European Recession 2012: What’s the challenge ?

It is now certain that Europe will go through a recession with signs leave no doubt. We must prepare ourselves with determination and without panic.How big is she?

• Unlike the 2009 recession, it will reach only Europe . Asia and the Americas will be slower growth but will continue to grow: this should be an important support.
• Its size should not exceed 2% for the average state. Although several countries, including Greece, Spain, Portugal and Ireland will experience a greater slowdown. At this level it, it does not for others to consider this prediction as a catastrophe. We should be able to support this relative decline without suffering.
• Its duration should not exceed the end of 2012 . A SEER forces should not get bogged down. Austerity for such a period is not unusual, and we have long known these economic developments that should not feed any panic.
• The debt will not fall in 2012 : what is obviously stirred investors today. Europe has financed its growth with debt during the good years and is now locked in a climate of mistrust. The worsening of the risk premium of Belgium or France announces more difficult times. Italy is in disarray. Without growth, the States will not have natural resources tax.

By combining a series of measures that we can get out of it fairly and effectively.

• Budgets should be more balanced: it’s not really a new and all European countries, even the better-off, use it. There is no scope for complacency and would have catastrophic consequences on the countries that dare to let go. We do not have the financial means of an economic recovery in 2012 … even if it’s an election year.

1. Not everything can influence the consumer is essential to maintaining economic activity. The abolition of “plans for” VAT will not hurt as privileged sectors who benefit sometimes shamelessly (conservators have recently demonstrated their antisocial behavior, but they are not alone). By cons, higher high would be a mistake. Must say, this rate increase for can not be temporary.
2. The various tax benefits to higher income should simply be abolished. We can not maintain social cohesion and true solidarity if they are the wealthiest who benefit from tax concessions.
3. Businesses will be affected in terms of preferential treatment. Their contribution to a special tax should be limited to one or two years . Competitiveness is the source of employment. Are they ready to make commitments in this area.