Greece is making large cuts to its budget in order to appease its fellow EU member nations in an effort to be loaned rescue money from these members.  Substantial cuts have been made, roughly $10 billion worth, but the EU troika are unwavering in their demand for more. “The draft budget is expected to be revised significantly because it must be approved by the country’s troika of foreign lenders — the European Commission, the European Central Bank and the International Monetary Fund — before it can be submitted for a parliamentary vote.”

Article 312 of the Treaty of Lisbon grants the EU more control over the economy of the member nations by establishing expenditure ceilings to compel budgetary control.  It officially recognized the Eurogroup and the Stability and Growth Pact.

Amendment of Article 136 of the TFEU is expected to amend the Treaty of Lisbon by 2013 to allow Euro area Member States to create the European Stability Mechanism (ESM).  The ESM is an international organization that will provide financial assistance to member nations of the EU if in need of financial saving.

Through the Treaty of Lisbon and its soon to be Amendments the EU is asserting its control over the finances of the member nations.  Its control is growing through new regulation laws and bailouts compelled by prerequisites, as with Greece.

The main goal of these cuts is to create a national surplus, which has been absent for a decade.  Without the $40 billion worth of aid, there would be no surplus and Greece would default on its loans. These cuts have continued the discontent of the citizens of Greece causing more protests, some of which are becoming violent.  Greece has to a large extent lost its control over its own wallet.

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