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highland hike English
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News and current affairs
A hike, in other words, would indicate that good things are happening.
According to Brown, the tax hike would be temporary, yet it would last seven years.
As for the US, a sharp hike in energy taxes on gasoline and other fossil fuels would not only help improve the government's balance sheet, but it would also be a way to start addressing global warming.
Take-up has been slow, but the April 2006 surprise hike in bank rates may help to sow greater public awareness of interest-rate risk.
The associated revenue increase was, at least, across the board, rather than the unbalanced hike in marginal tax rates at the top that was enacted.
To be sure, an unexpected slowdown in economic activity or a strong rise in the value of the euro could postpone the inevitable rate hike.
The ECB's paltry rate hike in December, together with the supine promise of no plans for further monetary tightening, demonstrates that Trichet is no Duisenberg.
Indeed, even the markets were fooled, giving the ECB a good grade for its unremarkable rate hike.
Inflationary expectations, as measured by the rates on certain market instruments, actually fell after the hike, indicating increased confidence that the ECB will keep a lid on price pressures.
Although the meager rate hike was presented as a consensus of the ECB's Governing Council, it soon became apparent that the decision had been controversial.
Others spoke out as well, and the futures markets quickly predicted another 25-basis-point rate hike in March.
Indeed, any standard decision rule used by central banks by now dictates that a hike is long overdue.
One small hike and the Fed owns every bad outcome, no matter what the real cause.
Any central banker will tell you that he or she gets 99 requests for interest-rate cuts for every request for a hike, almost regardless of the situation.
That would be the functional equivalent of a tax hike on beleaguered American families - hardly the solution that US politicians are promising.
For example, to make his threats of an interest-rate hike in the midst of a global slowdown credible, the ECB president is using his press conferences to tell the world how strong European growth is.
In recent days, Abe has raised serious questions about proceeding with the second phase of a previously legislated consumer-tax hike that has long been viewed as the linchpin of Japan's debt-consolidation strategy.
That would be the functional equivalent of a tax hike on middle-class families - precisely the constituency that so concerns Congress.
In the aftermath of the Great Depression, for example, there was a widespread consensus in the United States that excessive congressional interference was responsible for the disastrous hike in import barriers under the Smoot-Hawley Tariff.
So, sooner or later, a tax hike will be necessary.
Without comprehensive reform under strong political leadership, a tax hike alone cannot solve Japan's problems.