Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?

To: zonder who wrote (24826)	3/3/2005 12:24:00 PM
From: mishedlo	Respond to of 116555

Venezuela devalues currency by 10.7 pct against usd Thursday, March 3, 2005 2:36:26 PM afxpress.com CARACAS (AFX) - The Venezuelan government has devalued the local currency, the bolivar, by 10.7 pct against the US dollar, the central bank said The new buy rate for the bolivar is now 2,144.60 to the dollar and its sell rate is 2,150 bolivars per dollar

To: zonder who wrote (24826)	3/3/2005 12:24:37 PM
From: mishedlo	Read Replies (1) \| Respond to of 116555

Trichet says Greek deficit deadline pushes stability pact rules to the limit Thursday, March 3, 2005 3:35:16 PM afxpress.com FRANKFURT (AFX) - European Central Bank president Jean-Claude Trichet said the additional year given to Greece to cut its excessive deficit stretches the rules of the stability and growth pact "to the limit" "The extension of the deadline, from 2005 to 2006, for correcting the excessive deficit pushes the room for interpretation of the rules and procedures to the limit. It is now indispensable for Greece to take effective action to correct its severe fiscal imbalances," he told an ECB news conference EU finance ministers last month approved disciplinary measures requiring Greece to get its deficit below 3 pct of GDP by 2006, a year later than was originally proposed by the European Commission The Greek deficit is forecast to fall to 3.6 pct of GDP this year from 5.2 pct in 2004 Trichet said a number of euro zone countries are still not sufficiently ambitious in their budget plans and have fiscal targets which are based on rather favourable growth assumptions And he said discussion on the planned reform of the pact now needs to be brought to a convincing conclusion "with an outcome that safeguards fiscal discipline" "The credibility of the excessive deficit procedure needs to be fully preserved. This is not only fundamental for macroeconomic stability and cohesion in the euro area but also for confidence and growth prospects in all member states," he said

To: zonder who wrote (24826)	3/3/2005 12:42:06 PM
From: mishedlo	Read Replies (1) \| Respond to of 116555

Greenspan calls for simpler tax code based on consumption tax Thursday, March 3, 2005 4:08:53 PM WASHINGTON (AFX) - Federal Reserve Chairman Alan Greenspan told President Bush's tax reform panel Thursday that a simpler tax code would result in a "better use of resources," but warned that efforts to overhaul the system will inevitably create winners and losers In prepared testimony before the advisory panel, Greenspan offered no specific policy prescriptions, but noted that "many economists" believe that moving to some form of consumption tax "would be best from the perspective of promoting economic growth." Greenspan noted that getting from the current tax system to a consumption tax base, however, would raise a challenging set of transition issues Under questioning from the panel members, Greenspan suggested that a hybrid system combining elements of consumption and income taxes "might be the best route to go" given the political difficulties Greenspan said the oncoming retirement of the Baby Boom generation underscores the need to examine the choice of a tax base and other elements of the tax code "I believe that as the Baby Boom generation begins to retire in a few years, it will become increasingly important for the nation to boost resources available in the future through greater national saving and enhanced incentives for participation in the labor force," Greenspan said The tax system can contribute to those goals, he said, adding that "at a minimum, tax reform should not hinder the achievement of those goals." Greenspan said tax reform efforts will inevitably require tradeoffs among competing objectives that "will create both winners and losers." Accomplishing tax reform in the past has therefore required a bipartisan effort, Greenspan said, citing tax overhauls conducted in 1954, 1969 and 1986 Greenspan made no comments on monetary policy in his prepared remarks. Thursday's event was the tax panel's second public hearing. Bush earlier this year tapped former Sens. John Breaux, D-La., and Connie Mack, R-Fla., to head the tax panel. The panel is scheduled to report back to Treasury Secretary John Snow by July 31 Bush has described overhauling the tax code as a key component of his domestic agenda, but it has paled in emphasis next to his top item: adding private investment accounts to Social Security The administration has insisted that any final tax proposal be "revenue-neutral," in other words, it must raise the same amount of revenue as the current tax system Greenspan said that "tax code drift" since an overhaul in 1986 has confronted taxpayers with substantial complexity. forexstreet.com

To: zonder who wrote (24826)	3/3/2005 12:52:56 PM
From: mishedlo	Read Replies (1) \| Respond to of 116555

Greenspan calls for simpler tax code based on consumption Testimony of Chairman Alan Greenspan The tax system Before the President’s Advisory Panel on Federal Tax Reform, Washington, D.C. March 3, 2005 federalreserve.gov “past experience suggests that as the panel's work gets under way, one of the first decisions that you will confront is the choice of tax base; possibilities include a comprehensive income tax, a consumption tax, or some combination of the two, as is done in many other countries. As you know, many economists believe that a consumption tax would be best from the perspective of promoting economic growth--particularly if one were designing a tax system from scratch--because a consumption tax is likely to encourage saving and capital formation. However, getting from the current tax system to a consumption tax raises a challenging set of transition issues.” Mish