Interview to financial expert Maria Pereira by Antonella Ferrucci
Maria, can you help us to understand this OWS movement ?
In time the Occupy Wall Street (OWS) Movement may be seen as giving great impetus to reform Finance. Inspired by the Arab Spring and the indignados’ manifestation in Madrid, OWS started on Sept. 17, 2011 near the Wall St. area, the symbol for the financial world. It shows participatory democracy in action. It began unperceived with little media coverage, but by October 15, OWS had spread to 951 cities in 82 countries. It was not intended to be restricted to the US or Finance, but to bring attention to the world crisis. It was a cry for economic justice, responsibility, democracy and human dignity. For Christians, it could be seen as a cry for God.
In your opinion, what is really happening in front of Wall Street?
To understand why Wall St. was picked as a symbol for protest, we need to revisit the financial crisis in 2008, when the US government bailed out banks that had brought about near collapse through irresponsible and often unethical financial practice, fed by greed. The market showed itself to be inefficient, imperfect, and irrational. To prevent financial meltdown, the US government injected $700 billion under TARP. Once the banking sector recovered, bankers continued with their self-serving practice and excessive compensation. Despite repeated liquidity injections by government, Wall Street forgot the purpose of banking, which is to provide support to the economy. Unemployment continued to rise. This was seen by the citizen as privatization of gains and socialization of losses. The movement has been criticized for not having any agenda, but what is of importance to the demonstrators is clear. Economic justice is one, manifested by protest against income and tax inequality, with the rallying cry of the “99%”. The young worry about employment and reduction in education spending, and older people are concerned about their pension, as excessive speculation led to turbulent financial markets, eroding savings and rendering planning difficult. OWS denounces economic injustice and the corruption of politics by the financial sector, a main lobbying force and contributor to political campaigns, thus paralyzing government action for the common good. Included in concern about the future is that for the environment.