Thread: Pictures From A Greek Soup Kitchen

Pictures From A Greek Soup Kitchen



Submitted by Tyler Durden on 02/14/2012 14:17 -0500

While we mock and ridicule the corrupt and often times purposefully obtuse Greek politicians, we often ignore the human cost in the equation (and so does the rest of the world). Unfortunately this is becoming an ever greater issue for a country that is rapidly devolving to sub-3rd world status. Because while we have previously discussed the miserable conditions for a country where ever more people are sliding out of the middle class and into poverty status, in reality it is far worse. Spiegel has profiled the new Misery in Athens where "aid workers and soup kitchens in Athens are struggling to provide for the city's "new poor." Since the economic crisis has taken hold, poverty has taken hold among Greece's middle class. And suicide rates have nearly doubled." Just like in the US, those in misery are growing exponentially, but the last thing anyone needs is a reminder of their existence. Yet perhaps they should, because when the Bastille moment hits, the spark to overthrow tyranny, especially that masking under the guise of democracy, will come precisely from the slums of the impoverished and disenfranchised, from those who have nothing left to lose. In Greece, with 28% of the population living "at risk of poverty or social exclusion" this moment may arrive any second.

Spiegel's report from an Athens soup kitchen must be read by all who think things like these no longer exist in modern EU countries:

If this crisis has reached Piraeus, then it's done a good job of hiding itself. Even on this cold February night, the luxury cars are lined up outside the chic, waterfront fish restaurants in this port suburb of Athens. But Leonidas Koutikas knows where to look. Not even 50 meters off the main promenade, around two corners, misery is everywhere. Koutikas finds a family of five living behind a tangled tent that has been attached to the wall of an apartment building.

Koutikas and his colleagues from the aid organization Klimaka are expected. They hand out their care packages here every night. "Each day the list of those in need gets longer," Koutikas says. He speaks from experience. Until recently, the 48-year-old was sleeping on the streets himself.

Athens has always had a problem with homelessness, like any other major city. But the financial and debt crises have led poverty to slowly but surely grow out of control here. In 2011, there were 20 percent more registered homeless people than the year before. Depending on the season, that number can be as high as 25,000. The soup kitchens in Athens are complaining of record demand, with 15 percent more people in need of free meals.

As yet, there are no reliable estimates as to the numbers of the "new poor," because the appropriate studies are lacking. Families can also mitigate the severity of many financial crashes. Those who have lost their jobs or their homes find accommodations with relatives before they ever make it into official statistics. That is especially true of the youngest victims of the financial crisis. "But with the government's many new austerity measures, along with the tax burdens, it is questionable how long the families can continue doing that," says Stamatogiannopoulou.

What is clear is that in 2010, almost 28 percent of Greeks, or 3.03 million people, lived at risk of poverty or social exclusion, according to numbers released last week by the EU statistical agency Eurostat. With the recession only having deepened since, it seems likely that the number of poor Greeks rose in 2011.

where personal tragedies...

Manos, who would prefer not to give his last name, is among the Greek poor. The man, in his mid-50's, is one of dozens of people to come to the Aghia Zoni church on a recent morning. "There are always more," says Father Immanuel, who has organized meals for the poor for 20 years. "Up until one or two years ago, we knew every face here. Today things are much different," he says.

The people in the church's courtyard are waiting for the cook Georgia to finally open the door. She has been at work in her kitchen in the church's basement for hours. When she opens the heavy steel door, there is a great rush to get in. Manos, too, gets noodle soup and bread. As he is eating, he tells a common story of losing his apartment and his job. He was born in lower-middle class Kypseli, an Athens neighborhood, and now he is sleeping in the cold on park benches. "I am a good salesman, honestly," he says. "I can sell anything." He then asks his German guest for his email address, and a few hours later he sends his resume with the request to pass it on. He hasn't given up.

And surging suicides...

The psychologist Eleni Bekiari knows what dark thoughts the crisis and its consequences have brought to Athenians. She staffs Klimaka's telephone number "1018." It is a 24-hour suicide hotline, and its statistics are clear. In 2010, there were about 2,500 calls made to the number. In 2011, there were twice as many. "Most of those who call us are women," she says. "On the other hand, it's usually the men who end up taking their lives."

Greece traditionally has one of the lowest suicide rates in Europe, but the increase has been dramatic. Since the beginning of the crisis, the suicide rate has almost doubled. In 2011, there were almost six suicides per 100,000 citizens. When the callers to the suicide hotline are asked for their reasons for suicidal thoughts, Bekiari says, they often answer with two words: the crisis.

...give the best grade for the 10 year failed experiment at a forced currency union and Keynesian lunacy taken to the n^th degree.







































http://www.zerohedge.com/news/pictur...k-soup-kitchen

Greek Economic Deterioration Accelerates As Q4 GDP Slides By 7%, Unemployment Over 20%


Submitted by Tyler Durden on 02/14/2012 08:06 -0500
There had been some hopes for Greece following the Q3 GDP number which slowed the decline in the country's economy when it dropped by just 5%, following drops of 8% and 7.3% in Q1 and Q2. These may have to be doused following a report that Q4 GDP came in at a disappointing -7%. As Athensnews reports: "The country's economic slump is headed towards a record annual plunge close to 7 percent in 2011, the fourth consecutive year of a deepening recession. After an official confirmation by the Hellenic Statistical Authority (Elstat) on Tuesday that GDP dropped 7 percent year-on-year in the fourth quarter of 2011, the economy has shrunk by an average of 6.8 percent. The latest quarterly contraction followed a slight slowdown of the depression in the preceding quarter, with GDP shrinking 5 percent due to the customary seasonal surge of tourist revenues in the summer." The full year drop was a record 6.8%, compared to the expected 6% projected in the 2012 budget. No comment there.

Keep in mind that the closer one gets to 0%, the slower the rate of decline gets usually - Newton's law of freefall does not quite apply to Keynesian economics. Regardless, this means that jobs are being lost left and right in this country of 11 million people: "The decline in the last quarter explains the surge in the jobless rate above 20 percent or 1.036 million unemployed in November." Well, at least the Greek labor participation rate is tracking that of the US, as this means that 4 million people oout of 11 work. On the other hand, at least Greece can boast that it has better employment stats than Spain with its 23% Q4 unemployment. In fact, Greece can boast a better industrial number than Germany when December output fell just 2.4% compared to Berlin's 2.7%. Finally don't forget that courtesy of recent riots, the favorable economic impact to local GDP will be massive - after all torching, pillaging and otherwise smashing windows is a Keynesian's wet dream.

Greek Economic Deterioration Accelerates As Q4 GDP Slides By 7%, Unemployment Over 20% | ZeroHedge

Beware of Greeks Bearing Bonds
As Wall Street hangs on the question “Will Greece default?,” the author heads for riot-stricken Athens, and for the mysterious Vatopaidi monastery, which brought down the last government, laying bare the country’s economic insanity. But beyond a $1.2 trillion debt (roughly a quarter-million dollars for each working adult), there is a more frightening deficit. After systematically looting their own treasury, in a breathtaking binge of tax evasion, bribery, and creative accounting spurred on by Goldman Sachs, Greeks are sure of one thing: they can’t trust their fellow Greeks.
By Michael LewisPhotograph by Jonas Fredwall Karlsson



After an hour on a plane, two in a taxi, three on a decrepit ferry, and then four more on buses driven madly along the tops of sheer cliffs by Greeks on cell phones, I rolled up to the front door of the vast and remote monastery. The spit of land poking into the Aegean Sea felt like the end of the earth, and just as silent. It was late afternoon, and the monks were either praying or napping, but one remained on duty at the guard booth, to greet visitors. He guided me along with seven Greek pilgrims to an ancient dormitory, beautifully restored, where two more solicitous monks offered ouzo, pastries, and keys to cells. I sensed something missing, and then realized: no one had asked for a credit card. The monastery was not merely efficient but free. One of the monks then said the next event would be the church service: Vespers. The next event, it will emerge, will almost always be a church service. There were 37 different chapels inside the monastery’s walls; finding the service is going to be like finding Waldo, I thought.

“Which church?” I asked the monk.

“Just follow the monks after they rise,” he said. Then he looked me up and down more closely. He wore an impossibly long and wild black beard, long black robes, a monk’s cap, and prayer beads. I wore white running shoes, light khakis, a mauve Brooks Brothers shirt, and carried a plastic laundry bag that said eagles palace hotel in giant letters on the side. “Why have you come?” he asked.

How on earth do monks wind up as Greece’s best shot at a Harvard Business School case study? I work up the nerve to ask.

That was a good question. Not for church; I was there for money. The tsunami of cheap credit that rolled across the planet between 2002 and 2007 has just now created a new opportunity for travel: financial-disaster tourism. The credit wasn’t just money, it was temptation. It offered entire societies the chance to reveal aspects of their characters they could not normally afford to indulge. Entire countries were told, “The lights are out, you can do whatever you want to do and no one will ever know.” What they wanted to do with money in the dark varied. Americans wanted to own homes far larger than they could afford, and to allow the strong to exploit the weak. Icelanders wanted to stop fishing and become investment bankers, and to allow their alpha males to reveal a theretofore suppressed megalomania. The Germans wanted to be even more German; the Irish wanted to stop being Irish. All these different societies were touched by the same event, but each responded to it in its own peculiar way. No response was as peculiar as the Greeks’, however: anyone who had spent even a few days talking to people in charge of the place could see that. But to see just how peculiar it was, you had to come to this monastery.

Q&A: Michael Lewis talks about the banks that brought down Greece.

I had my reasons for being here. But I was pretty sure that if I told the monk what they were, he’d throw me out. And so I lied. “They say this is the holiest place on earth,” I said.

I’d arrived in Athens just a few days earlier, exactly one week before the next planned riot, and a few days after German politicians suggested that the Greek government, to pay off its debts, should sell its islands and perhaps throw some ancient ruins into the bargain. Greece’s new socialist prime minister, George Papandreou, had felt compelled to deny that he was actually thinking of selling any islands. Moody’s, the ratings agency, had just lowered Greece’s credit rating to the level that turned all Greek government bonds into junk—and so no longer eligible to be owned by many of the investors who currently owned them. The resulting dumping of Greek bonds onto the market was, in the short term, no big deal, because the International Monetary Fund and the European Central Bank had between them agreed to lend Greece—a nation of about 11 million people, or two million fewer than Greater Los Angeles—up to $145 billion. In the short term Greece had been removed from the free financial markets and become a ward of other states.

That was the good news. The long-term picture was far bleaker. In addition to its roughly $400 billion (and growing) of outstanding government debt, the Greek number crunchers had just figured out that their government owed another $800 billion or more in pensions. Add it all up and you got about $1.2 trillion, or more than a quarter-million dollars for every working Greek. Against $1.2 trillion in debts, a $145 billion bailout was clearly more of a gesture than a solution. And those were just the official numbers; the truth is surely worse. “Our people went in and couldn’t believe what they found,” a senior I.M.F. official told me, not long after he’d returned from the I.M.F.’s first Greek mission. “The way they were keeping track of their finances—they knew how much they had agreed to spend, but no one was keeping track of what he had actually spent. It wasn’t even what you would call an emerging economy. It was a Third World country.”

As it turned out, what the Greeks wanted to do, once the lights went out and they were alone in the dark with a pile of borrowed money, was turn their government into a piñata stuffed with fantastic sums and give as many citizens as possible a whack at it. In just the past decade the wage bill of the Greek public sector has doubled, in real terms—and that number doesn’t take into account the bribes collected by public officials. The average government job pays almost three times the average private-sector job. The national railroad has annual revenues of 100 million euros against an annual wage bill of 400 million, plus 300 million euros in other expenses. The average state railroad employee earns 65,000 euros a year. Twenty years ago a successful businessman turned minister of finance named Stefanos Manos pointed out that it would be cheaper to put all Greece’s rail passengers into taxicabs: it’s still true. “We have a railroad company which is bankrupt beyond comprehension,” Manos put it to me. “And yet there isn’t a single private company in Greece with that kind of average pay.” The Greek public-school system is the site of breathtaking inefficiency: one of the lowest-ranked systems in Europe, it nonetheless employs four times as many teachers per pupil as the highest-ranked, Finland’s. Greeks who send their children to public schools simply assume that they will need to hire private tutors to make sure they actually learn something. There are three government-owned defense companies: together they have billions of euros in debts, and mounting losses. The retirement age for Greek jobs classified as “arduous” is as early as 55 for men and 50 for women. As this is also the moment when the state begins to shovel out generous pensions, more than 600 Greek professions somehow managed to get themselves classified as arduous: hairdressers, radio announcers, waiters, musicians, and on and on and on. The Greek public health-care system spends far more on supplies than the European average—and it is not uncommon, several Greeks tell me, to see nurses and doctors leaving the job with their arms filled with paper towels and diapers and whatever else they can plunder from the supply closets.

“The Greek people never learned to pay their taxes .... because no one is ever punished. It’s like a gentleman not opening a door for a lady.”

Where waste ends and theft begins almost doesn’t matter; the one masks and thus enables the other. It’s simply assumed, for instance, that anyone who is working for the government is meant to be bribed. People who go to public health clinics assume they will need to bribe doctors to actually take care of them. Government ministers who have spent their lives in public service emerge from office able to afford multi-million-dollar mansions and two or three country homes.

Oddly enough, the financiers in Greece remain more or less beyond reproach. They never ceased to be anything but sleepy old commercial bankers. Virtually alone among Europe’s bankers, they did not buy U.S. subprime-backed bonds, or leverage themselves to the hilt, or pay themselves huge sums of money. The biggest problem the banks had was that they had lent roughly 30 billion euros to the Greek government—where it was stolen or squandered. In Greece the banks didn’t sink the country. The country sank the banks.



Beware of Greeks Bearing Bonds | Business | Vanity Fair



“Democracy destroys itself because it abuses its right to freedom and equality. Because it teaches its citizens to consider audacity as a right, lawlessness as a freedom, abrasive speech as equality, and anarchy as progress.”


This is a long article 8 pages too long to bring over but I found it interesting and informative and a great read