Article

2005-12-31 Europe

German finance minister urges fairer tax competition within EU

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Posted by Steve White 2005-12-31 00:00|| || Front Page|| [1 views since 2007-05-07] Top

#1 Never trust any statement containing the word 'fair'.

Posted by phil_b">phil_b 2005-12-31 00:56|| http://autonomousoperation.blogspot.com/]">[http://autonomousoperation.blogspot.com/] 2005-12-31 00:56|| Front Page Top

#2 "Jawohl, ve vish to force our economy deeper into ze toilet.

"Ve vish to excel at zomezing, even it's simply driving our economy into ze grund!"

Posted by Barbara Skolaut">Barbara Skolaut 2005-12-31 01:27|| http://ariellestjohndesigns.com/page/15bk1/Home_Page.html]">[http://ariellestjohndesigns.com/page/15bk1/Home_Page.html] 2005-12-31 01:27|| Front Page Top

#3 It's true that money and I have never gotten on, but it does seem fair to me that countries with such low tax structures that they aren't actually self-supporting should not be given large handouts from EU coffers. On the other hand, in my ignorance it seems to me that countries with high tax structures coupled with even higher payouts should also not receive large handouts from EU coffers, in order to encourage consequential behaviour. Perhaps then France will stop supporting its farmers, Beurs, and the healthy unemployed in a style to which I would be very pleased to become accustomed (except for gang raping modernly dressed girls -- I don't think I would be very good at that bit); and perhaps then the Germans would not consider the proper age for going to university to be the entire period between 19 and 35 years of age, with 50 or so being the proper age at which to retire.

Posted by trailing wife 2005-12-31 01:45|| 2005-12-31 01:45|| Front Page Top

#4 "It cannot be, that some countries demand more funds from the EU budget while on the other hand failing to improve their own tax basis", Mr Steinbruck said.

Very cleverly worded, but also quite disingenuous because I'm sure Mr. Steinbruck is aware that average incomes in the new EU member states are, what, twenty times lower than in Germany. With a Euro manager making 300,000 euros/year, only someone at the very top of the corporate heirarchy can match that sort of salary in a country such as Poland, for example.

If you raise taxes for workers and small businesses, you will drive these countries into recession, or even worse. Poland is already on the brink (though the latest figures are optimistic).

This is a classic "oh shit" moment on the part of the Germans. They've let these countries in to their club, with hopes of new markets opening up, and for the most part, that's exactly what happened. But now they've discovered that some things can be produced more cheaply just across the border, and with the same quality. Some things are even better, an example being Polish meat that is now streaming into Germany (and bread, dairy products, etc produced by the highly inefficient Polish farmer...efficiency be damned! It just tastes better and the market reflects this).

So what to do, what to do. Well, demand that these new miscreants raise their taxes!! To prevent dear old Porsche from even thinking about opening that new plant in Bratislava.

While the new member states do get a net payment from the EU budget, paid for by rich members like Germany, it is precisely because these new members are playing catch-up to the rest of western Europe. When they do catch-up to the Euro manager's 300,000/year salary, I imagine these net payments will cease. So stop complaining, Mr. Steinbruck! You got what you wanted.

Posted by Rafael 2005-12-31 03:05|| 2005-12-31 03:05|| Front Page Top

#5 Must have caught a case of that STD "taxing ourselves to prosperity" from the US Democrat party. That is a deadly disease. I hope it doesn't spread to the new EU members.

Posted by Mahou Sensei Negi-bozu 2005-12-31 15:04|| 2005-12-31 15:04|| Front Page Top

#6 If only, if only. Aw well. There will be another round for the EU Constitution. Perhaps this time it won't be left up to Gallic whims.

Posted by Leon Clavin 2005-12-31 16:04|| 2005-12-31 16:04|| Front Page Top

#7 Leon, you keep on trying to inject the EU Constitution in threads that have little to nothing to do with it.

Posted by Aris Katsaris">Aris Katsaris 2005-12-31 16:46|| 2005-12-31 16:46|| Front Page Top

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