Europe is still in a state of crisis, having experienced of stagnation and sluggish economic growth over the past decade. Some countries, like Greece, Spain, Portugal, and Italy, have grappled with depression or recession for years and still suffer from unacceptably high unemployment, especially among young people. Practically on the whole continent, economic underperformance, coupled with rising inequality, brought political and social uncertainty. This toxic mixture threatens the integrity of the EU as a whole, causing frustration amongst citizens, and encouraging populist movements around Europe. Against this backdrop, the EU’s political leadership cannot continue with a business-as-usual approach.
In his recent report for FEPS, Joseph Stiglitz outlines a new set of rules for economic, political, and social governance in Europe that would help to recast a prosperous and equitable EU marked by peace and solidarity within the context of globalization. To improve economic performance and create shared prosperity, the rules of the European economy – broadly understood the fundamental policies governing the EU – must be rewritten.
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