Monday, November 15, 2010

Compute Beginning Stockholders' Equity

Rivas Banana Republic 1, 0

On Saturday, the daily El Pais published in the International section two interesting news, models on the same page in the print edition: the Venezuelan financial system reform and Social Security reform German.



In both cases, the presentation of news perfectly reflects the newspaper's editorial line: on the one hand, speaking of the new Law of Banking Institutions driven by the Chavez government, can appreciate the obvious effort to demonize the Bolivarian process and totalitarianism caricatured as a banana. The use of the verb "seize" in the headline of the newspaper reveals that aggressiveness of Prisa, which accentuates the surreal references, and in the body of the story, the lack of profits of banks operating in Venezuela. Booty Poor, poor BBVA.

The Venezuelan financial system reform is on the table that will force banks to devote 5% of gross profits to social projects and community development, and create a fund equivalent to 10% of its capital social, to serve as a guarantee of payment to workers in case of bankruptcy or closure. Meanwhile, in Spain, the PP-PSOE clamp provides a blank check private banks to seize the savings.

the other hand, the dismantling of Social Security tax by the Executive German-liberal Democrat Angela Merkel, is part of the logic and rhetoric of the "structural" reforms required by the welfare state. Even the owner himself, "Merkel raised the tax to cover the deficit of health", could easily give the impression that action has been taken of progressive taxation to pay for German health spending when the harsh reality is that Chancellor Merkel has raised Social Security contributions of the great mass of wage laborers, while private insurers take a free hand to eat you land to public health.

Of course, Banana Republic is still that of Hugo Chavez, and one of the undisputed concerning the European social model, Germany.

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