{
  "title": "Germany: Staff Report for the 2006 Article IV Consultation",
  "publication": "IMF Staff Country Reports, December 14, 2006",
  "sourceUrl": "https://www.imf.org/en/publications/cr/issues/2016/12/31/germany-staff-report-for-the-2006-article-iv-consultation-20177",
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  "summary": "The three-point VAT increase is part of a package in which unemployment payroll taxes will be reduced. Risks to the recovery are balanced but the range of forecasts for 2007 is unusually wide.",
  "sections": [
    {
      "heading": "Summary",
      "content": "- The three-point VAT increase is part of a package in which unemployment payroll taxes will be reduced.\n- Risks to the recovery are balanced but the range of forecasts for 2007 is unusually wide.\n- The priority for Germany is to transmit its external strength to the domestic economy, thus further broadening the recovery and creating conditions for sustained high growth.\n- The authorities are undertaking a review of active labor market policies (ALMPs) with a view to curtailing their number."
    },
    {
      "heading": "Fiscal measures and labor market",
      "content": "- Fiscal package: a three-point VAT increase combined with reductions in unemployment payroll taxes.\n- Active labor market policies (ALMPs): authorities are reviewing ALMPs with the objective of curtailing their number."
    },
    {
      "heading": "Risks and growth outlook",
      "content": "- Risks to the recovery are described as balanced.\n- The range of forecasts for 2007 is described as unusually wide, indicating uncertainty in near-term projections."
    },
    {
      "heading": "Policy priorities and recommendations",
      "content": "- Transmit external strength to the domestic economy to broaden the recovery.\n- Create conditions for sustained high growth.\n- Review and rationalize ALMPs to streamline active labor market interventions.\n\n---\n\n Content in this bundle\n\n- cr06438\n  - cr06438 (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - cr06438 (PDF){rel=\"external\" type=\"application/pdf\"}"
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    "Published: December 14, 2006",
    "Series: IMF Staff Country Reports",
    "DOI: https://doi.org/10.5089/9781451810530.002",
    "The three-point VAT increase is part of a package in which unemployment payroll taxes will be reduced.",
    "Risks to the recovery are balanced but the range of forecasts for 2007 is unusually wide.",
    "The priority for Germany is to transmit its external strength to the domestic economy, thus further broadening the recovery and creating conditions for sustained high growth.",
    "The authorities are undertaking a review of active labor market policies (ALMPs) with a view to curtailing their number.",
    "Fiscal package: a three-point VAT increase combined with reductions in unemployment payroll taxes.",
    "Active labor market policies (ALMPs): authorities are reviewing ALMPs with the objective of curtailing their number.",
    "Risks to the recovery are described as balanced.",
    "The range of forecasts for 2007 is described as unusually wide, indicating uncertainty in near-term projections.",
    "Transmit external strength to the domestic economy to broaden the recovery.",
    "Create conditions for sustained high growth.",
    "Review and rationalize ALMPs to streamline active labor market interventions.",
    "**_cr06438**"
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