Local view for "http://purl.org/linkedpolitics/eu/plenary/2004-02-10-Speech-2-120"

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"en.20040210.5.2-120"2
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". To economists, major profit-making international businesses, based in Europe, America or Japan, are often the benchmark for the developing countries, which would automatically prosper if those businesses were given the freedom to take over loss-making activities and export raw materials. This assumption is short-sighted. For centuries, the economy in those countries was controlled by the north, as a result of which they were forced to produce cheap products for the market of rich countries, to the detriment of their domestic economy and the provision of services to their own people. To a large extent, following the removal of colonial government, they have themselves had to develop and extend provision in the fields of education, health care, public transport, house building, postal services, electricity, drinking water, telephone and sewage. Generally high development costs and low profit expectations have meant those sectors did not initially appeal to foreign private companies. Moreover, we saw that, in the nineteenth and twentieth centuries, the early development of industry in Japan was possible only thanks to state-owned companies that were privatised only after they had become profitable. That is why it was useful that the Committee on Development and Cooperation not only considered privatisation and full liberalisation but also the provision of services, poverty reduction, small businesses, cooperatives and a sustainable role for government initiatives. It is lamentable that today’s plenary has seen the Christian Democrats standing in the way of a majority for these instruments against poverty and underdevelopment."@en1

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