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TEMAT DNIA

The UK sinks value added tax

The UK sinks value added tax

 

The British government has decided to cut value added tax from 17.5 to 15 percent in a bid to revive the economy. The European press discusses the pros and cons of the move, asking whether similar steps can stimulate growth in the rest of the EU. » Więcej

Z artykułami z następujących publikacji:
The Guardian - Wielka Brytania, The Irish Times - Irlandia, taz - Niemcy, La Repubblica - Włochy, To Ethnos - Grecja

The Guardian - Wielka Brytania

The left-liberal daily The Guardian asks: "Will [Chancellor of the Exchequer Alistair] Darling's medicines work? Some may. The package of measures to help small businesses is excellent: targeted and thorough. The boost to consumers - the lion's share being that cut in VAT - looks more risky, although the targeting of payments to pensioners and the poor looks sensible, since these groups tend to spend more of their incomes. Even so, the economy is unlikely to have the short, sharp recession predicted by the government. ... The most crucial part of restoring the economy to any form of health lies not with more public spending, but with getting the banks lending again. Until then, predictions on growth or public finances are as much guesswork as analysis." (25/11/2008)

The Irish Times - Irlandia

The Irish Times writes that the while the step is a calculated risk for the British, it penalises the Irish economy: "This fiscal stimulus - via lower taxes - represents a calculated gamble. Given the weak state of the British economy, however, the risk is worth taking. ... Yesterday's move represents an adverse development for the Irish economy. In Border areas the continued weakness of sterling has made British goods much more competitive. To visitors from the Republic, a 15 per cent VAT rate makes cross border shopping increasingly attractive. ... It has happened just as the Government is raising VAT by half a percentage point (to 21.5 per cent). And with sterling likely to weaken further as a result of yesterday's fiscal package, that disadvantage seems set to increase." (25/11/2008)

taz - Niemcy

The left-wing daily die tageszeitung praises the British initiative, noting that although cutting VAT would be expensive for the German government the UK has found a good solution: "The plan is to offset the tax deficit with higher income taxes for the rich later on. That's the way to go! This would mean that at the same time you address a social imbalance that has existed for too long in Germany too. Shifting the main burden of financing the state from direct taxes - or consumption taxes - to indirect taxes would mean that high earners cover a greater proportion of public expenses once more. Who would have thought that you could ever want the UK as a model for fiscal policy. But that's the way it is. Mr Brown, we'll let you take charge!" (25/11/2008)

La Repubblica - Włochy

The Italian newspaper La Repubblica welcomes the sinking of VAT as an act of social justice on the part of Prime Minister Gordon Brown: "The raise of income taxes - from 40 to 45 percent - to finance the reduction of the value added tax will affect a minority of around 300,000 people, but it will put an end to the alliance between New Labour and the privileged class forged by [Brown's predecessor Tony] Blair. The increase of the national debt from 2.8 to 4 percent of gross national product, which exceeds the Maastricht maximum of 3 percent for the Euro countries is of little concern to Labour's prime minister, especially as England does not belong to the Eurozone, and in spite of everything national debt is still lower than it was ten years ago. ... This is exactly where David Cameron is most critical, because what is given out today must be paid back tomorrow. But the initial reactions by the financial markets are positive, with a spectacular rise in share prices. If the economy sees a similar boom before Christmas, Brown could could win his bet." (25/11/2008)

To Ethnos - Grecja

The daily To Ethnos criticises the Greek government's decision to increase taxes by 7.1 billion euros in 2009 in a bid to counter the economic crisis: "The governments of other countries trying to solve the problem have resorted to completely different measures. Proof of this is British Prime Minister Gordon Brown, ... who has sunk VAT by 2.5 percent and thus cut taxes for the less well off in order to revive the market. ... The Greek government is acting like it either doesn't want to understand or can't understand the facts here. For this reason it keeps following the same practices it used last year or the year before: higher taxation to help it cover its failed financial policy. ... Not only is the government incapable of developing its own sound policy but it can't even ... copy the strategies of other EU countries." (24/11/2008)

POLITYKA

Gazeta Wyborcza - Polska

Criticism of Kaczyński

The liberal daily Gazeta Wyborcza criticises the conduct of Polish President Lech Kaczyński during a state visit to Georgia: "The Polish president gave Georgian head of government Micheil Saakashvili, who can hardly be described as a responsible politician, his uncritical support. Yes, of course the situation in Georgia is dramatic and the country can't be abandoned to its fate. Yes, of course we can see that Russia hasn't stuck to the terms of the truce that was agreed in August. But we must help Georgia in a sensible and effective way - not in a way that could make us the target of scorn and derision, as well as distrust, from the EU. And not like a partisan fighter. The war in Georgia can't be assessed in terms of black and white, as the president is doing." (25/11/2008)

Süddeutsche Zeitung - Niemcy

Justice instead of revenge for ex-terrorist

Christian Klar, former member of the left-wing extremist terrorist organisation the Red Army Faction (RAF) is to be released from prison after 26 years behind bars. The Süddeutsche Zeitung approves: "Klar has not professed remorse. But the law does not require the perpetrator to become a repentant sinner in prison. Even felons who show little sense of responsibility for their crimes are to be given a chance to live out the rest of their lives in freedom once they have served their sentence and are considered no longer dangerous. Human dignity demands this, and the judges have respected this without letting anger or overzealousness cloud their judgement. There will be more than a few people who cannot understand why he is being released. In our society there is a craving for punishment that goes far beyond law and justice. The task of judges is therefore not only to lock criminals away but also to unlock the doors for them. The public must now unlock its doors for thoughts about a humane criminal law." (25/11/2008)

Diário de Notícias - Portugalia

EU treaty as solution in the crisis

For Portugal's former head of state Mário Soares, the ratification of the Treaty of Lisbon during the Czech EU Council presidency would be a first step towards overcoming the crisis. But he adds that this is unlikely to happen: "While after Barack Obama's election the US has once more become the country where anything is possible, Europe remains paralysed and aimless. A month before the presidency of the Czech Republic begins - which is full of doubts and prejudice as far as the future of the European Union is concerned - it appears unlikely that the Treaty of Lisbon will be ratified by all 27 EU states. Owing to the neo-liberal disaster and the prospect of a new political-economic cycle the Treaty has even lost importance. But to solve the crisis we need to adopt new approaches. ... It is worrying that many of Europe's leaders still fail to understand this. ... Europe is not doing well. We must recognise this in order to make the necessary changes." (25/11/2008)

Večer - Słowenia

The new government must be able to function

Večer newspaper writes that the new Austrian governing coalition must prove efficient: "Social Democrat Werner Faymann (SPÖ) has had to put together a government quickly in these times of economic crisis; the future chancellor did not want to wait until Christmas. ... It has aroused much attention that Ursula Plassnik will not be foreign minister. ... Let's not forget, the former coalition ran aground on differing views over European policy. ... If the recession does not play havoc on all the promises of the coalition, it could be crowned with success. Although the opposition has stated that the coalition agreement is empty and lacks vision - right-wing populist Heinz-Christian Strache has called it a dire state of affairs - the governing parties nevertheless know that the fun is over. If they are once more unable to govern successfully in these difficult times, it will then be the right-wing populists' turn to govern." (25/11/2008)

REFLEKSJE

Népszabadság - Węgry

Elemér Hankiss on strengthening social solidarity

In the left-liberal daily sociologist Elemér Hankiss reflects on civil society's possibilities for making a contribution to the government's crisis management. "Even if we can't talk about major changes in our lifestyle, there have at least been some changes. We have become thriftier: less food is thrown away, the heating is turned down a few degrees, plans to go on holiday or buy a car have been postponed, we use our credit cards less, work a bit more, smoke less, buy less beer. ... But there is one area of life where we should invest more rather than less in hard times - not necessarily more money, but more time and energy. We must dedicate more attention to this area than we have up to now. ... Winter is coming: it would not be good if even more people froze to death than before. The cost of living is rising: it would not be good if even more children went to school hungry than before. ... Real wages are sinking: it would not be good if entrepreneurs who see their profits shrink exploited their workers even more and reduced the quality of their products. And above all it would not be good if those who are better off financially offered less help to people in need out of fear, caution or a sense of responsibility towards their families. It would not be good if the already weak sense of social solidarity continued to weaken and society became even more fragmented." (25/11/2008)

Les Echos - Francja

Laurent Cohen-Tanugi on the new US agenda

In the business paper Les Echos the lawyer and essayist Laurent Cohen-Tanugi analyses why Europe is not high on the new US agenda: "[The election of Barack Obama] is first and foremost an important - and moving - American affair. ... If you add to this the seriousness of the economic and financial crisis which has put the world's biggest powers in a topspin, you will understand that the agenda of Obama's advisors ... must first of all be focused on a national level. That does not mean that the new team in Washington will not be more open to Europe. But those Americans who are the first to see Europe as a privileged partner are also those who expect the most from it. ... The trio Sarkozy-Brown-Merkel is far more alluring, coherent and constructive than the Chirac-Schröder-Putin front. ... And the European Union has shown true leadership under the French EU Council presidency. ... But this is not enough in the face of an America that has gathered new strength through a historic election, and above all in view of the many serious and potentially conflict-laden issues on both sides of the Atlantic and within the European Union. At the top of Obama's list are Afghanistan and Pakistan, the nuclear programme in Iran, Russia and the question of Nato expansion and the missile defence shield, not to mention Iraq and the Middle East." (25/11/2008)

GOSPODARKA

Neatkarīgā - Łotwa

IMF aid for Latvia

After Hungary, Latvia is now the second EU state to enter into negotiations with the International Monetary Fund (IMF) over possible financial aid to weather the economic crisis. Neatkariga Rita Avize newspaper asks how serious the situation really is: "Such a demand is tantamount to hoisting the white flag. It means that a state has no more financial means at its disposal to keep its economy afloat and guarantee the stability of its currency. The next step is state bankruptcy. The IMF has already come to the aid of Pakistan, Hungary, Ukraine and Iceland. Now Latvia also belongs to the group of endangered economies. ... But neither Prime Minister Ivars Godmanis nor Finance Minister Atis Slakteris have indicated how much aid they are asking for. Instead they continually repeat the fact that negotiations must precede any decision." (25/11/2008)

De Volkskrant - Holandia

Era of the West is over

It seems in these times of financial crisis that the era of the West is over, while the era of the East is dawning. De Volkskrant newspaper nevertheless argues that Europe need not fear Asia. "Freedom of thought and action have made enormous strides here in the West. That has enabled the West to maintain a leading edge since the Enlightenment, because they are simply indispensable. By contrast a society with a thought police will encounter insurmountable obstacles, even if this police only looks inwards. That goes for both China and India. ... The inability to engage in open discussion for fear of losing face makes China far more vunerable in times of crisis than Europe or America, because there is no official outlet for dissatisfaction. That shows very clearly the limits of the authoritarian Asian model." (25/11/2008)

Der Nordschleswiger - Dania

Promoting green technologies

Despite the financial crisis, an optimistic mood still reigns in Denmark's growing "green" industry. The Danish government plans to grant companies that reduce greenhouse gas emissions through their investments so-called CO2 credits, so that for every tonne of CO2 emissions they save abroad their profit at home increases. The daily Der Nordschleswiger praises the "clever Danish policy of introducing CO2 credits precisely at a time when many banks are holding back on loans. This can serve as a basis for environmentally friendly solutions that not only benefit the environment but also create secure jobs in Denmark." (25/11/2008)

KULTURA

Gândul - Rumunia

Popularity of books on the rise

The Gaudeamus International Book and Education Fair in Bucharest attracted a hundred thousand visitors last weekend. Gandul newspaper examines why reading is once again so popular: "Living standards [have] improved so that people can afford more than just the absolute necessities. In addition there is the welcome reality that culture is attracting far greater crowds than in the past few years again. The reasons for this are clear: interest in politics has sunk dramatically, and television, which is always first to be accused of luring away potential culture consumers, has lost importance and only has itself to blame. TV programmes lack originality, they always have the same format, the same protagonists ... . Human beings, who always need some form of diversion, can obtain cheap and pleasurable satisfaction through reading." (25/11/2008)

MEDIA

Eesti Päevaleht - Estonia

More Russian-language television in Estonia

Estonia is planning to introduce a new Russian-language television channel to prevent its Russian minority from being indoctrinated by Russian media. A first step will include more broadcasts in Russian on existing programmes. Eesti Päevaleht newspaper comments: "Russian-language news broadcasts are exceptionally important. The Russian version of 'Current Camera' has been able to hire new staff. This has given the programme more independence and allowed it to become a truly Russian programme, not just a clone of the Estonian one. But the decision to slot Russian-language news broadcasts in the evening is also extremely positive. Because until now these were primarily shown during the day, when the potential audiences were sitting in buses or their cars on their way to or from work." (25/11/2008)

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