How to get it right
Austerity programmes to restore order to public finances can add to the woes of already struggling economies, leading to more job losses and social hardship. But there are ways for governments to put their fiscal houses in order, while supporting growth and reducing income inequality at the same time.
The crisis affecting OECD economies is now in its sixth year, yet sizeable efforts are still needed to put government finances back on a sustainable base, while underpinning growth. At the same time, pressure is mounting to tackle the deepening social problems with policies to reduce exclusion and inequality. It is a difficult balancing act, which few countries can ignore. Indeed, the two largest OECD economies, the US and Japan, are among those countries requiring the most fiscal consolidation of all, to the order of 10% of GDP. Consolidation requirements are also large in troubled countries of the euro area and the UK.
Where are we in the current economic crisis?
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- Clinical trials for better health policies
- Policy can brighten the economic outlook
- Information society: Which way now?
- Asia’s Challenges
- Study abroad
- The EU fish discard ban: Where’s the catch?
- Homo Economicus: An uncertain guide
- Knowledge is growth
- “Made in the world”
