EU'S Internal Coordination Is The Key To Rescue The Market.

The European Commission has provided the member states with a set of policy toolbox in the economic stimulus plan, so that countries can choose appropriate tools according to their own circumstances. The main purpose is to coordinate the actions of all countries and mobilize Member States to save the real economy as if they had worked together to cope with the financial crisis.

The European Commission issued a huge economic stimulus plan amounting to 200 billion euros on the 26 day. However, whether the plan can twist the EU member states into a single rope, it is full of suspense to successfully reverse the decline of the EU economy.

In view of the rapid deterioration of the current EU economic situation under the impact of the financial crisis, Barroso, the chairman of the European Commission, said in the announcement of the economic stimulus plan on the same day, "extraordinary measures need to be taken in a very special period".

It should be said that 200 billion euros is definitely a "big deal", which is equivalent to 1.5% of the EU gross domestic product, much larger than the 130 billion euros previously disclosed by the media.

However, there is a lot of water.

In the 200 billion euro, only 30 billion euros comes from the EU budget and the European investment bank, and the remaining 170 billion euros from the member states are not controlled by the European Union, but are used by various countries to revitalize their economies.

The 170 billion euro is essentially the sum of the national economic stimulus plans, and the so-called EU stimulus plan will still be based on the actions of Member States. The European Commission only hopes to set a scale of funding for the national economic stimulus plan.

According to the calculation of 170 billion euros, the EU Member States' respective economic stimulus plans will average 1.2% of their gross domestic product.

A few days ago, Germany and Britain, the two largest EU member countries, announced their own economic stimulus plan. With the Holland and Spain and other countries, the EU member states have so far launched the total economic stimulus plan of over 100 billion euros.

Barroso said that the economic stimulus plan has already been counted by Member States, which means that the 200 billion euro economic stimulus plan has just been released. Many of the contents are past, and the remaining surprises are few.

Therefore, some analysts have questioned whether the European Commission's plan is really "bold", and accuse its specific contents of lacking new ideas, so as to lead the EU economy out of the shadow of recession.

At the same time, it is also uncertain whether the plan can be accepted by EU Member States.

Donald Tuisk, Prime Minister of Poland, questioned the feasibility of the plan on 26 th.

He said it is easy to throw out a number simply, but raising money from somewhere is a big problem.

The German government said its stimulus package was big enough.

Shortly before the European Commission announced the economic stimulus plan, German Chancellor Merkel warned in a speech to parliament that EU Member States should not compete with each other in terms of the specific amount of the stimulus plan.

The main purpose of the European Commission's economic stimulus plan is to coordinate the actions of all countries.

The European Commission believes that only by strengthening coordination can we maximize the potential of national economic stimulus measures to form scale effects and avoid adverse effects.

However, due to the large differences in the economic situation and the actual situation of the EU Member States, the prescriptions for the symptomatic prescriptions will naturally be different and the coordination is rather difficult.

It is expected that when the leaders of EU Member States deliberate on the EU's economic stimulus plan at the summit next month, there must be no dispute.