Government handouts threaten Europe’s single market

two here, a giant government cheque there: the money doled out by European governments to support businesses is starting to add up. Some €2trn or so has been earmarked to keep firms afloat. The early beneficiaries included bakeries, bookshops and the like. Now it is increasingly the turn of corporate titans. This week France announced an €8bn package to support its carmakers, including a large loan to Renault.

The rules have been quietly shelved as Europe grapples with covid-19. Giving governments a temporary reprieve was unavoidable as national exchequers battle to stave off depression. But it also carries long-term dangers. Even before the crisis, France and Germany railed against European rulings that they say prevented the creation of corporate champions able to compete with rivals from China and America. Now they may seize the moment to try to water down competition rules permanently.

How to ensure that the necessary evil of bail-outs does not cripple the single market? They should be tolerated only when all other options have been exhausted. In America even cruise-liners—a challenged business model if ever there was one—have raised bonds and found new shareholders. Europe has shallower capital markets, but plenty of investors with money to spend.EU

Dużo chorych ,leniwych chorych

Ваши твитты очень полезны для меня

Well injecting some common sense into an extreme laissez faire model makes sense as the “we always know better” country that largely insisted on it leaves by the back door.

Brexit what have you done apart from to give the Germans and the French an excuse to subsidies their industry's and out preform tarrif affected WTO trading insulated small minded and selfish England

Australia Australia Latest News, Australia Australia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Stock market crash: Current rally is a trap, says one market legend - Business InsiderBusiness Insider is a fast-growing business site with deep financial, media, tech, and other industry verticals. Launched in 2007, the site is now the largest business news site on the web. Which one is true?
Source: BusinessInsider - 🏆 729. / 51 Read more »

U.S. Stocks Are Outpacing the Rest of the WorldThe percentage of fund managers who deem U.S. stocks attractive has risen to the highest level in nearly five years, according to a recent survey .why because Fascism is good for finance? We have to change the market machinery. Or ... it’s a “pump and dump”, because the fundamentals aren’t there. Never mind the 100,000 dead, the 40 million out of work, and the racial anguish that wracks the nation. It's a great time to be a fund manager!
Source: WSJ - 🏆 98. / 63 Read more »

The ’Non Essential’ Business Owners Who Went UndergroundMany small businesses in Los Angeles refused to close after the county's mid-March “Safer at Home“ order. What it’s like to run a shadow business in the era of Covid-19: That customer should be wearing a face mask. Open illegally and spreading a virus one customer at a time. Gosh ... are they spreading the virus? Call the cops. Oops, no can do .... 🙃🙃
Source: politico - 🏆 381. / 59 Read more »