The need for and impacts of structural policy in the euro area
Melolinna, Marko (09.10.2014)
Volyymi
88Numero
4Julkaisija
Bank of Finland
2014
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:bof-201411073137Tiivistelmä
Structural reforms will boost long-term economic prosperity in the euro area. In the short term, reforms could weaken economic performance. Nevertheless, on the whole, both an empirical and a theoretical examination of structural policy in the euro area strongly suggest there is an urgent need for structural reforms. These provide the only way to boost the potential output of the economy in a situation in which the long-term prospects for many euro area economies and the outlook for general government sustainability look bleak.