Interpreting the Stability and Growth Pact: Making Best Use of the Existing Flexibility Within the Rules


In this timely special briefing, Chief Economist Alessandro Leipold explores the limits and best application of flexibility within the existing stability and growth pact. On the basis of a comprehensive analysis of the economic situation in Europe today, he proposes a three-point plan for developing pro-growth policies within the existing rules – and ensuring that the pact continues to play its important role in encouraging fiscal discipline and underpinning market confidence in the euro project. 

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