Showing posts with label Upcoming. Show all posts
Showing posts with label Upcoming. Show all posts

Tuesday, April 16, 2013

German Reader Tackles Question "What Percentage of the Vote will Anti-Euro Party AfD Receive in Upcoming Election?"

Polls show the support for the anti-euro Alternatives for Germany AfD party as high as 17% according to the Financial Times.

However that 17% is the number of voters who would “consider” voting for an anti-euro party, not the number of people committed to that outcome.


Specifically, the FT article states “AfD is a late entrant for the election on September 22 and might not be radical enough to attract protest voters it needs in order to make it over the five per cent vote threshold for seats in the Bundestag.


The AfD, led by economics professor Bernd Lucke, is dominated by former CDU members who became disillusioned with the chancellor’s European policy that is broadly supported by a majority of the public.


Underestimating the Vote


In contrast to the possibility AfD receives less than 5% of the vote as mentioned by the Financial Times, reader Bern who lives in Germany believes AfD is going to receive substantially more than 10% of the vote.


Bern writes ….

Hello Mish,

I just returned from the foundation congregation of AfD party in Berlin.


About 1500 party members from all parts of Germany came to Berlin to form the federal part of the party as per legal requirement in order to participate in the coming federal elections. The party is now legally formed, it has a legal party statute and an election program.


This means that about 50% of all legal requirements are now met. We have another 100 days to meet the other 50% (establish a State arm of the party in each federal State (16) and to collect 2000 signatures in each State). We do not expect any problems arising from these two obstacles.


It can now safely be assumed that AfD is “open for business” for the coming federal elections.


This party is something entirely new in Germany. It does no longer follow traditional “dividing lines” between left and right or conservative and liberal. Our members are clearly from the heart of the “bourgeois” society of Germany. Small entrepreneurs, self-employed people, teachers and professors, doctors and lawyers, skilled workers, craftsmen,…. in short, a wide variety of the so called “better educated” part of society, who naturally have a rather diverse ideological background.


The common theme uniting this varied crowd is the desire to get rid of the shackles of the Euro and to return to democratic values, both in Europe as well as in Germany.


With about 10,000 members and growing rapidly, I would be surprised if the party received less than 10% of the votes in the coming German federal elections. I am prepared to stick my neck out and predict a figure substantially higher.


AfD will have a considerable influence on German politics in the coming months. It is now no longer possible for the other parties to ignore this new movement.


CDU, SPD, FDP and the Green Party can no longer avoid the Euro as the dominant and overriding theme of the coming German elections.


Chancellor Merkel had wanted to do a “sleeping pill” campaign on such peculiar subjects as “fairness”, “family values” and the like. SPD and Green Party were happy to follow. FDP added some “lowering taxes” issues to the mix.


As of today, Merkel can kiss that objective goodbye.


The Euro and democracy will be the overriding themes of the coming elections. This will catapult AfD into the minds of the people here.


As the Euro comes under attack from all sides. I wonder if an orderly dissolution is still possible or if the result is a disorderly collapse. I still believe the latter is more likely.


Best wishes
Bernd


Given that the nannycrats have underestimated the backlash of every policy decision and every important vote, especially in Italy, I am a firm believer that reader Bern is correct.


In a followup post, we will discuss what this means for chancellor Merkel. Here’s a hint. If you are a Merkel supporter, the result won’t be pretty.


Mike “Mish” Shedlock
http://globaleconomicanalysis.blogspot.com


Mish’s Global Economic Trend Analysis




German Reader Tackles Question "What Percentage of the Vote will Anti-Euro Party AfD Receive in Upcoming Election?"

Tuesday, February 19, 2013

European Reader Offers Insights on Upcoming Italian Election

Reader “AC” who is from Italy but now lives in France has some very interesting thoughts on the upcoming elections in Italy. “AC” writes …

Hi Mish,

Italian elections will take place this weekend.

A hung Parliament is likely. This is due to the highly fractionated political landscape in conjunction with electoral law that favors such an outcome.

In the Chamber of Deputies (the lower house of Italy’s parliament) voting rules give extra seats to the largest party by popular vote. Senate seats (the upper house) are allocated on a regional basis.

Chamber of Deputies Analysis

  • The Center-Left coalition (Bersani) is losing steam but will likely end up with the highest percentage of votes.
  • The Center-Right (Berlusconi) is recovering strongly and cannot be entirely discounted.
  • Monti’s center coalition will likely score poorly, between at 10 and 13%.
  • Rivoluzione Civile (far left) will likely score between 4 and 6%, and may be unable to reach the Chamber access threshold (4%).
  • Beppe Grillo’s Movimento 5 Stelle (Five Star Movement) is again on the rise. Movimento 5 Stelle may even reach 20% and become the second largest party in the country.
  • The first wild card is a high and rising number of undecided voters.
  • A second wildcard factor is the recent rise of “Fare per Fermare il Declino” (literally “Act to Stop the Decline”, acronym FiD), a primarily Libertarian party founded less than a year ago.

Grillo’s public meetings are getting “oceanic”, he is attracting many people disappointed with this political class with a very populist program.

In the campaign you can hear some extremely populist proposals, most of them from Grillo, Berlusconi, and Rivoluzione Civile.

Populist Proposals

  • Give back Real Estate tax collected in 2012 (Berlusconi)
  • Forbid foreclosure of the main house of a person or a family in case of delinquency (Grillo and Berlusconi). Imagine the effect on mortgage issuance!
  • Give a minimum guaranteed survival wage from the government to all those are unemployed (Grillo, Rivoluzione Civile).
  • Even Monti is promising to cut taxes, the same taxes he decreed (and that center-left and center right approved as well).

Assuming the Center-Left hangs on to win the Chamber, the outcome in the Senate is crucial as to whether or not there is a hung Parliament. The regions are, Lombardy, Veneto, Lazio, Sicily, Campania. By far the most important is Lombardy, with the highest number of senators.

In regards to the Senate outcome, it’s important to look at a very recent rise of  FiD, “Fare per Fermare il Declino”.

FiD was founded by a liberal/libertarian economic journalist (Oscar Giannino) and free-market oriented economists, some of them teaching in the US.

FiD has a program of 10 main points. They have a “pro-market” agenda, not a “pro-business” agenda. The party is extremely disappointed with the policies of Berlusconi and Monti. 

They want to stay on the euro, deeply cut public spending, and deeply cut taxes as well. They also want to reduce public debt via sales of public assets, cut highest pensions, and reform the job market.

Their proposals are the most libertarian ever seen in Italy and extremely aggressive by Italian standards.

The party has very little support from media and no “brand awareness” yet they seem to be in a fast upward trend in social media. Some FiD messages and campaigns are going viral, perhaps a sign that something is brewing.

FiD may be able to overcome the access threshold for Chamber at national level and for Senate as well in some key regions. That would be an amazing result. It would probably be the first time that in a “Club Med” country the crisis makes stronger a libertarian party instead of far right or far left.

Another key point is that a significant turnout for FiD could be at the expense of Berlusconi or Monti, especially in the 2 key regions, Lombardy and Veneto. Should that happen, it could help the center-left get the relative majority it needs to avoid a hung Parliament.

Best regards,

AC

Addendum: Turmoil in FiD

I received the above email a couple days ago. This morning “AC” penned me regarding turmoil in the Fermare il Declino camp that is likely to sink the party. She writes …

Hi Mish

The news today is FiD is in trouble because Zingales (one of the party founders) left after discovering that the party President (Giannino) discussed having a degree from the US that he does not really have. Giannino is considering stepping down to not undermine the credibility of the party. This will likely have a strong effect on the share they get and therefore on their indirect effect on the elections.

The story is rather strange. Apparently the degree was mentioned on a website, not even posted by Giannino, yet this seems enough to sink FiD. Sadly many politicians in Italy intentionally lie and on much more serious things, but this seems OK with the voters.

Best regards,

AC

It’s safe to add this revision to the number of election wildcards in Italy.

Yet, if AC’s previous analysis is correct, it will strengthen the odds of a hung parliament as disgruntled voters may sit out or choose between Movimento 5 Stelle or Berlusconi’s Center-Right party.

Mike “Mish” Shedlock
http://globaleconomicanalysis.blogspot.com

Mish’s Global Economic Trend Analysis


European Reader Offers Insights on Upcoming Italian Election