Local view for "http://purl.org/linkedpolitics/eu/plenary/2005-02-22-Speech-2-031"

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"en.20050222.4.2-031"2
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"Thank you Mr President. I would like to say that at the moment we are debating two documents at the same time, which have in essence been prepared splendidly and which complement each other. They must form an economic foundation for the Stability and Growth Pact, for a third group of documents which we are debating and, you see, perhaps it would be worthwhile considering that if we wish to send a clear message to our citizens, the citizens of the European Union, the business community, and ultimately the international community, then perhaps we should devote more attention to some of the provisions in one document, which would lay the foundation for macroeconomic stability, the Stability and Growth Pact. It would be naive to think that we can maintain or consolidate the Stability and Growth Pact with some legal provisions or criteria. I say this with fifteen years of experience of the reforms which my country has implemented. We must not look for differences, if we wish to implement reforms, we must look for consensus. I believe that there are four points on which we can agree and our experience of reforms tells us that these may have a positive influence on economics. First of all we must devote attention to the investment required for productivity, because we need a particular kind of investment. We must devote attention to structural reforms, however these are impossible without fiscal measures. As unemployment appears during structural reforms, support is needed, but one cannot devote all one's attention to support alone, as otherwise the budget cannot be sustained. We must devote attention to the expansion of new businesses, that is we must try to simplify tax administration, so that minor companies and small business can work successfully in Europe. As for the fourth and most complicated point – we must be aware that cheap goods are pouring into Europe, we are surrounded by cheap manufacturing countries and we must begin to think about how we can reduce taxes, of course without upsetting the macroeconomic balance, because much can be achieved, as our experience of reforms has shown, through the implementation of better tax administration. It is no surprise that many countries encounter problems with profit transfer and value added tax reduction, however there are many ways to administer taxes better and reduce the burden of taxation, as the experience of our countries shows. I believe that this is the most successful way to use the knowledge we have accumulated. Thank you."@en1

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