Through 2005-06somehoped thateBay's PayPal unit, acquired in 2002, andSkype, in 2005, would prove to be newgrowthengines, along with internationalmarkets.
One of the reasons our capital spending budget is going up is that we see PC unitgrowth north of 10% for the foreseeable future, driven by emerging markets.
Italy has reduced unemployment, but rising unit labour costs are squeezing firms out of markets, a big cause both of slow economic growth and of demands for trade barriers.