What if...? Some whispers to Rajoy
Tuesday, November 24, 2009 @ 11:59 AM
I am starting today a new serie of blogpost named " What if..." for those posts which are not a legal tip so you can have more variety and fun. They generally are some commentaries of social, political, cultural events. I promise they will be secondary to the legal tips as theese last ones are what I am here for... your education in Spanish Law.
I would certainly appreciate suggestions on legal topics you want me to cover. Come on!
let´s start sith What if...? Number 1 and some phrases by Mariano Rajoy yesterday to “The Economist”: some proposals by us too:
Rajoy: “Ultimately the optimism that I argue when discussing the future of Spanish economy is based on the adjustment capacity of our businesses and our families: debt reduction, cost containment and the pursuit of international markets are positive factors already on the way” All this is being done and at an accelerated rate. Once again the Spanish society has proved its ability to adapt to circumstances.
Maria: Containment, adjustment capacity and taste for the foreign neighbours: all in the blood of Andalusians maybe because of our family oriented culture. We can do it, wonderfully, we just need to believe we can and give value to what has always been genuinely ours: potajes, ferias, romerias, rosquillas compartidas, and aquí hay sitio pa´ to´s….traditional inexpensive fun full with life and colour which naturally attracts visitors more than other artificial paradises we were constructing lately.
Rajoy: The exercise must be, therefore, the opposite. We have to define what we have money for and what we do not have money for and see who is competent to manage that money.
Maria: Ok. Let´s show some guidelines to financial institutions. They need rules, extra-finantial orientation and reality. It seems they sometimes just lose the contact with real life.
Rajoy: In the second, in the financial market, much remains to be done. The restructuring has only just begun. It has to do orderly and efficient. The only reasons that should prevail in the when making decisions have to be economic, and rules of game must be equal for all. On this issue I just want to say a thing: a solid and reliable financial sector is the only instrument capable to
grant credit to the Spanish production, credit which does not have right now. On this subject I would like to make additional observations: The lack of dynamism in the housing market is preventing the sanitation of the financial institutions and this in turn limits the credit they grant to businesses and families.
Maria: Oh my! I Think is exactly the opposite: the lack of dynamism of the financial institutions is over collapsing the housing market and this is deteriorating businesses and families. They, who over financed and over provided for the the building of that huge stock of houses need to responsibly now lead the adjustment of the markett o be rationally and balanced-ly absorbed by their addressees. The little persons, those for whom institutions exixst. If not…. Banks are no more than egocentric institutions that need to be punished for this anti-social behaviour.
Rajoy: We must break this vicious cycle. It has increased fivefold, from 88 to 420 days, the average time selling the property, and it is estimated that the financial sector will take over some 100,000 properties in late 2009 and many more in 2010. Many unsold homes, and many of them in the hands of the entities financial. It is necessary to sell, and therefore propose that those entities to be restructured with public money, in the Froben, offered for sale at deep discounts their property. It would streamline the market and would reduce the unsold properties and socially affordable housing could be in the market.
Maria: Yeah! That is dynamism of the financial sector affecting positively the housing market and life of businesses and economies. Social responsibility for Banks. Social Responsibility for Banks.