EU has its own Stimulus Package

Today the European Commission is presenting a huge stimulis plan to meet the looming economic downturn, with more than 130 billion euros in initiatives.

President José Manuel Durao Barroso said the plan is based on a "groundwork coordinated measures by member states, which are tailored to each specific situation."

German Chancellor Angela Merkel approved injetions of capital in Europe's biggest economy of 32 billion euros over the next two years.

British Prime Minister Gordon Brown wants to lower its VAT from 17.5 to 15 per cent, starting next month, and even wants lower rates in some instances, such as restaurant bills.

All governments in Europe are facing the same challenge of preparing anti-crisis plans. Most choose from a menu that includes public works expenditures, tax cuts, monetary handouts, benefits for the families and other measures that can be applied fast.