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The composition of unemployment in Spain multiplies poverty and inequality. The poor are getting poorer because they have lost welfare and those most affected by the crisis are the most vulnerable to unemployment
JOAQUIN ESTEFANÍA
For more than sell books and television programs multiply forth the "positive thinking" (actually, magical thinking), it is very difficult to observe the economic crisis as an option overcomes. "Creative destruction" will come to those who survive, not for the millions of citizens who remain on the road. He tells the journalist Barbara Ehrenreich, in her wonderful book Smile or die: some people "that had been thrown out of work and was headed downhill without brakes into poverty, which is saying he should see his situation as a opportunity (...) The positive thinking person who not only feel better while looking for work, but that it would end this process before and more happily. "
Public policies are not adapting to the new situation and its risks
recovery does not, by itself, an immediate improvement in the distribution
This description is contrary to reality. Data begin to appear in Spain that provide insight into the first deep scars from the Great Recession in homes, in terms of poverty and income distribution. This initial assessment is not exactly conducive to a good deal of English: Unlike other crises in the 30 long years of English democracy, now there is more inequality because the poor are poor because they are losing welfare, the hardest hit sectors are the most vulnerable to unemployment (and not the pensioners and the elderly), because the composition of the labor market is key to interpret what is happening. And what's worse, government policies do not suit the new situation and the risks involved.
There are at least two studies that have analyzed this social restructuring in Spain, in light of various phenomena Concatenated exponential and compelling entry of immigrants in the last decade, attracted by job opportunities and living conditions, their limited expectations by the bursting of the housing bubble, which had been substantial growth model, and finally dashed, expectations of immigrants and much of the indigenous working population, by the great economic crisis we are installed. These two works are the Alternatives Foundation Report on Democracy in Spain (IDE-2011), forthcoming, in which the research team of Professor Ruiz-Huerta have delved into these matters, and the text entitled Poverty and deprivation material in Spain during the period 2004-2008: the economic boom at the beginning of the recession, by Professor Rosa Martínez.
To understand what happened in Spain in the three long decades of democracy, these can be divided into five stages. The first phase is represented by the long period of stagnation since the beginning of the oil crisis until the mid-eighties. Basically, the period when he ruled the UCD and PSOE something. Then there was a worsening of inequality and poverty, which even improved slightly. The intense destruction of employment and unemployment rate traffic of less than 5% to record more than 20% did not result in increased inequality and poverty because the wages in a highly inflationary period, and because they developed some of the components of the state welfare under the democratic process.
The second phase lasted from the mid-eighties to the first third of the nineties. Corresponds to the governments of Felipe González. In a situation in which most OECD countries, subordinated to the conservative revolution, especially the United States and United Kingdom-registered dramatic increases in inequality, it is reduced in Spain. "Causes?, Recovery of employment, although not able to significantly reduce the unemployment rate and most of the jobs are based on the increased seasonality, and redistributive spending increases with the implementation of new features and strengthening social programs that already existed.
The third phase is the recessive triennium 1992-1994, also with the Socialists in power. Brief but intense of stagnation, with negative rates of GDP growth. Unemployment rose 10 points (from 15% to 25%), and there was strong growth of poverty and inequality indicators, breaking the trend of previous decades.
The fourth phase from 1995 to the beginning of the current crisis in the summer of 2007. Final Executive socialist legislatures of both Aznar and Zapatero's early years. The prolonged period of growth does not offset the increases in poverty and inequality in the previous three: a large number of jobs created are low wage and largely temporary, there is a small increase during the early years, spending social, somewhat distancing to average EU levels, loss of capacity distributive income tax and reducing the redistributive effect of the monetary benefits due to increased number of beneficiaries and the estrangement of the amounts on the average levels of income, and so on.
The current phase of recession and stagnation has its own peculiarities negative. The most important of these is the rapid growth of the unemployment rate in the main breadwinners of the household (the old "man") which almost one million people. In previous crises, the negative effects of youth unemployment and spouses are offset by the use of supporters main and unemployment protection system, which avoided a sharp increase in both inequality and poverty and social tensions. In this context of crisis, unemployment of the main supporters has grown more and more rapidly than at any other time in history. Equally revealing in this sociological change is the number of households in which all assets are unemployed (well over a million). Finally, it is significant to note the increase in households who receive no earned income, no pension, no unemployment benefits (being its long-term unemployed members), is a population whose only resource is the access autonomous systems to minimum income, given the recent elimination of the temporary program of unemployment compensation and placement.
Conclusion: The volume of unemployment and its composition are the most tangible manifestation of the worsening of the indicators on the status of the distribution of income in relation to reasonable goals of equity. While the crisis has affected everyone, the ability to preserve and is very different depending on where a person is in the distribution of income. Has increased the risk of poverty among the unemployed, although it has improved the rate among pensioners.
Two final notes: Despite the efforts from policy public, inadequate protection measures unemployment, lack of coordination of regional minimum income and financial constraints of public authorities raise serious questions about the danger of social instability. Finally, analysts warn against a mirage: the economic recovery in the light of experience, does not imply an immediate improvement in the distributive variables, given the labor market segmentation and precariousness of many of the jobs created. Joaquin Estefania
is the director of the Report on Democracy in Spain, the Fundación Alternativas.

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