Lagarde urges Germany to consider tax cuts

Germany should consider cutting taxes to boost domestic demand, France’s Finance Minister Christine Lagarde said on the 17 March 2010 as she persisted with her view that Germany’s 'single motor' economy may be unsustainable for the rest of the eurozone.

Despite a backlash from German politicians and media, Christine Lagarde showed no intention of backing away from her comments in the Financial Times on the 15 March 2010 when she called on Berlin to boost domestic consumption to help other economies in the bloc regain competitiveness and cut budget deficits.

ESO: Background information: Lagarde criticises Berlin policy http://www.europeansources.info/record/lagarde-criticises-berlin-policy/

ESO: Background information: Germany rebuffs Lagarde criticism http://www.europeansources.info/record/germany-rebuffs-lagarde-criticism/

Spiegel Online International, 17.3.10: France, Germany Bicker over Export Surplus http://www.spiegel.de/international/europe/0,1518,684185,00.html

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