Portuguese Protests Against Austerity

By: Ian Campbell | Fri, Sep 21, 2012
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Portugal in 2011 was, measured by GDP, the 10th largest Eurozone economy (of 17 countries), and the 42nd largest economy in the world. Portugal's population is about 10.5 million.

It is reported that on Saturday, September 15, over one million Portuguese (about 10% of the population, something to think about) participated in protests over government actions that would see social contributions by workers rise by about 63%, and by companies fall by about 28%.

A meeting of Portugal's State Council is scheduled for today in an effort to diffuse what is said to be a potential political crisis.

Life in the end isn't complicated. Take things away from people that they have enjoyed, they become unhappy. Take enough things away from people, they become angry. If enough people become angry enough, look out below.

The old saying 'you can't get blood from a stone' seems relevant in the context of some countries simply running out of money, and not just Portugal. Watch to see what further develops in Portugal by way of social unrest, if for no reason other than as a proxy on what may happen in other countries where populaces are forced to cut back on their living standards.

Topical Reference: Portugal in crisis after 1 million say No to austerity, from EUObserver, Valentina Pop, September 20, 2012 - reading time 2 minutes.



Ian Campbell

Author: Ian Campbell

Ian R. Campbell, FCA, FCBV
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