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Essay / Research Paper Abstract
This 4 page paper examines and summarises an article that examines the relationship between the EU and the US regarding tax and subsidy polices and then considers how this can be interpreted in the broader context of the economies and policies. The bibliography cites 1 source.
Page Count:
4 pages (~225 words per page)
File: TS14_TEEUUSTax.rtf
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Unformatted sample text from the term paper:
ending of a tax subsidy system which had been in place for many years, but was ruled to be illegal by the WTO, was being eliminated with new legislation. However,
the problem and ongoing disagreement is due to the government was giving a period of grace to the affected companies. The companies
that will be affected will have three years to make adjustments, even though they knew these changes were coming about. The EU argues that this is not fair. The S
argue that this was known about by the EU during the period before the legislation was passed, and if there were problems or concerns, these should have been addressed beforehand.
The EU had imposed $4 billion worth of sanctions as a result of the tax cut that is now being eliminated, and has promised to withdraw these sanctions when
the legislation is passed. However, by asking fir discussions before the withdrawal there is an implications that these may be delayed. The argument is that the issue is being
raised as a way of relation after new concerns were raised with the WTO, this time by the US against the EU,. The point of contention are the subsidies that
are being received by the EU firm Airbus, the main competitor to Boeing. The argument that this is retaliation for the US objecting to the complaint about Airbus is justified
with arguments that the three year grandfathering is seen and known to be common practice not only in the US, but also in the EU in some of the member
states. As such it is hypocritical to raise this objection now. However, the implied threats are not only from the EU, the US are making similar sounds. The bill
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