Financial Market
Democratizing the Financial Markets - ATTAC: LINK ¤ ATTAC
- "the financial crisis of the USA - should be seen in a larger context !!!!!!!!!!!!"
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- "market radicalism fails on all economic and social planes - not only on the plane of the financial markets !!!!!!"
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- "markets need rules - financial markets need rules !!!!!!!!!!!!!!!!!!"
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- "to avoid crises - and safeguard the interests of the general public !!!!!!!!!!!!"
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- "bailout measures must be coupled to a system change - without inefficient and hardly regulated financial markets !!!!!!"
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- "to democratic and effectively regulated - financial markets !!!!!!!!!!!!"
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- "speculation must be muffled - therefore far-reaching reforms must be carried out !!!!!!!!!"
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- "for example, strengthening international cooperation - and regulating actors, and products !!!!!!!!!!!!"
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- "combined with measures to protect the environment, especially the atmosphere - social spending, and education !!!!!!!!!!!!"
the causal Agents should bear a high Share of the Costs:
- "there are different possibilities - of getting the financial market actors - to pay !!!!!!!!!"
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- "capital income - should be subject to a high uniform, and progressive taxation !!!!!!!!!!!!"
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- "special tax on assets - to finance measures !!!!!!!!!"
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- "public funds should be used - for investment programs !!!!!!!!!!!!"
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- "and raising the top tax rate for the top 1% - of the top earners !!!!!!!!!!!!"
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global Financial Market Monitoring:
- "for the actors on the financial markets - there should be adequate international reporting duty !!!!!!!!!"
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- "national audits - are not enough !!!!!!"
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- "there should be a global - financial market monitoring authority !!!!!!!!!!!!"
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- "for controlling actors - and products !!!!!!!!!!!!"
Regulation of Investment Funds:
- "hedge funds usually accepted enormous credits - to strengthen their "leverage" !"
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- "with only marginal investment - of their own capital !"
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- "when the speculations goes wrong - several banks are involved !"
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- "thus hedge funds represent a considerable - stability risk !!!!!!"
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- "the classic speculative business activity of hedge funds - should be strictly regulated !!!!!!!!!!!!"
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- "private-equity funds gained shares of businesses with the capital of investors - and often with credit, "levers" !"
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- "often, the private-equity company carried out measures - for increased short-term profitability !"
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- "and drew money out of the firm - in the form of "re-capitalizations" !"
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- "after a few years, the private-equity company - alighted from the enterprise !"
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- "investment funds often settled in tax havens - and conducted their speculative businesses from there !"
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- "global funds can be regulated effectively - on the international plane !!!!!!!!!!!!"
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- "strict internationally-standardized regulation - of hedge- and private-equity funds !!!!!!!!!!!!"
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- "with democratic controls - regulations on internal capital holdings - and taxation on profits !!!!!!!!!!!!"
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- "legal disclosure of ownership structures - origin of funds !!!!!!!!!!!!"
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- "investment focal points - risk-management models - profits - risks as well as the incentive-structure of management !!!!!!!!!"
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- "and liability - for misleading information !!!!!!!!!!!!"
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- "risky investment strategies like short-selling, OTC-businesses - should be prohibited !!!!!!!!!"
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- "strict capital requirements should be in effect to banks - for grants to investment funds !!!!!!!!!"
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- "funds licensed in tax havens - should be denied access to the market !!!!!!!!!"
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- "realized profits of funds must be subject - to the investment tax !!!!!!!!!"
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- "and financial promotion of small- and medium-sized businesses - by strengthening classical financing sources is sensible !!!!!!!!!!!!"
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- "technology promotion, like renewable energy - should flow directly to innovative businesses !!!!!!!!!!!!"
Regulation of Derivatives:
- "derivatives are securities - whose price depends on the value of an "underlying" asset !"
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- "for example, stock index - raw materials - horse race !"
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- "derivatives in reality mainly serve - speculation !"
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- "by means of derivatives - speculators bet on future price changes !"
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- "derivatives very strongly contributed - to the financial crisis of the USA !"
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- "most of these derivatives have no additional real-economic benefit - they only serve speculation !"
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- "in some cases, neither traders nor investors - understood the products !"
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- "therefore current and new derivatives coming on the market - should be scrutinized !!!!!!!!!!!!"
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- "and if necessary prohibited or not allowed - by a public authority !!!!!!!!!!!!"
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- "the majority of derivatives were traded "over the counter", OTC - not in the framework of stock exchanges !"
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- "two business partners agreed bilaterally on a deal - without this being publically intended or controlled !"
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- "this hides considerable stability risks - and therefore should be prohibited !!!!!!!!!!!!"
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- "therefore there should be - a registration of derivatives !!!!!!!!!!!!"
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- "and there should be a taxation of trade with derivatives - for example, through a general financial transactions tax !!!!!!!!!"
Closing of Tax Havens:
- "tax havens were also - regulatory havens !"
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- "there units were subject to the regulations of tax havens - and not to the laws of the land where the business activity took place !"
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- "banks and investors established "shadow banking" - in tax havens !"
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- "and transfered risks from balance sheets - and eluded internal capital regulations !"
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- "therefore tax havens - should be closed !!!!!!!!!!!!"
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- "closing tax havens is a question - of political will !!!!!!!!!!!!"
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- "most tax havens are protectorates - and can be shut down through political pressure !!!!!!"
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- "with non-cooperation of the tax havens - the turnover of capital in and from these countries can be restricted !!!!!!"
- "licenses could be withdrawn from corporations and banks - that maintain mailbox branch offices in tax havens !!!!!!!!!"
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- "economic sanctions against tax havens - and stronger prosecution of tax evasion !!!!!!!!!!!!"
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- "and an automatic global information exchange - between tax havens and countries of origin !!!!!!!!!!!!"
general Financial Transactions Tax:
- "short-term speculation on financial markets - lead to volatility, uncertainty and instability !!!!!!"
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- "implied higher insurance costs - and set false incentives in business policy !!!!!!"
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- "short-term price fluctuations of exchange rates - raw material prices - stock prices - and long-term deviations from real-economic prices !"
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- "lead to inefficiency !!!!!!"
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- ""herd conduct" determined the conduct of investors - as fundamental economic data !"
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- "there were financial investments - instead of real investments !"
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- "one kind of speculation was called - "arbitrage" !"
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- "in this business, sums were moved in short time periods - from one investment firm, to another !"
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- "and slight price changes were exploited - for example, different prices for products on different stock exchanges !"
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- "short-term trade increased through the use of technical "trading systems" - and trade through computer systems !"
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- "a tax with a microscopic tax rate - on financial transactions !!!!!!!!!!!!"
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- "makes the bulk of short-term speculation - unprofitable !!!!!!!!!!!!"
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- "the introduction of a general financial transactions tax - worldwide !!!!!!!!!!!!!!!!!!"
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- "including derivatives - stocks - and currency trade !!!!!!!!!!!! - ( derivatives with greater leverage - should be taxed higher ! )"
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- "the tax rate should be between 0.1% - and 0.01% !!!!!!!!!!!!"
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- "primary use of tax revenues for the public - for the climate - and to fulfill the millennium development goals !!!!!!!!!!!!"
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Rating Agencies:
- "rating agencies have the task of evaluating securities - and borrowers !!!!!!"
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- "they should provide objective estimates on the credit-worthiness of debtors - and classify securities according to their risks !!!!!!"
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- "market actors must be able - to rely on their judgment !!!!!!"
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- "private rating agencies have enormous incentives to yield to their customers’ desires - in their assessments !"
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- "these rating agencies were paid by those - whom they evaluate !"
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- "this conduct caused the US financial crisis - private rating agencies rated the risky "mortgage-backed securities" as safe !"
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- "therefore public agencies independent of profit interests should be created - that carry out the rating of actors and products !!!!!!!!!!!!"
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- "and there should be a "registration" - of new products, like derivatives !!!!!!!!!!!!"
Banking Sector:
- "banks have a function for the real economy - therefore private banks should be strictly controlled !!!!!!!!!!!!"
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- "the European "economic miracle" is based on - a partly cooperatively organized house banking system !!!!!!!!!"
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- "the goal of an alternative capital market offensive - should be a public !!!!!!!!!!!!"
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- "small-scale and cooperative - house banking system !!!!!!!!!!!!"
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- "with inexpensive credit - to "real" investing businesses !!!!!!!!!!!!"
Shareholder Value:
- "the pay of managers was coupled to the stock price - through so-called stock options !"
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- "stock options should be prohibited to avoid financial incentives - to short-term business policy !!!!!!!!!!!!"
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- "shareholder voting rights should be coupled to the time stocks are held - to minimize the influence of short-term interests !!!!!!!!!!!!"
Equality:
- "redistribution from top to bottom - has economic advantages !!!!!!!!!!!!"
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- "strengthening the purchasing power of low-income groups - stimulates the economy !!!!!!!!!!!!"
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- "investments in the real economy are more attractive - compared to investments in the financial economy !!!!!!!!!"
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- "all capital income, asset-related income, profit income - should be taxed equally and progressively !!!!!!!!!!!!"
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- "property taxes like inheritance and gift taxes - should be introduced !!!!!!!!!!!!"
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- "and wages should rise !!!!!!!!!!!!"
international Financial Architecture:
- "the International Monetary Fund, IMF - should be transformed into a "World Central Bank" !!!!!!!!!!!!"
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- "supplying liquidity - stabilizing exchange rates - and functioning as the "last creditor" !!!!!!!!!!!!"
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- "the World Bank and the IMF should be subject - to a democratized UN !!!!!!!!!!!!"
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Financial System - US cable - 2009: LINK ¤ 09TOKYO2060
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curbing Salaries is not enough - Mainichi - Japan:
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- "curbing the salaries of financial institutions - is not enough !!!!"
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- "the G20 should focus on how to make the transition - from the present financial system !!!!!!"
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- "to a new system - that contributes to the society !!!!!!"
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US Bailout Plan - US cable - 2009: LINK ¤ 09BERLIN344
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Sueddeutsche:
- "after listening to Geithner's plan - the US bailout plan !"
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- "the listeners immediately come up with one question - if everything is so simple, why has thus far no one come up with this idea ?!"
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- "the answer: because at least one of the actors will lose - namely the US American state !!!!!!"
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- "the USA are supposed to finance the purchase - of the toxic bonds !!!!!!"
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- "( state guarantees shouldered by the American people ! )"
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- "there is a radical alternative: the investors should make greater sacrifices !!!!!!"
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- "this would be much fairer - than the Geithner's plan !!!!!!"
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- "the great irony of Geithner's plan, the US bailout plan - is that he !!!!"
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- "wants to use instruments - that were responsible for so many financial problems !!!!!!"
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- "private investors would de facto get - the possibility !!!!"
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- "to speculate - with taxpayers' money !!!!"
US Financial Crisis - US cable - 2008: LINK ¤ 08BERLIN1529
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Frankfurter Allgemeine Zeitung:
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- "now the time for politicians - has come !!!!!!"
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- "to give the global finance sector - a new structure !!!!!!"
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- "it is necessary to create - a global framework of rules !!!!!!"

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US Financial Crisis - US cable - 2009: LINK ¤ 09SAOPAULO145
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Opportunity - O Estado de S. Paulo:
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- "the US financial crisis demands important reforms - in the world economy !!!!!!"
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- "and opens, therefore - opportunities !!!!!!"
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- "to rebuild the economy - with a more solid basis !!!!!!"
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- "while the financial crisis is artificial - generated by speculators and irresponsible bankers !"
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- "the challenge for renewable energy is real - and will only be solved with better technologies !!!!!!"
US Financial Crisis - US cable - 2008: LINK ¤ 08SAOPAULO636
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the Crisis and its long-term Corollaries - Valor Economico:
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- "what one can affirm - and without great risk !!!!"
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- "is that capitalism - will never be the same !!!!!!"
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- "among the changes will be - a strict regulation of the financial sector !!!!!!"
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- "and controlling the abuse - of executives !!!!"
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- "rules should be created - to avoid that !!!!!!"
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- "and with justifiable measures - intended to correct the financial crisis !!!!!!"
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Financial Regulations - O Estado de S.Paulo:
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- "governments need - to act !!!!!!"
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- "we have to increase financial regulations - globally !!!!!!"
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- "and protect the nature - globally !!!!!!"
US Financial Crisis - US cable - 2008: LINK ¤ 08SAOPAULO607
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New Deal - Valor Economico:
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- "the minimum platform to be used should be - a "New Deal" !!!!!!"
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- "rebalancing the economy - from the base !!!!!!"
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- "through public spending in infrastructure - and public policies to activate jobs !!!!!!"
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- "the new paradigm - therefore is !!!!!!"
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- "that of cooperation - among peoples and nations !!!!!!!!!!!!"
FINANCIAL MARKET - Wikipedia EN: LINK ¤ FINANCIAL MARKET
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