From home
"We are in a period of brutal decline in the real income of the Czech population, even in the context of the European Union," says expert Lucie Trlifajová, an analyst at the Agency for Social Exclusion.
The growth in benefit receipt outside of Prague may mean that some people no longer apply to live in the metropolis. "The number of recipients in the ring around Prague has increased rapidly, probably indicating municipalities where people are moving more," she said. At the same time, as a correct politically correct analyst, she stressed that this was only a hypothesis and the data would require more detailed analysis. I do not know why the analyst is talking faster than she thinks, and she is sure that she really knows.
Filip Kořínek, the mayor of Černošice (Věci černošické), sees it similarly. People are permanently moving into the cabins. "We have been observing for a long time, perhaps since the time of covid, that there are large cottage settlements along the Berounka River, we have about 1 400 cottages, and more and more people are living permanently in those cottages. I can't estimate the number, because not everybody signs up. Rather, we find out by ordering a normal bin," the mayor describes the fact that the cottages are being occupied by people who could not otherwise afford to buy an apartment or house in the area.
The example of Černošice, which has a population of 7.5 thousand, but the territory that falls under it as a municipality with extended jurisdiction has 160 thousand inhabitants with 79 municipalities, clearly demonstrates the bizarreness of the Czech Republic's inorganic public administration reforms. This was already critically described by the OECD in its report of March 2023, which was handed over to the Ministry of the Interior of the Czech Republic in Prague by Mathias Corman, Secretary General of the OECD.
To make matters worse, the government has promised an amendment to the VAT Act in addition to the DSR (digital construction procedure). It has been discussed by Senate committees and its approval by the Senate will bring major changes affecting all VAT payers.
"According to the explanatory memorandum, the amendment to the VAT Act promises not only to harmonise legislation at the EU level, but also to better adapt the Act to the current business environment." said Petr Tušakovský, director of the tax department at Havel & Partners. Personally, it seems to me that the changes to the VAT Act, which will come gradually, prove the inexperience and distance of politicians from real business. The largest package of changes will be effective as early as 1 January 2025, the second one on 1 July 2025 with changes in the application of VAT to real estate, the third one foresees changes in the wording of the law as early as 1 January 2026 and will be followed on 1 January 2027. The latter will affect the reintroduction of the possibility of deducting tax on luxury cars, which, with a probability bordering on certainty, will not be used by citizens moving to cottages along the Berounka River or similar.
As regards the changes within the amendment to the VAT Act, I recommend familiarising yourself with the rules for VAT registration. The changes will affect smaller businesses. Entrepreneurs will have to be vigilant and, if they are not yet taxable, they will also have to keep a close eye on the turnover of their business. Why? Because the VAT Act has a specific definition of what does and does not count towards the relevant turnover. So: those who don't have joy at home look for it in vain elsewhere. Or as King Solomon left us: vanity of vanities, nothing but vanity.
From the neighbours
The ink has not even dried on the already popular article "Kallas and the wild women" published on Monday and one can see the truth of its main theses.
On her first day in office, Kiev was visited by the new EU diplomatic chief, Kaja Kallas, and the new president of the European Council, António Costa. Both expressed support for Ukraine, which has been resisting a Russian military invasion since February 2022. According to media reports, Costa said in Kiev, for example, that the EU will send Ukraine money from the proceeds of frozen Russian assets that can also be used for military purposes, and declared that the EU's goal is Ukraine's victory. During her visit to Kiev, Kallas said European countries could send troops to Ukraine to uphold a possible ceasefire.
It came from a democratically elected party: They cannot afford certain members of the Commission and they cannot afford the President of the European Council to make statements in the name of the European Union that have never been agreed by the European Union, by the European Council. They had statements that did not correspond to the conclusions of the European Union, Slovak Prime Minister Fico told a press conference. And there were many more similar comments.
Ukraine
Encouraged by his morning coffee, grass and a visit to the Brussels troika, Ukraine's outgoing president Zelensky said that Russia must go to "three letters" to resolve the conflict. I will not translate the content of this offensive statement in Russia, because it will be Zelensky who will be sent to the environment of three letters in the imaginable future, and the reader will see for himself what this means. A fragment of the speech at the joint press conference with Chancellor Scholz was published on Telegram by RBC-Ukraine.
Although, according to Zelensky's words and admissions, the army does not have the strength, Kiev is ready to go to any lengths to end the conflict in 2025, but to do so Ukraine must have a strong negotiating position. Where to take while not stealing, however, he did not say. Instead, one alternative solution was presented by US President-elect Trump's special envoy Keith Kellogg:
The Kellogg Plan
The plan, officially co-authored by Frederick Fleitz, vice chairman of the Center for American Security at the America First Policy Institute, was prepared in April 2024 as part of a report on Russia and Ukraine. I recommend you read it: Centre for Eastern Studies, ul. Koszykowa 6a, 00-564 Warsaw, Poland, tel.: (+48) 22 525 80 00, info@osw.waw.pl, www.osw.waw.pl, ISBN 978-83-67159-97-5. The main idea of the five-point plan, which I consider, according to the style and diction of the language, to be a kind of a patchwork of the old familiar, is:
1. Establishing diplomatic relations with Moscow, stopping the demonization of the President of the Russian Federation. 2. Putting pressure on Moscow and Kiev to start negotiations. 3. Refusing to consider the issue of Ukraine's admission to NATO for 10 years, preserving the occupied territories for Moscow, and phasing out sanctions and normalizing relations with the United States. 4. The fourth paragraph refers to providing a bilateral security guarantee to Ukraine and continuing to provide military support. In addition, Kiev will not be allowed to resolve the territorial issue by force. 5. The fifth paragraph indicates a halt to military aid to Kiev if it does not agree to peace talks.
I have no doubt that Kiev, Brussels and even Berlin do not like such an Advent gift. That is why Chancellor Scholz went to Kiev at a time when the roof is burning over his head in Berlin, early elections are in the waiting room with an uncertain outcome for the Chancellor and the EU is worried about a possible reduction in US support for Ukraine in 2025. In the Czech basin, all is quiet.
German company Helsing
Helsing, like Rheinmetall, is already fighting for peace in Ukraine and can't wait for it, so it has decided to start mass production of AI-controlled combat drones: The drones will be shipped to Ukraine, the Frankfurter Allgemeine Zeitung reports, in no small number of about 1,000 per month.
Romanian presidential election
The parliamentary elections in Romania were apparently not scheduled for 1 December by chance. On this day, the country celebrates National Unity Day, which was established in 1918 after the conquest of Bessarabia and Transylvania by Bucharest, which meant the creation of the so-called Greater Romania.
The current president of Romania is Klaus Iohannis, the informal leader of the National Liberal Party (PNL), which was until recently part of the ruling coalition. His closest associate and the official leader of the PNL is Nicolae Ciucă, a retired general, President of the Senate (the upper house of parliament) and former Chief of the General Staff and of the Ministry of Defence.
According to the results of the first round, independent candidate Călin Georgescu won with 22.94 % votes. However, the leader of the National Conservative Party, Cristian Terhes, who came in ninth place, filed a petition with the Romanian Constitutional Court to annul the first round of the presidential election. He claimed that this was pre-election propaganda in favour of the leader of the opposition Union for the Salvation of Romania party, Elena Lasconi, who came second. He said that a number of politicians living in the United States had urged Romanians to vote for her. He also claims that there were a number of bots that encouraged people to vote for a particular candidate. The court has asked for all votes to be recounted and a decision on the petition will be made on Monday.
A hint to Czech politicians: When the authorities don't like a candidate, you need to recount the votes
The Social Democratic Party (PSD) will play first fiddle in the coalition-building process. Compared to the last parliamentary elections, it dropped by several percentage points, but still retained its lead (23 %). In any case, it seems that the process of forming a new governing coalition will be difficult, as the current Romanian parliament is more fragmented. It will represent seven political forces and two new party factions. This is very similar to what we see in neighbouring Bulgaria, where it has been impossible to form a stable government for more than two years and everything is heading towards an eighth early parliamentary election.
However, the Bulgarian political system is somehow stabilised by the most popular politician in the country, President Rumen Radev. In Romania, on the other hand, the heated struggle for the post of head of state threatens to destabilise the republic. The Bulgarianisation of Romania is evident, although until recently it seemed that the Prime Minister might become the local Orbán. It is in the best interests of Brussels to weaken the Romanian elites, who have recently become too ambitious.
This is indicated by the fact that the outgoing president's Brussels career has not worked out, that Romanian Roxana Mînzatu has joined the new European Commission under the intriguing title of Vice-President for Personnel, Skills and Preparedness, despite the fact that in the old days Bucharest candidates controlled the agriculture and transport commissariats, and that the leader of the anti-Russian party made herself heard immediately after the vote saying: Russia has never done anything good for Romania... If we unite, then the Russian bots on TikTok will not be able to destroy our democracy... We have not forgotten their tanks when they occupied our country, and we have not forgotten how much suffering they brought usHear.
It would not be out of place in Brussels to recall that thanks to Russian tanks, Romania was able to overthrow the bloody Antonescu regime and join the camp of the anti-Hitler coalition and regain northern Transylvania, which Hitler transferred to Hungary.
For the record, the two right-wing populist parties won 7.1 and 6.3 %. This means that the anti-European forces have more than 30% of the seats in the next parliament. Among Romanians living abroad, far-right parties together accounted for half of all votes cast. Călin Georgescu, who won the first round of the presidential election, announced his support for US President Donald Trump's direction on Ukraine.
From afar
Intel shares rose 4 % after the dismissal of the company's chief Pat Gelsinger. Gelsinger led one of the world's largest chipmakers for nearly four years, and under his leadership the company's capitalization doubled to $103.7 billion. Yet Intel has begun to lose market share and competition in artificial intelligence technology. Chief Financial Officer David Zinsner and Executive Vice President Michelle Holthaus will serve as the company's interim chief financial officer. Frank Yeri will take over as chairman after Gelsinger's ouster.
Intel was forced to lower its sales expectations in May after the U.S. government revoked its license to supply chips to China's Huawei in late 2022 as part of a declared chip war.
In August 2024, the company announced mass layoffs to reduce expenses. The reason for this was a drop in revenue - instead of the expected 14.38, the forecast was reduced to USD 12.5-13.5 billion. Instead of earnings of 30 cents per share, the company's loss in terms of safety would be three cents. Amid the negative news, the company lost more than 19 percent of its value (the stock is down more than 42 percent this year) and announced plans to cut 15,000 employees (minus 15 percent).
Our costs are too high, our margins are too low. We need bolder steps to address both challenges, especially given our financial performance and the outlook for the second half of 2024, which is more difficult than previously expected, Galsinger explained.
In September, Intel announced a two-year suspension of a number of major projects in Germany and Poland. Intel had planned to invest about $4.6 billion in a semiconductor integration and testing plant in Mienkin near Wroclaw. The project was important for the development of the semiconductor industry in Poland.
Conclusion
No one in the West, in the Czech basin and in Ukraine knows or wants to know what will happen to all the Ukrainian refugees, many of whom want to return home. By attacking Yuzhmash, Russia has sent a signal to the Western community and to President Trump personally: If he had not withdrawn from the Treaty on the Limitation of the Use of Short- and Intermediate-Range Missiles in 2019, the strike on Yuzhmash would not have happened.
In Tbilisi, about 30 percent of foreign citizens are participating in the protests. This was stated by Mamuka Mdinaradze, executive secretary of the ruling Georgian Dream party. In South Korea, President Yoon Suk Yeol has declared martial law in the country to fight North Korean supporters in the state, Yonhap news agency reports. According to the agency, martial law in the country may be associated with attempts to conduct impeachment proceedings against Yoon Suk Yeol, as well as the threat of paralysis of power. I am curious about the (in)reaction of the government of the country in the context of the construction of the nuclear power plant.
I wish everyone a relaxing second Advent in the realization that the play we watch 24 hours every day is of a slightly higher order than we imagine, and presidents, prime ministers and other servants are far from the only acting material in this theatrical spectacle designed to entertain people, in each country in its own way, and not allow us to admit that the main elements of war are the betrayal and ambush we wait for, and the surprise that doesn't take place. Guns come into play later, even when the sober hunters themselves are shooting at each other. No consent required. 03.12.2024
Jan Campbell
photo: interfax / gnews.cz - 07
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