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France: The Incredible Shrinking President

France: The Incredible Shrinking President

Macron’s Popularity Collapses While Interior Minister Predicts Civil War
I’ve said it before and I’ll say it again: Emmanuel Macron, the current president of the French Republic, is a weird dude. Now, after just 18 months in power, he is also a very unpopular dude. The French media have been making much of the fact that Macron’s prime minister, Édouard Philippe, has been slightly more popular than the president in certain polls. But really, what we are seeing is an almost perfect parallel collapse in popularity of both personalities.

That French presidents are unpopular is nothing new. However, there is a secular trend in them getting unpopular more and more quickly upon getting into office. True, Macron is not as unpopular after 18 months as was the hapless and squishy François Hollande, who could deliver on virtually none of his Socialist economic promises. However, Macron as collapsed in popularity more quickly than Nicolas Sarkozy did, who was a one-term president.

The English-speaking Macron said he wanted to turn France into a “start-up nation.” A bold ambition, but it’s worth remembering that 90% of start-ups go bankrupt.

I personally don’t understand the French electorate on these matters. Macron in particular did not promise anything other than to deliver more of the same policies, albeit with more youth and more vigor, as a frank globalist. Who, exactly, was excited at his election but is disappointed now? People with a short attention span or susceptibility to marketing gimmicks, I assume.

It is hard to talk about the French media without getting a bit conspiratorial, at least, I speak of “structural conspiracies.” Macron’s unabashed, “modernizing” globalism certainly corresponds to the id of the French media-corporate elites and to top 20% of the electorate, let us say, the talented fifth. 

…click on the above link to read the rest of the article…

France Takes The Lead In Protecting Iran Oil Trade From U.S. Sanctions

France Takes The Lead In Protecting Iran Oil Trade From U.S. Sanctions

Tank farm

France aims to lead the European Union (EU) efforts in defying U.S. sanctions on Iran, by supporting the creation of a payment mechanism to keep trade with Iran and making the euro more powerful, France’s Economy Minister Bruno Le Maire said in an interview with the Financial Times.

“Europe refuses to allow the US to be the trade policeman of the world,” Le Maire told FT, adding that the EU needs to affirm its independence in the rift between the EU and the United States over the sanctions on Iran.

The EU has been trying to create a special purpose vehicle (SPV) that would allow the bloc to continue buying Iranian oil and keep trade in other products with Iran after the U.S. sanctions on Tehran return.

The idea behind the SPV is to have it act as a clearing house into which buyers of Iranian oil would pay, allowing the EU to trade oil with Iran without having to directly pay the Islamic Republic.

As the U.S. sanctions on Iran snapped back on Monday, the SPV hasn’t been operational and reports have had it that the undertaking is very complicated and politically sensitive. The bloc is also said to be struggling with the set-up, because no EU member is willing to host it for fear of angering the United States, the Financial Times reported recently, citing EU diplomats.

On Monday, the Belgium-based international financial messaging system SWIFT said that it would comply with the U.S. sanctions on Iran and would cut off sanctioned Iranian banks from its network. This was a blow to the EU’s attempts to defy the U.S. sanctions.

…click on the above link to read the rest of the article…

Why’s France so Worried about Italy’s Showdown with Brussels?

Why’s France so Worried about Italy’s Showdown with Brussels?

The French megabanks are on the hook.

France was just served with a stark reminder of an inconvenient truth: €277 billion of Italian government debt — the equivalent of 14% of French GDP — is owed to French banks. Given that Italy’s government is currently locked in an existential blinking match with both the European Commission and the ECB over its budget plan for 2019, this could be a big problem for France.

On Friday, France’s finance minister, Bruno Le Maire, urged the commission to “reach out to Italy” after rejecting the country’s draft 2019 budget for breaking EU rules on public spending. Le Maire also conceded that while contagion in the Eurozone was definitely contained, the Eurozone “is not sufficiently armed to face a new economic or financial crisis.” As Maire well knows, a full-blown financial crisis in Italy would eventually spread to France’s economy, with French banks serving as the main transmission mechanism.

France isn’t the only Eurozone nation with unhealthy levels of exposure to Italian debt, although it is far and away the most exposed. According to the Bank of International Settlements, German lenders have €79 billion worth of exposure to Italian debt and Spanish lenders, €69 billion. In other words, taken together, the financial sectors of the largest, second largest and fourth largest economies in the Eurozone — Germany, France and Spain — hold over €415 billion of Italian debt on their balance sheets.

While the exposure of German lenders to Italian debt has waned over the last few years, that of French lenders has actually grown, belying the ECB’s long-held claim that its QE program would help reduce the level of interdependence between European sovereigns and banks.

…click on the above link to read the rest of the article…

French FinMin: The Euro Zone Is Not Prepared To Face A New Crisis

Europe finds itself at a troubling crossroads: while on one hand the official narrative emanating from Brussels and Berlin (and, of course, the ECB) is that there is no risk of contagion from Italy’s budget crisis in the European Union, on the other hand the euro zone is “not prepared enough to face a new economic crisis”, French Finance Minister Bruno Le Maire told daily Le Parisien on Sunday.

“We do not see any contagion in Europe. The European Commission has reached out to Italy, I hope Italy will seize this hand,” he said in an interview.

“But is the eurozone sufficiently armed to face a new economic or financial crisis? My answer is no. It is urgent to do what we have proposed to our partners in order to have a solid banking union and a euro zone investment budget.”

Le Maire’s remarks come just days after the European Commission rejected Italy’s draft 2019 budget earlier this week for breaking EU rules on public spending, and asked Rome to submit a new one within three weeks or face disciplinary action. And while Brussels officials said that Rome’s “unprecedented” standoff with Brussels seems certain to delay the reform process and probably dilute it for good, Italy has remained defiant and has repeatedly said it would not budge on its target deficit at 2.4% of GDP.

The standoff between Italy and the EU, and concerns about who will buy Italian debt after the ECB ends its QE at the end of the year, has sent Italian yields soaring to the highest level in nearly 5 years.

…click on the above link to read the rest of the article…

New WikiLeaks Release Exposes Corruption in UAE Arms Deal Fueling War on Yemen

New WikiLeaks Release Exposes Corruption in UAE Arms Deal Fueling War on Yemen

Though the corruption detailed in the newly leaked document took place decades ago, it highlights how lucrative arms deals are often enough incentive for governments to bend the rules in order to keep weapons and cash flowing, no matter the consequences.

The impacts of electrification – the example of France

The impacts of electrification – the example of France

A number of “100% renewable” studies foresee wholesale electrification as the best way to cut emissions. In this post I compare load curves from three European countries where electric heating is not widely used (Spain, Germany and Poland) with one where it is (France). The annual load curves for Spain, Germany and Poland do not show large seasonal load variations or high winter peak loads, but because of electric heating the load curve for France shows both large seasonal variations and a strong winter peak. France’s electric heaters will therefore have offset a substantial tonnage of CO2 emissions at the expense of making the grid more difficult to manage. Considerations such as the performance of France’s nuclear fleet and the impact of France’s electric heaters on “demand response” are also discussed.

Figure 1 shows the locations of the four countries considered. They have a combined population of 235 million, a combined GDP of $8.1 trillion and cover an area of 1.8 million square kilometers:

Figure 1: Country locations

A few basic statistics are listed in Table 1 for reference:

As discussed in numerous previous posts, matching electricity supply to demand (load) 24/365 in a country where a high fraction of generation is provided by intermittent renewables is problematic if not impossible. Regardless of the generation mix, however, the problem will usually be lessened if the annual load curve does not show significant seasonal variations. Three of the four countries considered, Poland, Spain and Germany, show no large seasonal variations except during the Christmas/New Year holiday season in Germany. (All the data used in this post are from the P-F Bach hourly data for 2015except where otherwise specified:)

…click on the above link to read the rest of the article…

Macron Says “France Won’t Deal with Countries that Don’t Respect Climate Accord”

French President Emmanuel gave a blistering speech at the UN pointed at Trump. I suggest Macron should look at Germany.

Hoot of the Day

French president Emmanuel Macron is calling on other countries to join him in refusing to sign new deals with ‘powers that do not respect’ the Paris Accord

Emmanuel Macron has announced France will no longer accept “commercial agreements” with countries that do not “respect” the Paris Climate Accord during a fiery speech at the United Nations General Assembly.

The French president called for the upholding of trade rules that “guarantee fair competition on equal footing” during his Tuesday speech, following a Monday afternoon meeting with Donald Trump and the US president’s speech on Monday morning. Mr Macron appeared defiant towards Mr Trump, suggesting he’d no longer negotiate trade deals with the US after its withdrawal from the climate agreement last year.

“We will no longer sign commercial agreements with powers that do not respect the Paris accord,” Mr Macron said without directly referencing Mr Trump or the US.

What a Hoot

I suggest France start with Germany.

German Parties Agree to Drop 2020 Climate Goal

Angela Merkel’s conservatives and the center-left Social Democrats (SPD) agreed during preliminary coalition talks to give up the country’s climate goal for 2020, according to media reports.

The two blocs decided that reaching the goal — to cut carbon dioxide emissions by 40 percent from 1990 levels by 2020 — is unrealistic.

Germany Fails Paris Climate Accord Test

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Decoding Putin’s Response to Attack in Syria

Decoding Putin’s Response to Attack in Syria

The fog of war and geopolitics makes initial responses to the attack on Russian and Syrian forces recently difficult to assess.

Russian President Vladimir Putin’s response seemed timid and was at odds with statements from his Defense Minister Sergei Shoigu and more recent statements from Russia’s Foreign Ministry.

Putin backed off on explicitly blaming Israel for the downing of the IL-20 ELINT aircraft which killed 15 Russian servicemen, but made it clear he holds them responsible for the attack as a whole.

My thoughts on what the goals of the attack were are the focus of my latest article at Strategic Culture Foundation.  

It was obvious to me that this attack was designed as a provocation to start World War III in Syria and blame the Russians for attacking a NATO member without proper cause, since the Syrian air defense forces were the ones responsible for shooting down the plane.

Lying us into war is a time-honored American political tradition, whether we’re talking Fort Sumter, Pearl Harbor or the Gulf of Tonkin.  All of these incidents were avoidable by Presidents intent on getting into a conflict while simultaneously playing the victim card by getting the other side to shoot first.

I’m sorry if that is a controversial statement but the historical record on them is very, very clear.

From Strategic Culture:

The setup is pretty clear. Israel and France coordinated an attack on multiple targets within Syria without US involvement but with absolute US knowledge of the operation to provoke Russia into going off half-cocked by attacking the inconsequential French frigate which assisted Israel’s air attack.

Any denunciation of sinister intent by Israeli Defense Forces is hollow because if they had not intended to provoke a wider conflict they would have given Russia more than one minute to clear their planes from the area.

…click on the above link to read the rest of the article…

False Flag Stage Set: US, UK, France Threaten Syria with Much Stronger Action

The US, UK and France threaten Syria with much stronger action if Assad uses chemicals. A rebel false flag stage is set.

The U.S. is working with France and the U.K. on plans for a coordinated military strike in Syria if the regime uses chemical weapons in an expected offensive against the country’s last major rebel haven, President Trump’s national security adviser said.

John Bolton warned Monday that a new attack by the Western allies would be much stronger than the two airstrikes launched in April 2017 and April 2018 after Syrian President Bashar al-Assad was accused of using chemical weapons that killed scores of civilians in the past 17 months.

“We’ve been in consultation with the British and the French, who joined us in the second strike, and they also agree that another use of chemical weapons will result in a much stronger response,” Mr. Bolton said after giving a speech in Washington.

The coordinated planning comes as the U.S. and its allies are trying to stave off a Syrian offensive in the country’s northwest, where more than 3 million civilians and as many as 70,000 militants are bracing for an attack.

U.S. officials estimate that 10,000 to 15,000 of the Syrian rebels in Idlib province are aligned with al Qaeda, and the Pentagon has urged Russia and Syria to carry out a targeted campaign against those forces. The two countries have rebuffed the appeal.

False Flag Official Denial

Mr. Bolton dismissed accusations made by Russia that the U.S. and its allies are working with Syrians to stage a chemical weapons attack as a pretext for Western military strikes.

…click on the above link to read the rest of the article…

US, France, and UK In Direct Talks Over Possible Syria Strikes

“That has to be, in the history of propaganda in the 20th and 21st centuries, one of the most outrageous claims that I can think of,” John Bolton stated in response to Moscow’s charge that anti-Assad insurgents in Idlib are preparing a chemical false flag in order to hasten a US attack on Damascus, according to a new Wall Street Journal report.

“Along with the United States and France, we have been clear that we will respond swiftly and appropriately if the Assad regime repeats its appalling use of chemical weapons,” he vowed, echoing statements the national security advisor began making weeks ago during a trip to Jerusalem.

The WSJ has revealed the White House is now in direct talks with the U.K. and France over plans for a possible third round of coordinated strikes on Syriashould the Syrian Army use chemical weapons during its Idlib assault.

After a speech in Washington on Monday, Bolton told reporters, “We’ve been in consultation with the British and the French, who joined us in the second strike, and they also agree that another use of chemical weapons will result in a much stronger response.”

The news comes a day after Bolton indicated during a speech that the US and its allies Syria would respond with much “stronger” and harsher action against Damascus. 

Also, early this week there were reports that Germany is mulling over whether to agree to a request by the United States that it join any potential strikes on Syria, though such a move is expected to be too politically divisive for Germany to agree.

…click on the above link to read the rest of the article…

Russian Media Irritates French Government: Curbing Press Freedom

Russian Media Irritates French Government: Curbing Press Freedom

Russian Media Irritates French Government: Curbing Press Freedom

The report titled Information Manipulation: a Challenge for Our Democracies prepared by two government-linked think tanks – the French Foreign Ministry’s Center for Analysis, Planning and Strategy (CAPS) and the Defense Ministry’s Institute for Strategic Studies (IRSEM) – saw light on Sept.4. The paper urges the French government to “name and isolate” outlets that act as “foreign propaganda organs.” It suggests that journalists of Russian RT and Sputnik news outlets should not be accredited or invited to press conferences. “It’s important never to grant [these organizations] accreditation rather than to invite them to press conferences for journalists,” the document states.

Moscow is the prime target of the efforts to curb freedom of speech. The 200-page long report mentions Russia 60 times, the word Kremlin is used 48 times, Sputnik is referred to 14 times and RT is also not forgotten with the abbreviation repeated 10 times. The authors say they express personal opinions but it’s hard to believe it as they work for the government.

The French administration has demonstrated its hostile attitude toward the Russian outlets a number of times. Last year, President Emmanuel Macron accused them of having spoken “mistruths” about him and his campaign behaving not as “media outlets and journalists” but as “organs of influence, propaganda, and false propaganda.” That’s what he affirms though not a single example of spreading misinformation by the Russian media outlets has ever been provided.

The activities of Russian journalists in France are often obstructed. It’s not unusual for them to become victims of harassment. For instance, when RT France channel started to broadcast last December, 11 French public figures called on the county’s broadcasting watchdog Conseil superieur de l’audiovisuel (CSA) to recall its license.

…click on the above link to read the rest of the article…

John Law–300 Years On

Most people are aware that historically there have been speculative bubbles. Some of them can even name a few – the South Sea bubble, tulips, and more recently dot-coms. Some historians can go even further, quoting the famous account by Charles Mackay of the South Sea bubble, the tulip mania and the Mississippi bubble, published in the mid-nineteenth century.

The most valuable bubble empirically for the purpose of our elucidation has to be the Mississippi bubble, whose central figure was John Law. Law, a Scotsman whose father’s profession was as a goldsmith and banker in Edinburgh, set up an inflation scheme in 1716 to rescue France’s finances. He proposed to the Regent for the infant Louis XIV a scheme that would be based on a new paper currency.

Law was a somewhat louche character, who in his Continental travels had spent his mornings studying finance and the principles of trade, and the evenings in the gaming-houses of Europe. He was a successful gambler, because of his ability to calculate odds.

Some similarities with the personality of Keynes two hundred years later are striking. Keynes was a mathematician first, and an economist second. Their approach was also similar: see a problem and try to find a solution, instead of seeing a problem and trying to understand why it existed before solving it. Both Law and Keynes felt that sound money was too restrictive for the enhancement of an economy.

Consequently, much of what Law proposed and then enacted in France rhymes with our neo-Keynesian world today. The difference, perhaps, is that when given the opportunity Law seized it, and had ultimate financial and monetary power. He harnessed the roles of a central bank, monopolist in international trade, stock promoter and finance minister.

…click on the above link to read the rest of the article…

NATO is a Con Game

Marc Riboud Forbidden City under the snow, Beijing 1957

Okay, well, Trump did it again. Antagonizing allies. This time it was Germany that took the main hit, over the fact that it pays Russia billions of dollars for oil and gas while relying on the US for its defense … against Russia. And yes, that is a strange situation. But it’s by no means the only angle to the story. There are many more.

For one thing, The US has by far the largest military industry. So it makes a lot of money off the billions already spent by NATO partners on weaponry. Of course Raytheon, Boeing et al would like to see them spend more. But once they would have done that, they would clamor for even more after.

At some point one must ask how much should really be spent. How much is enough, how much is necessary. The military-industrial complex (MIC) has every reason to make the threat posed by ‘enemies’ as big as they possibly can. So knowing that, we must take media reports on this threat with tons of salt.

And that is not easy. Because the MIC has great influence in politics and the media. But we can turn to some numbers. According to GlobalFirePower, the US in 2018 will spend $647 billion on its military, while Russia is to spend a full $600 billion less, at $47 billion. And the US Senate has already voted in a $82 billion boost recently.

There are other numbers out there that suggest Russia spends $60 billion, but even then. If Moscow spends just 10% of the US, and much less than that once all NATO members’ expenditure is included, how much of a threat can Russia realistically be to NATO?

…click on the above link to read the rest of the article…

Large-Scale Riots Continue In France For 4th Night

Riots continue in France after a 22-year-old Aboubakar Fofana lost his life in police control on Tuesday. The Compagnies Républicaines de Sécurité (CRS) official responsible for the has been indicted but remains free under judicial supervision. This decision has rekindled tensions in Orvault, Rezé, and the neighborhoods of Nantes, Breil, and Bellevue.

Ouest-France reports that the security forces wiped Molotov cocktails at Breil and Bellevue and responded with tear gas grenades.

As GEFIRA reports, for four nights straight, there have been riots between African migrants and the French police in the city of Nantes. The riots began after the police stopped and shot an alleged criminal, named Abubakar.

On Wednesday the police declared that they shot the African young man in self-defense after he tried to overrun a police-officer.

The scale of the current riots is more extensive than we see now on a regular basis in the French suburbs. The rioters torched numerous cars, a petrol station, a community library, a school and several shops.

There is even a report that a bullet from a rifle damaged a police officer helmet.

Friday afternoon the police admitted that the killing of Abubakar was not self-defence but an accident.

The  GEFIRA team expect riots in France to become more and more violent and eventually lethal. Like most Western European societies and the US, the demographic change and the gradual replacement will come with a hefty price.

There are signs that white French bourgeoisie youth will join the violent protests, like Black bloc and Antifa.

Minutes after the deadly shooting incident in Nantes on Tuesday 3 July 2018

Face to face between FN and anti-fascists in . Front National came to support the CRS (police).

…click on the above link to read the rest of the article…

Trump Lashes Out At Macron, Trudeau Ahead Of “G6+1” Summit

Tomorrow’s G7, or rather G6+1 meeting, is shaping up to be one for the ages.

As we reported previously, chancellor Merkel already was setting the ground for the Toronto showdown among the world’s top political leaders, vowing to challenge Donald Trump on virtually every issue, from trade to climate, and warning that the lack of room for compromise means leaders may fail to agree on a final statement, an unprecedented event at a summit of the world’s 7 most advanced nations.

Then, earlier today, in comments made alongside Canada PM Justin Trudeau in Ottawa, French President Emmanuel Macron said that no head of state is “eternal” and that he stands ready to work with the six other Group of Seven members if U.S. wants to stand alone.

You say President Trump doesn’t care. Maybe. But none of us are eternal and our countries, the commitments taken, go beyond us. None of us who have been elected by the people can say ‘all prior commitments disappear.’ It’s just not true, there is a continuity in state affairs at the heart of international laws. Sometimes we’ve inherited some commitments that weren’t core to our beliefs, but we stuck to them, because that is how it works for nations. And that will be the case for the United States – like for every great democracy”, Macron said quoted by Bloomberg.

The common theme: the rest of the world is desperate to show just how united it is again Trump, perhaps in hopes of subduing him and quashing his opposition.

Good luck with that.

Shortly after the constant barrage of anti-Trump rhetoric out of the G6, Trump on Thursday was quick to take even more jabs at Canada and France on the eve of the G-7 summit.

In a tweet, Trump accused the U.S. allies of levying “massive tariffs” and creating “non-monetary barriers.”

…click on the above link to read the rest of the article…

Olduvai IV: Courage
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Olduvai II: Exodus
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