A swift independent analysis of the Dutch response to the financial crisis is necessary. The Dutch government should start thinking independently. Only then might they be able to face the financial crisis and serve the interests of the Dutch population.

Dutch savings and response to the financial crisis

The Dutch are known for their carefulness when it comes to spending their hard earned savings. My grandmother allowed us to take only one cookie when visiting her. She used to have her attic filled with stuff because, as the Dutch proverb says: ‘those who save something, have something’. While the financial crisis is worsening most people in my surroundings are remotely interested in possible consequences politics might have on their lives. The Dutch government might be shooting its bullets by first bailing out Dutch banks and now even saving entire EU member states. The upcoming recession will most probably only hit harder when politicians continue ignoring systemic causes of the crisis.

The stunning part of the financial crisis so far to me is that people do not want to know about problems unless it affects them in their personal situation. You are ridiculed when providing a critical note. When the situation got worse in Latvia, Greece and Spain, the Dutch cared about it, but only remotely. The Dutch will not protest when the government is bailing out Greece. They will however protest when faced with increased budget cuts on education, job losses and high inflation.

Open debate please

The Netherlands have so far been fully supportive of Greece. Whether such financial support should be continued is however heavily debated upon. The debate is, according to me, not very open, as opponents are sidelined. The chair of The Dutch Bank, Nout Wellink, called Dutch politician Geert Wilders (Freedom Party) a ‘false prophet’ for boldly stating that the Netherlands should stop financial support to Greece. The Dutch Socialist Party takes the stance that Dutch banks should co-finance any support to Greece. The Christian Democrats are divided on the matter. All other parties favour financial support to Greece supervised by the IMF. I believe any further financial support should at least be independently analysed.

It might be doubtful whether the chair of the Dutch Bank is really interested in serving people when he is demonising Geert Wilders’ stance on this matter. Geert Wilders is heavily criticised by some, while worshiped by others because he describes the Islam as ‘a threat to Western freedom’. This stance has discredited him with his opponents. One topic is not the other. What if he is right that it might not be in the interest of the Dutch population to now continue financial support for Greece and other European countries later on?

Systemic government flaws in responding to the financial crisis

People who are not responsible are currently paying the bill. Although criticism is rare, Tegenlicht produced an interesting documentary ‘Bend or Break’ on the financial crisis. Jim Rogers states in an interview with Tegenlicht:

‘The governments robbed its citizens. Governments took money from the citizens and gave it to the banks.. It’s the government who stole the money, instead of the government saying: fail!’.

Dutch video ‘bend or break (2/5)’ by Tegenlicht on the effects of the crisis on the Netherlands with Jim Rogers, Marc Faber and Ann Pettifor, some Dutch and Latvian comments (skip if you do not understand).

Criticism is easily sidelined in the debate stating that the consequences of not saving the banks and countries would be far greater than those of saving them. This statement seems unfounded without any analysis backing it.

Independent thought

Dutch politicians seem busy advocating their stance, rather than independently analysing what might be the best joint stance in this matter. What is at stake? My first guess would be the image of the Dutch, the value of the Euro and the interests of certain influential companies. The main objective of Dutch politicians should be to protect the interests of its voters. When it comes to conducting a risk analysis of whether or not to financially support Greece the cons might not outweigh the pros. I therefore urge Dutch politicians and policy makers to advocate for such a swift independent analysis. When bankers start talking about solidarity and sharing, a bit of cautiousness might be an appropriate response.

More information:

Causes of the financial crisis analysed by Financial Crisis Inquiry Commission of U.S.A.

Crisis in Argentina by Fernando “FerFAL” Aguirre, a first hand experience.

Dutch background documentaries at Tegenlicht