The European Union is going through its most profound crisis since its establishment more than 50 years ago. The dramatic economic downturn that most countries have experienced, coupled with a lack of agreement among politicians on how to reverse it, has given way to increasing social discontent, the rise of political extremism, and a general erosion of confidence among businesses and citizens in politicians and the European project as a whole.
Until recently, the debate around how to regain this lost confidence and generate growth and jobs has been dominated by those in favour of fiscal austerity; in the belief that pain today means avoiding greater pain tomorrow. Increasingly, however, countries are putting forward recipes aimed at stimulating growth in the short term to avoid irreversible damage in already hard-hit economies in the long term.
Read more at http://forumblog.org/2012/06/how-to-build-a-more-competitive-europe/