The sick man of the euro
Article Abstract:
Germany's social market economy is under pressure with a drop in gross domestic product (GDP) of 0.2% for 4th qtr 1999 compared to 0.5% growth in GDP for countries involved in European monetary union as a whole. Germany's tight monetary and fiscal policies are part of the problem, and Germany has also had to cope with unification of the east and west. Tax and labor market policies tend to deter German companies from investing, but there are some improvements as the economy becomes more flexible. Progress is slow, and there is a need for more deregulation and privatization.
Publication Name: The Economist (UK)
Subject: Business, international
ISSN: 0013-0613
Year: 1999
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The confused middle
Article Abstract:
The euro has started to appreciate in relation to the US dollar following positive economic data from Germany and Europe as a whole. This appreciation could continue, especially in view of the US trade deficit and the European trade surplus. Germany has had a major impact on the euro, and there has been concern about German economic policy. There have been more acquisitions and mergers in Europe as a result of the single currency, and this leads to clashes with views on consensus in Europe. Germany and France do not clearly favor the market.
Publication Name: The Economist (UK)
Subject: Business, international
ISSN: 0013-0613
Year: 1999
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Unready for blast-off
Article Abstract:
European monetary union will involve major changes for companies, such as using a new accounting system, which means new software and staff training. Major firms are generally switching to the euro from Jan 1 1999, and this means that smaller firms linked to them also have to make the switch at that time. Smaller companies are less likely to have made preparations for the change. Banks have, however, sought to prepare for the new currency, as they will be especially affected.
Publication Name: The Economist (UK)
Subject: Business, international
ISSN: 0013-0613
Year: 1998
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