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Bulletin of the EUROPEAN COMMUNITIES lssN 0378.3693 Bulletin OF THE EUROPEAN COMMUNITIES uommlsston4.. No 10 1986 \ Volume 19 The Bulletin of the European Communities reports on the activities of the Commission and the other Community institutions. lt is edited by the Secretariat-General of the Commission (rue de la Loi 200, B-1049 Brus- sels) and published eleven times a yeil (one is#e covers July and August) in the official Cgmmunity languages. t ,'c. Reproduction is authoriz-eb provided ihe source is acknowledged. ' I itil .' ' Ll) * -.i .. ll.*t' The following reference syiie.nr is usedithe first digit indicates the part number, the second digit the chapter number and the subsequent digit or digits the point number. Citations should therefore read as follows: Bull. EC 1 -1986, point 1 .1.3 or 2.2.36. i Supplements to the Bulletin are published in a separate series at irigutar intervals. They contain official Commission material (e.9. communications to the Council, programmes, reports and proposals). 'l Printed in Belgium Bulletin OF THE EUROPEAN COMMUNITIES ECSC_EEC-EAEC Commission of the European Communities Secretariat-General Brussels No 10 1986 Sent to press in February 1987 Volume 19 co nte nts PART ONE PETfIi"',, 1. Reduction of unemployment in a more dynamic European Community - Annual economic report 1986-87 7 2. New policy on aid to shipbuilding 9 3. Action programme for small and medium-sized enterprises 12 |-"8.J+EEE*,,,U lr PART TWO I 1. Building the Community 14 - Economic and monetary policy 14 - lnternal market and industrial affairs 15 - Steel 17 Research and technology, industrial innovation and the - information market 21 Customs union 27 Competition 29 Financial institutions and taxation 32 Employment, education and social policy 33 Culture 36 Regional policy 37 Coordination of structural instruments 40 Environment and consumers 41 Agriculture 44 Fisheries 53 Transport 56 Energy 56 Nuclear safety 57 2. External relations 58 - New round of multilateral trade negotiations 58 - Renewal of Multifibre Arrangement 58 - Commercial policy 58 - Relations with industrialized countries 60 - Relations with other countries and regions 62 e Mediterraneancountries 62 o Asia 63 o Latin America 64 o State-tradingcountries 65 - Development 65 - lnternational organizations and conferences 72 3. Financing Community activities 73 - Budgets 73 - Financial operations 73 4. Political and institutional matters 74 - European political cooperation 74 - Other intergovernmental cooperation 75 - European policy and relations between the institutions 78 - lnstitutions and organs of the Communities 79 e Parliament 79 o Council 90 o Commission 92 o Court of Justice 94 o Court of Auditors 104 o Economic and Social Committee 104 o ECSC Consultative Committee 105 t: o European lnvestment Bank 106 t' ti PART THREE DOCUM ENTATION ti 1. ECU 110 2. Additional references in the Official Journal 111 3. lnfringement procedures 112 Grants for research into European integration, 1987-88 114 Supplements 1 986 1/86 Programme of the Commission for 1986 2/86 Single European Act 3/86 Equal opportunities for women-- Medium-term Community programme 1986-90 4186 Community action in the field of tourism 5/86 The Community's broadcasting policy Proposal for a Council Directive concerning broadcasting- activities 6/86 A new impetus for consumer protection policy 7 /86 Voting rights in local elections for Community nationals \ PART O[\IE SPECIAL FEATURES \ Bulletin information service (date Readers can obtain information on developments since this issue went to press of opinions.given by Parliament or the Economic ;i.p,i".;f initrrrn.nrc by the -Council,.of Committil, o( publication in the Officiat Journal, etc.) by telephoning the ao.urn."t"nd'So.i"l services of the Infbrmation Offices at the following numbers: London 2728122 Belfast 240708 Cardiff 371631 Edinburgh 225 2058 Dublin 712244 Mme Teirlinck M. Clairet References in text and footnotes References ro other parts of the same issue of the Bulletin are given in parentheses in text, thus (-+ point 2.1.53). References to other issues of the Bulletin, to a Bulletin Supplement, to an Official Journal etc. are given in footnotes. Standardized abbreviations for the designation of certain monetary units in the drfferent languages of the community: ECU = European cunency unit BFR = Belgische frank / Franc belge DKR = Dansk krone DM = Deutsche Mark DR = Greek drachma ESC = Escudo FF = Franc frangais HFL = Nederlandse gulden (Hollandse florijn) IRL = lrish pound / punt LFR = Franc luxembourgeois LIT = Lira italiana PTA = Peseta UKL = Pound sterling USD = United States dollar 1 . Reduction of unemployment in a more dynamic European economy Annual economic report 1g8O-87 required if the major problems facing the world economy are ro be solved. The risks on the international 1.1.1. front are seen to be the ln 7987 economic growth in the Com- following: munity will continue for the sixth year running, a remarkable achievemenr, but unemploymEnr, (i) a further significant fall in the dollar while down a little, will still be hieh. Tfie doliciei or uncontrolled exchange-rate movements; implemented since the second oil s[ock havi made an effective contribution towards restoring the (ii) an insufficient or inappropriate adjust- foundations for sounder growth but their eTfects ment process in Japan and the United States; on.the level-of unemployment are working through (iii) a further large shift in oil prices; only very slowly. The turrent level of u"nemploy- ment cannor be tolerated and, far from beinelnes- (iv) a worsening of the situation in the capable, can be reduced through balanced iction developing countries. bgaring simultaneously on sufply and demand. The easing of inflationary pieisures and the Within the Community, the following improvement in payments balances produced by developments are forecast: falling_energy _p-riiei wil I provide the' Community in 1987 and 1988 with a unique opportunity that (i) a slight acceleration in real GDp needs to be seized. growth (to an expe*ed 2.8"/o in 1987) that will not, however, be on the scale that it This is the message contained in the annual could and should be in order to bring about economic reporr 1986-87, which the Com- an appreciable and sustained fall in unem- mission sent ro the Council on 21 October ployment; and to Parliament and the Economic and Social Committee.l In the report, the Com- (ii) an incrase of some 0.8% a year in mission reviews economic developments employment that will produce a deiline in and prospects and updates the economic the unemploymenr rate, from l7o/o in 1986 policy guidelines mafped out in the pre- to 10.87o in 7987, a performance which is vious report, entitled Cooperative growth regarded as thoroughly unsatisfacory; strategy for more employment'z and (iii) a similarly unsatisfacrory pattern of endorsed by the Couniil in December growth between regions and Member 1985. r It comes to the conclusion that the States, with no tangible convergence in real economic policy recommendations set out per capita GDP, which is ah essenrial in last_year's report have certainly not been element in reinforcing economic and social overtaken by events and must be cohesion; implemented with vigour determi- and (iv) dynamic real demand in the Com- nation. To that end, accordance in with munity in response to the substantial Article 3 of the 1974 Council Directive on improvement in the terms of trade; stability, growth and full employment,4 the Commission calls on Mtmber Srares' (u) sustained growth in investment such governments and on the two sides of indus- as to, increase productive capacity but leav- try to initiate ar narional level the social ing the overall level of investmenl four per- dialogue necessary for the implementation centage points of GDP below whar it was of the economic policy proposed. before the first oil shock; (vi)- a further fall in inflation rares together with some oprimism that this greateistab- lnitial situation and prospects I 1.1.2. The report notes rhe positive devel- 2 coM(86) 530 final. opments at international level points Bull. EC 10-1985, point 1.3.1 et se4. but j OJ I- 3V,31.12.1985l' Bull. EC 12-1985, point 2.1.2. out that considerable efforts will be . oJ L 63, s.3.1974. Bull. EC 10-1985 Annual economic report 1986-87 ility and price convergence will be maintai- and as quickly as possible in order to ned and consolidated. improve the conditions governing supply and demand through the lowering of taxes and social security contributions and by margin Community economic PolicY stepping up public investment.-This for 1987 and beyond comts from extra receipts and lower expen- ditures resulting from more vigorous 1.1.3. The improvement in supply-side qrowth and the increase in employment. conditions and the positive effects of the Flo*.uer, the room for maneouvre avail- differs fall in oil prices are not sufficient to Put the able to the various Member States Communily spontaneously back on to a very considerably and only ,a gpal-l group srowth path that would allow unemploy- of Member States will probably be in a irent to-be reduced to the desired extent. position to take action in this field in 1987 The oresent medium-term outlook indicates ind 1988. It is important that other that, on unchanged policies and behaviour, countries should join the grouP as the econ- the growth in real GDP is likely to remain omic recovery progresses. This beneficial below 3% and that the unemployment rate chain reactioir will need to be reinforced in the Community would therefore still be through concerted action. above 10% in 1990. Hence the need for the view that the basic deliberate and determined application of The report also takes policy in the Community the cooperative growth for more employ- thrust of monetary that the aim must ment, together with the mutually reinforc- need not be altered and of the ing effecis of progress under other Com- continue to be appropriate financing munity policiei (i.e.
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