by Max Barry

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Region: The Hole To Hide In

RP: Unemployment steadily rising as corporations seek government bailouts
Bucuresti, Rumania - The unemployment rate has continued to steadily climb to 17% after the initial wave of layoffs two months ago, making this recession the worst in Rumanian history. The overall reduction in both public and government spending has damaged the economy, which has been suffering from worsening inflation and lack of demand. Several Rumanian banks including the Constanta-Iasi National Bank, the largest bank in Rumania, has requested Federal backing in the event that they run out of physical money, a request which has been reluctantly accepted by the Federal Reserve under the pressure of the President; however, the backing wasn't secured without a fight, the Minister of Finance -- the head of the Federal Reserve -- fought the President on the matter, arguing that backing the banks would only lead to worse inflation if a run on the banks were to occur, but the Minister of Finance finally acquiesced after being pressured by several other member of the government. As a result of the recession, several large Rumanian retail corporations and auto manufacturers , already teetering on the brink of ruin, have declared bankruptcy; leaving millions more unemployed. The collapse and dissolution of these large companies have caused additional problems for the government, as the former employees of these companies are not only left unemployed, but they are also lacking the benefits provided by their employers such as severance pay and for those who have retired, pension, which is not being given to those who were employees for companies which have gone under and subsequently dissolved. As a result, the government welfare system has become significantly overburdened, unable to file all the unemployment requests and lacking the money necessary to provide for the large numbers of unemployed, due to recent budget reductions. Additionally, the Public Healthcare system has also had budgetary issues, while Rumania has an extensive univeral healthcare system companies must provide partial coverage of the healthcare costs depending on the number of employees they have, and with a reduction of income from the private sector, public health officials have sounded the alarm on the security and stability of the healthcare system. The recession has also forced many businesses, under pressure from the government to remain open in Rumania, to close their overseas branches, including auto manufacturer MALAXA and the major news company Libertatea.

RP: Anti-government Protests Continue
Oradea, Rumania - Protests against President Istrati's economic policy and handling of the financial crisis have continued to spread across the nation as protest number explode with recent workers who have recent lost their jobs. The anti-government protests have mixed with the anti-war protests, with many calling for Istrati to step down and be replaced by Lyuben Velikov, an outspoken anti-war senator from Dobrudja.

Schwypia, Blayredeshia, and Kavastor

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