European growth : what's to be done

By: Jean Pisani Ferry, Bruegel

Some proposals on how to kick-start the economy.

Fannie and Freddie on the rope

By: Wolfgang Münchau

When house price are expected to decline by 30%, some strange things are happening

Can we raise growth through Expenditure Reforms? Of course, not!

A frequently heard argument is that public expenditure reforms can have a positive effect on economic growth. Unsurprising, perhaps, the ECB is among the advocated of expenditure, and has expanded on this subject in an article in its April 2006 monthly bulletin (see also the link below). We are sceptical of this argument, since it is mainly based on evidence from small countries.