Europe has a real chance to conclude a bargain if member countries implement fiscal and structural reforms in exchange for short-run relaxation of fiscal constraints focusing on growth-oriented investments.
The "old" theory about inequality was that redistribution via the tax system weakened incentives and undermined economic growth. But the relationship between inequality and growth is far more complex and multi-dimensional than this simple trade-off suggests.
People scrambling to keep up with digital technologies need to know that the world we are entering is one in which the most powerful global flows will be ideas and digital capital — not goods, services and traditional capital.
Though domestic investment is constrained by credit availability, major European and Latin American multinationals have begun investing in the Spanish economy, attracted by its enhanced competitive posture, structural flexibility and recovery in domestic demand.