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5/22/06

Seattlepi.com: ECB president says euro zone must reform

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ECB president says euro zone must reform

PARIS -- The 12 countries that share the euro should restructure the labor market in a move that would help boost the region's economy, the president of the European Central Bank said Monday. "If euro-area countries would now summon up their strength and ambitiously push forward with structural reform, this will support and broaden the improvement in economic activity in the euro area," ECB President Jean-Claude Trichet told a conference in Paris. He said the euro zone must restructure labor markets with reforms of taxes and benefits, increase competitiveness in the services sectors, create a more entrepreneurial environment and implement reforms that lead to greater innovation and technological change.

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