Pierre Moscovici: Economic growth now, or we are all dead!

An interesting article

The European Commissioner for Economic and Financial Affairs, Taxation and Customs Pierre Moscovici in an article he wrote for the newspaper «Les Echos», stated that today in the Eurozone, our common house, some of the residents decided not to keep warm their big apartment. Many neighbors, he says, not so wealthy, asked from the building manager to raise the temperature a bit, to help the others stay warm in their apartments. This is how the European Commissioner described the way the Commissions’ recommendations for a more growth focused course were received by the Eurogroup.

 

According to the recommendations, in 2017 the budgetary policy of the Eurozone must go from the restrictive policy of the 2012-2014 period and the neutral 2015-1016 period to a slightly more expansive policy that will be focusing on economic growth and development.

 

Mr. Moscovici moves on arguing that the Commission has never asked of any member-state to increase their spending. What it has asked is that countries that apply tighter budgetary policies than what the European rules demand, to take advantage of their budgetary spaciousness for the benefit of everyone.

 

“Can we wait for another five or ten years for the economy to find its pace? On the long run all problems are without doubt structural, but on the long run, to remember Keynes, we will all be dead and the European structure too. That is why the balance the Commission is asking for can not wait any longer”, he concludes.