BBC Propaganda War v. Greece Reaches New Low After “No” Vote

[Jefferson23]

By William K. Black
Quito: July 6, 2015

If you want to know why economic policy has gone insane in the UK you simply have to read the work of the BBC’s “Economics editor,” Robert Peston. I showed one example of his failed effort to terrify the Greeks into voting “Yes” in favor of continuing the self-destructive policies that have forced Greece into worse-than-Great Depression levels of unemployment in my most recent column. Peston argued that the Greeks had to submit to the troika’s demands that it make these policies even more economically illiterate and self-destructive because the troika would otherwise ensure that Greece’s economy was “utterly crippled.” As you know, the EU stands for “ever closer union.”

But Peston has been moved to new depths of propaganda and rage by the Greek “No” vote. In his July 6, 2015 column entitled “Huge costs of Greece staying in or quitting the euro” he lies by commission and omission. I’ll begin with his deceptive description of the ECB, which provides a “target rich environment.”

As for the ECB, it does not wish to be seen as Greece’s Judge Dredd. It will take its lead from any statement by eurozone government heads on whether there is a realistic chance of a new deal to rescue the finances of the ailing Greek state.

This would be an excellent opportunity for the “Economics editor” of one of the world’s top publications to bring economic facts to bear. The ECB is the EU’s central bank. A key role of a central bank is to provide liquidity to its banks – which include the Greek banks. The ECB, in response to the Greeks daring to vote democratically on whether to succumb to the ECB’s blackmail, pulled the provision of liquidity to Greek banks. So, the principal starting point of any analysis of the ECB’s role is to know that they deliberately refused to meet their responsibility to provide liquidity to the banks in order to extort the Greeks to exacerbate policies that ensure that the troika will increase the harm to the Greek people and economy rather than “rescue the finances of the ailing Greek state.”

in full: http://neweconomicperspectives.org/2015/07/bbc-propaganda-war-v-greece-reaches-new-low-after-no-vote.html

[beltanefauve]

1. We watch BBC America

and we've noticed the blatant propaganda.

[geek tragedy]

2. Oy, Black is shooting blanks on the ECB being obligated to give Greek banks a blank check.

It's authorized to provide liquidity, but:

1) its line of credit to the banks must be secured by collateral;
2) it can't lend to insolvent banks

If the EU were an actual nation it would have such responsibility, but since it's in this quasi-sovereign nebulous status, it doesn't.