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Like Greece before it, Portugal is chasing its tail in a downward spiral. Economic contraction of 3pc a year is eroding the tax base, causing Lisbon to miss deficit targets. A new working paper by the Bank of Portugal explains why it has gone wrong. The fiscal multiplier is “twice as large as normal”, or 2.0, in small open economies during crisis times.
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Last year, Dauch stepped down as chief executive of American Axle, handing the top spot to his son, David, but he stayed on as executive chairman. He also published the book "American Drive" last year.

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