Local view for "http://purl.org/linkedpolitics/eu/plenary/2010-11-24-Speech-3-029"

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"en.20101124.4.3-029"2
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". Mr President, if the Heads of State or Government have agreed to create a permanent crisis mechanism to safeguard the financial stability of the euro area, I can only welcome that. The results of the work, lasting several months, of Mr Van Rompuy’s Task Force on economic governance leave a great deal to be desired – although my views on them vary. The attempt is being made to carry out as stringent a control on the budgets as possible in order to avoid long-term deficits, but the cautious recovery from the crisis will immediately be put at risk again by the radical cutting of public expenditure. That is not only completely counterproductive, I also think it is absurd. It seems that we have learnt nothing from our past experience with the Stability and Growth Pact. You cannot impose additional monetary penalties on a country that is already heavily in debt. The bail-out ban and the Stability and Growth Pact destroy the solidarity between the States in the monetary union. Does the economy dictate our policies? Once again, the consequences of the crisis will be borne by the people. We can expect wage dumping and social dumping, cuts in the education sector and a rise in unemployment. This will further increase the burden of the countries affected and make their recovery more difficult. It makes absolutely no sense to increase the pressure on countries like Ireland, Greece or Portugal. Rather, the large economic disparities in Europe should be reduced, in other words we need economic governance. We want a social and fair Europe, built on the principle of solidarity. The precedence of policy over economy must be retained or restored."@en1
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