about a lot of them increasing numbers is the environment is the you know the the fact that else will no longer be able to sustain life as we know it for very long if we continue so these are the three things now we need to answer those concerns directly without ideological poetry or philosophizing very direct thing okay so the first thing we have to tell them about their pension funds is the why do we have a negative interest rate because we have about 3 trillion euros in the banking system of Europe doing nothing except pushing up house prices increasing inequality making sure that their kids will not get at home they are being used by corporations to buy back their own shares pushing up share prices yeah and therefore the salaries of the managers of Volkswagens and Siemens and group and all that creating more inequality and while and they are not investing and while there so they are not investing in good quality jobs so their kids will have to drive taxis and their Ober rules ok so if you speak to them about that like that ok sit them all right let's say we elect the eyes there and we break up Europe or the eurozone and we'll go back to the nations it was going to happen what I'd say if we have a button we press it now and the you goes what will happen is the deutsche mark will come back and it won't be just Germany you will share the same currency with Austria with Holland with Poland the Czech Republic Slovakia and the Baltics because they are fused into the German industrial machine yeah that part of northeastern year of Europe is gonna have a currency called it deutsche mark what call to whatever you want let's go through the roof by going through the roof they precariously employed many job people are going to become unemployed so heist is going to have to help your children I would say to them and I have the guy person what we need to do is we need to take this money which is there in the banking system of Europe and invested in jobs for your kids and for the environment and see I about how Christ is going to help about and here is the answer and I'm coming to answer but I think it's important now to let you know not to stick to the technicalities to blend it into a narrative that then a taxi driver who votes well the if' they can understand and follow so we say this okay there's no way I mean if we could if we could if we could tax the rich a lot more than we attack them and we will try to do it but if we wait until we tax the rich and Google it will be ten years the planet will be dead we'll be dead the kids will have no jobs and so on so it taxation is important but it's not the solution we are proposing that the European Investment Bank which belongs to all Europeans should issue five hundred billion bond or a worth of bonds every year for five years that's 2.5 trillion yeah that's most of the excess liquidity of fill trillion which is in the banking system the rich who have the money in the banking system will love to buy those bonds why because they are really scared now they have nothing to buy nothing safe it's bad to be poor but it's also not very good to be the extra rich if I were to give you a billion euros now what would you do with it put it into a bank it's bankrupt don't do it it's a mistake give it to the Spaniards to the Greeks no unsafe send it to America to Donald Trump hmm so there are no boons to buy it because mr. Schultz is not issuing any because he's running a surplus so there are no new boons Bing so you don't know what to do with it but if it is the AIB where to issue those bonds especially if the ECB the European Central Bank where to make an announcement that it will step into the market and buy them if their price does coming down the rich will flock to purchase them that way Europe can have a war chest of 500 billion every year to spend to invest in the green technologies that we need to create a green energy union to peace entangle ourselves from Gazprom and the mill Putin to stop burning lignite in this country which is a scandal in 2019 burnings lignite the dirtiest fuel in the history of the industrial society build trains that we don't have electrify all cars not leave it to the to the Chinese and then accuse the Chinese of being ahead of us not very clever thing to do right so notice two things that this proposal and tales first it is radical but it's very conservative all at the same time because we're not proposing something that it is not within the rules of the European Union not one euro of new taxes the European Investment Bank has been doing this has been issuing bonds for 30 years and the European Central Bank has been purchasing those bonds since the 1st of March 2015 so we're not proposing something completely out of the blue or the red of the green we are proposing something that's already happening to be scaled up magnificently like when you go to war you use your industry and you scale it up in order to meet the national emergency we have this tool scale it up create what we call a green transitions sorry a Green Works transition agency within the European Union to recycle this 500 billion to give it to the private sector most of it to build the new technologies and the solar panels and the battery stacks that we need in order to store energy during the night or during windless days that way we create good quality jobs and we tackle the environment capacitor of your emergency very quickly and in a way that every boat is going to be lifted by this incoming tide so we need a combination of understanding their worries and coming up with answers that they can say yeah that's not a bad idea if you can get somebody that would have voted for the if' that say hmm that's not stupid that's a that's a begin this fantastic question I don't know what the answer is but what I do know is that as a Democrat I don't want to see the European Parliament being the one that decides but writes a democratic constitution let me remind you or tell you if he didn't know that when democracy was first invented however flawed it was in ancient Athens the big clash between the aristocrats who hated democracy and the Democrats was focused on the fact that the Democrats were against the elections and there are Easter cards were in favor of elections and the reason was that if the Democrats believe that the aristocracy can always manipulate elections and they were the ones that actually spoke better because had better teachers they were richer so they could afford the good teachers for their kids so they believed in lotteries in selecting officials by lot randomly so what we are proposing as diem25 is this I don't know and I don't know whether this answers your question but it's moving in that direction we are proposing that we kick start the process the constitutional assembly process with schools where you ask us children to come to imagine a 15 page document that describes the rules the constitution of a Europe in which they want to grow up in which they want to live as a way of infecting society from the school's upwards with this dialogue with this with this problematic and the same thing to have municipality municipal discussions original discussions of what kind of democratic govern do we want a federal Federation the Wunder federal government do you want have had the federal public part mint what would it be like but in the end who actually writes the document we believe that we should have an assembly that is selected across Europe proportionately in a way that takes into consideration the diversity of Europe of something like 3,000 people from Europe selected by lot by biased lot to ensure that 50% of men and 50% of women that all the regions are represented and then different political parties the Commission whoever can present ideas they can bring on experts legal experts political activists and so on and through a process where there is a deliberation amongst those who are selected by lot by lottery that we the rest of us Europeans are tuned into we have live streaming so we participate in these debates they in the end in a period of two or three years formulate the key passages of the Constitution including differences of opinion between them which can then be put to a pan-european series of referenda all the investments that you mentioned are green right so all the artificial intelligence we need our differential in the intelligence in order to power at the clean transition said it is all either-or that's the easy part the second question was the easy one the first one on Italy look Italy's was always going to be the battleground for the euro why 2.7 trillion public debt Italy comes out there's no Europe I can tell you that it my installation if there is any movement towards the parallel currents in Italy it's not a question of whether Italy will leave the euro Germany will leave the euro before Italy does there's no doubt about that Bellini's and Frankfurt I'm not going to wait around to see what happens to Italy if it gets out before they get out before you get on I hope it doesn't happen because it will be highly costly to a majority of people in every country but it could happen now what the politics is completely hostage to the economics because think about this Italy is not a good not Greece Italy has a trade surplus of 3 percent of total income that's a lot not as big as Germany's but it is a lot so Italy sells a lot more to the world than it consumes from the world and the government has a primary surplus has had one since 2010 2011 so it's a government that lives within its means even if it's an efficient corrupt doesn't matter but it lives within its means it's not borrowing money to in order to pay pensions whatever at a country that is living within its means and yet the median Italian has seen his or her living standards come drop fall every year for the last 18 years then they were who they wanted in process why is salvini a strong man in Italy that's why because Italians are migrating from Italy yeah young men and women are leaving Italy like they're living that they like the Greeks that live in Greece in a country that should be successful and it's not successful because it is part of a eurozone architecture that does not allow they tally an economy to breathe so either we're going to reform the euro zone through policies like the ones that we are advocating because you see this green New Deal would change all that because this would be a sensible productive efficient ecological recycling not the recycling that we have now through Deutsche Bank and unicredit and so on if we don't make any difference we will continue to see the rise of matter salvini in the European Parliament elections he's going to do tremendously well remember this government is a coalition government between the Cinque Stella and lega lega is a junior partner but they have seventy percent of the world some like that eighteen ahead and drink wasted at 30 now this will be reversed it will be salvini that is on top on the basis of his xenophobia his racism his abrasiveness his anti Europeanism immediately after that it's September he's going to have a clash with the establishment in in Brussels regarding the budget it's up to him to decide whether he's going to wind this class down do it tsipras that is effectively continue business as usual in the way that tsipras did in Greece or escalate it by creating a common a second currency I feel that he's going to do the fear polls because neither of these are good developments for Europe or for Italy but if he creates a second currency then clearly they talent that will be read the nominated mostly in that second currency in other words in Euro terms is going to go down a lot of German institutions are going to fill the pinch we are going to be in the clasps of a new political financial and economic crisis so the clean you deal is the only solution they if you take the Green Party's the European greens program in our program they are very very close I was debating yesterday in Hamburg who's been giggled we're friends we agree on almost everything so I'm quite happy for you to vote for the Greens yeah but I think that you should vote for us for the following reason everything the European creams are proposing we endorse everything my criticism is that they are not ambitious enough they talk about funding the green new deal from taxation we need to find it for taxation we need to make the googles of the world the Facebook's the Volkswagens we need to make them pay we need to increase corporate tax and have a homogeneous Ville exactly as a green say we propose the same but believe you me the Friday for Friday's for future people when they do this to us expecting all the people like me that way and they accuse us of not having done enough they're right and they want action now they don't want action in 2035 by 2020 21 22 who must make a difference now with a greens program it won't happen because believe me I was a finance minister even if you push through Parliament these tax bills they make mechanism of hitting tax havens Luxembourg is a bloods tax haven in the world and this is the middle of Europe now you need to I don't have an an army to go into the Luxembourg and take over I wish I did because Luxembourg is a genuine tax haven in the middle of Europe so it's Holland right so but the proposal that we're coming to you with of energizing the European Investment Bank in a way that it is completely legal taking the money that is already flashing around the financial sector through bonds issues can fund a tomorrow morning the greens are not going for it and I will tell you why they aren't going for it because they're too scared that in the regional Parliament's here with it that they have a client sees Willett said they went so on they will be accused of being too radical that is why they have been around for too long you see have you noticed the 25 next to them it's our expiry date no movement should last more than 10 years because it becomes part of the establishment like the Greens have we will work with them I'm glad if you vote for them because we need them to be strong but we are edging you to vote for it because their agenda is our agenda but we are not scared to come up with radical but at the same time moderate and legal solutions to answering the Friday's of the future people for the future people and telling them what we could do tomorrow morning let me give you another example where I have a class with the greens and I hope you will be with me on this and not with a green poverty we estimate we need to spend at least 100 billion on poverty you know in the United States when I used to live there I was very impressed by the food stamp program you know poor families in in America receive a check every week signed by the Federal Reserve the equivalent of the European Central Bank and that allows them to put food on the table this check that arrives every week reduced poverty in the United States from 24% to 13% very simple a very cheap way of doing it and I imagine if we had we would be more advanced than the Americans we would distribute to poor families in East Germany in Sicily in West France debit cards issued by the ECB cable and públicas that could be used to buy food pay for rent electricity bills basic transport that would cost a hundred billion where should the money come from if we expect governments to agree to contribute it to a common fund it will take 30 years before it happens but let me tell you this last year the European Central Bank had profits of 91 billion take it central banks shouldn't have profits they are not private banks central banks should simply beat their costs and you know what happened to that 91 billion it went to the ministries of Finance around Europe in proportion to the size of their economies so the German want got the most in the return for why should the German government get his money it's not return to anything to effort to investment to taxation a this is money that the euro system is breathing on its own so take this and create this beautiful fun so we are proposing this the green set or we can't say that because what would they say they will say they would not like it because you know Schultz is receiving this money now and he can use it not ambitious enough [Applause]




Comments
  1. you completely lost me when you were like "give people interested in green all the money and all our problems are solved"… green people don't know how to handle money and will probably just end up blowing it all on some other vitreous endeavor like their friends mom who needs a $1billion hospital operation

  2. "Yannis Varoufakis is a very important and smart person." Noam Chomsky

  3. i am german give me those billions i will create jobs and structures for southern europeans and help their economies

  4. i am from germany and i also agree that the financial system in europe is broken. but how shall it be fixed? who shall get the billions? the gay networks in the state administration cant decentralise it? who can be trusted with the euro billions? the jewish bankers? who? the euro billions are supposed to help the people in europe, and the euro billions have to be lend or spend so there will be a life running a business. so god help us fixing that financial system.

  5. What a despot Varoufakis is. He is like the "just smarter than you" college professor who runs circles around his students because they cannot argue on the same level: He knows all the "magic words" and the terms of art that they do not. To say that you cannot be a 'populist" if you are not right wing is to discount Bernie Sanders in America. It is OK for him to call Trump a populist but to then go on to equate him with "racism" is absurd. Trump is far from a racist although he is a nationalist. He does not want ANY foreigners to simply cross the border without permission or to try and squat in America and that is not so terrible. Many nations around the world enforce their borders much more aggressively than the US does. In some countries they kill you for jumping their border. The thing about Yanis is that he is a leftist populist who does not want to admit it. He also thinks he is a genius and lucky for us he is not.

  6. Just like communists never promise gulags right? But somehow it always ended up there EVERYWHERE😀..oh i forgot, that is not "real communism"..same old crap Varushitis!

  7. I think people will only turn to populist parties to get away from the status que. They don't really believe in right wing politics. Its just a case of have and have nots. They see the rich get richer. The alt right on utube blame and question globalism and pay to play politics. Where as the left of centre seem to be ok with the evolving state of capitalism. As most of them are midde class and doing fine. They don't want change.

  8. Seems DIEM25 is working exactly how certain big charitable organisations function. Similar to a giant institution like Greenpeace. So Giant and far-removed from public query and scrutiny – They seldom respond to questions, critique and feedback from their own subscribers – Instead always ask for donations. This system of raising awareness and motivation is wrecked from the base to the top. DIEM or any organisation claiming to represent and protect people's interests and rights should actually LISTEN and REACT to one and every members point of view.
    Yanis Varoufakis is sending mass emailers to all DIEM members heckling for donations, yet he or his minions never respond to questions or ideas – Must be so busy – Or perhaps all such email responses are headed for the SPAM Bin.

  9. You can take any topics as climate change, unemployment, financial crisis or else, the only responsable is GLOBALISATION.
    Give me one political movement or view which is against globalisation? NONE! EU is a globalisation/capitalist organisation and as said Mr Junker "there is no democracy against the EU treaty"… you want to save the planet? STOP GLOBALISATION!

  10. Why do you lie to people?! You know perfectly that EU cannot be changed as all member states need to agree by unanimity! How can you get consensus with 28 (27) members having all different interest ?! All the liberal parties are stating the same nonsense to change EU since the 80's .

  11. Yanis has developed a few bees in his bonnet that paint his approach. One is the idea that governments can better identify future industrial trends than the market. Difficult to justify when history and common sense do not seem to support him. Another is his belief that climate change is caused by AGW, and that it can be properly mitigated by changing industrial policy. More and more senior scientists are casting doubt on this and the idea needs revision. I believe promulgating such dogma will drag Europe further down the world's economic and social ladders. Better for governments to optimize frameworks to release the enterprise in their citizens.

  12. Varoufakis is a pervert, sadist, coward and criminel as are psychiatrists and hooligans,this snowden and assange and this "russians" wich are brutals, who game with the life of animals and humanbeings by sadistically terrorising them, torturing them, poisoning them, insulting, blocking them, shocking, blocking them into nonexistence, laughing about their despair, as are sadists used to, but no normal person and as psychiatrists and islamists and this racistic woodoo primitivs and rapists, sadists and terrorists as polititians, policemen, psychiatrists, pornaddicts and military are, and no good and normal person.

  13. Was I hallucinating, or did this guy just tell us to hand all our money to the private sector? 40:30 ish.
    Dude, no, the boats are not all lifted. That's jerk logic for jerks.

  14. citizen assembly? Is that not what politicians are for? Or is that for someone else to blame except the people in power?

  15. where are the concerns for climate, with so much flying? Why EU and not EURASIAN, AND INTERNATIONAL COOPERATION WHILE STRENGTHENING NATIONAL SOVEREIGNTY

  16. always the same. now the main issue is the "fascists" and not to end poverty. old days was the same and it seems the future will be the same. varoufakis once have mentioned the ubi and now he never promotes it. incredible politicians are full of shit. always this same argument about "democracy" this is the lie politicians invented to diverge people from the main issues which are poverty and the real economy, taxing the rich etc. they always avoid this arguments to protect the bourgeoisie

  17. You cannot change the EU as the decisions are made by the Technocrats in Brussels. It is why the UK voted to leave.

  18. Yanis has it wrong again. He should know better as an educator but he doesn't becasue he has not done his homework properly.
    He has learned the wrong facts about the causes of the Depression of the 1930 by swallowing the popularist incorrect story of the Wall St crash of 1929 without checking the historical facts surrounding it which show that the crash was caused by a build up in credit and the depression was caused by the combined effects of government's actions and the US Federal Reserve's actions which are the historical facts. Such actions by the Fed of restricting credit and the government policy of gold confiscation which reduced the value of people's savings, hoarding gold and the Smoot Hawley tariffs in 1930 as well as quotas on agricultural production caused a loss of market activity and higher costs for borrowers and purchasers as well as producers.

  19. something promising is arising on the verge of a possibly decisive turning of europe where politician have allowed corporate companies to do their own thing… can't care less if planet earth and the future of its people go on their knees as long as they get another 10% growth…and another 10% growth and and and…to do what? to give their CEO's billions of bonuses.

  20. By comments written all appear very cynical. Being from CDN it is hard to know how. Europe is now, &
    I am very sad not just for world, but especially for Europe with wonderful architecture, art as you have given so much to the planet (including corrupt banking , sorry)

  21. Persuit of profit is delusionary. Like fucking for verginity. Or M.A.D. A plasic world for plastic people. Kept aflote on a sea of platic money. Drown you Rats.

  22. In essence Varoufakis is no different than all the other bourgeois radical social commentators like Chomsky and Hedges. Like them he piggy backs on Marx. He describes the world like they do with impeccable 'socialist sounding' zeal, but then puts his own subjective class orientated spin on what is the irresistible logical conclusion of Marx. Whereas Marx clearly shows by argument that capitalism cannot be reformed , it must be replaced , Varoufakis couches 'his solution' in a logic that is just a revamping of the same tired old reformism of the ''so called'' Progressive.

    Listen carefully and all the caveats of ''change that is not change'' are there. From ''saving capitalism from itself'' which is a complete oxymoron. To resolving climate change by borrowing your way out of it by bond purchases.

    His appeals are nothing more than going cap in hand to the very money markets that are the source of the problem in the first place. By implication he defends the privileged existence of these mass murderers. His appeals to support every bourgeois leader from Corbyn to Sanders is now unravelling as these pseudo left opportunists reveal their true pro nationalist pro capitalist credentials. Sanders in his support of all Obama's wars and Trumps policy on migrants, to Corbyn in his lending a hand to salvage the thoroughly reactionary Brexit deal of the Tories.

    Varoufakis tirades against the rise of the far right , yet he circumvents the elephant in the room which is that these very same 'scum from history' now rise precisely because of the likes of the ''so called'' progressive radical left like Obama , Lula, etc ,who spoke the same promises, yet defended the privileges of the rich as Varoufakis blatantly does here . As Leon Trotsky made very clear, the 'pseudo left' opens the door for fascism.

    Buyer beware . Varoufakis is not all that he seems . All his good intentions for humanity are predicated on '' saving capitalism from itself''. A dangerous idealised oxymoron that in the age of the ascendency of the fascist is like going to a gunfight with a water pistol.

  23. Progressists believe democracy and regulation, they have good proposals and models which we learned a lot. As a Chinese, I believe our battle between people and bankers only could be won by people taking control of the state, which could not be achieved by democratic approaches today in China, unfortunately. However, the Europeans are much smarter than us in politics, so they have a chance to win the battle by democracy. Good luck Europe and good luck Yanis, I love your books.

  24. "You can either be informed and your own rulers, or you can be ignorant and have someone else, who is not ignorant, rule over you." Julian Assange

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