The Lula-Alckmin government (PT-PSB) through its Minister of Finance, Fernando
Haddad (PT), took to Congress the so-called "New Fiscal Framework" - NAFproposal. In practice, this project is a new spending ceiling, and in reality itsvery existence already marks a permanent fiscal adjustment that penalizes maleand female workers, especially the black working population, especially women.---- The fact is that there is no economic need to build this new spendingceiling other than political pressure from capitalists of national andinternational origin, especially those who hold public debt securities and thefinancial groups that command the economy global. The proposal reached Congressand the urgency of the project has already been approved, at the request of theLula Government. The rapporteur for the proposal in congress is federal deputyCláudio Cajado (PP-BA), who was an ally of the Bolsonaro government and sponsoredby Artur Lira (PP-Alagoas). The rapporteur has already made changes to theoriginal proposal and managed to make it worse.The main point of Lula-Alckmin's election was to save the Republic of 1988, andto save that Republic is to favor the ruling class that has controlled economicpolicy since then. In this sense, the NAF is just a fiscal development of the"Golden Rule", the "Fiscal Responsibility Law" (2000) and ConstitutionalAmendment 95 ("spending caps"), which froze for twenty years, in 2016, socialspending.In this sense, the NAF is fully associated with the neoliberal economic consensusthat is the basis of economic stabilization plans, such as the Real Plan. Thisconsensus understands that: 1) stabilization policies are designed to gain marketconfidence in maintaining such a regime; 2) fiscal policy should be conductedwith the objective of generating a primary surplus necessary for balancing publicaccounts; 3) gain the market's confidence about this purpose; 4) monetary policymust have the sole objective of maintaining price stability, through inflationtargets predetermined by an independent central bank and 5) it would be up to theState to guarantee a business environment to favor capitalists. In this sense,state spending must be directed towards maintaining order, public security andborders; compliance with laws and contracts; the protection of private propertyand property rights.Social democracy and its degenerate reformism is incapable of even doing theleast, which is to present Brazilian workers with an economic proposal thatreduces social inequality and improves the living conditions of the people. Quitethe contrary, the social-democratic political forces that support the Lulagovernment are tied to the class conciliation pact and are terrified of anypossibility of any mobilization or popular uprising. They are today unsatisfieddefenders of the bourgeois order, of the bosses.NAF: new anti-people spending cap First, it is necessary to make it clear that the debt and GDP ratio is not aproblem in itself. This debt can even finance better schools, the SUS, housing,agrarian reform, environmental protection and construction of rail transport.However, the political-economic creed of the NAF does not treat it that way. Thegovernment's economic team starts from the idea that it is necessary to stabilizethe public debt as a ratio of GDP to produce a drop in the reference interestrate and, with that, stimulate private investment. For this reason, the NAFproposes as central to the sustainability of the public debt, directing thebudget to pay its creditors. What Minister Haddad calls creating a businessenvironment for investors. In this way, the proposal's main objective is towithdraw the expenses that the State makes in social investment andinfrastructure and to guarantee that the budget resources are in the hands ofdebt creditors, who are those who receive from the government and at the sametime earn from financial investments. The expectation of the minister of finance,his team and the financial market is that with this signal the Central Bank willreduce interest rates to, in theory, facilitate investment. In short: it's allbased on creating expectations for the capitalists, through the State, to drainthe resources from the budget directed to the working class.The new spending cap project goes against public services, worsening the UnifiedHealth System (SUS) and resources for public education. It makes any serious railtransport policy unfeasible to improve the quality of life of male and femaleworkers. It has a direct impact on the resources of the National EducationDevelopment Fund (Fundeb), in addition to other areas such as Science andTechnology, Social Assistance and the Environment. Only the increase in theMinimum Wage and the Family Allowance are currently protected from thecapitalists' rage.The FOB and its federated organizations have always signaled that the only path,from now on, is through direct action to build Socialism through the SocialRevolution. There is no possibility of negotiation and conciliation with thebosses, capitalists, and state bureaucrats. In the elections, we analyzed thatthe main intention of the broad front led by Lula and the PT had only to do withthe defense of the bourgeois order of 1988. That its economic program would be acontinuation of neoliberalism without solving structural problems, such as theconcentration of land in the country. It is no coincidence that the Brazilianparliament, while urgently voting on the regime that reduces the budget for thepeople, seeks to criminalize the MST. The people are tired of crumbs. We have aworld to destroy and another to build!Build the General Strike!For Land and Freedom!Free Health and Education!https://lutafob.org/9778/_________________________________________A - I N F O S N E W S S E R V I C EBy, For, and About AnarchistsSend news reports to A-infos-en mailing listA-infos-en@ainfos.ca
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