FEPS study on employment-focused recovery for Europe

1st April 2014

FEPS s

Authors: Giovanni Cozzi (Foundation for European Progressive Studies) and Jo Michell (University of the West of England)

The Cambridge-Alphametrics Model (CAM) is used to in this study to compare and contrast two alternative scenarios for Europe. In the first we assume a continuation of current policies based on austerity measures and supply-side labour market policies. We contrast this with an 'employment-focused' approach in which austerity policies are reversed and investment rates rise significantly in the context of expanded European budget. In order to reduce the costs of servicing high levels of sovreign debt, we also assume that the debts of peripheral Eurozone countries above 60% of GDP are pooled into a European Debt Redemption Fund at a reduced rate of interest. On the basis of our projections we conclude that an employment-focused recovery strategy is indeed feasible as a realistic alternative to austerity.

More details and a copy of the report are available here.

Media enquiries should be directed to:

Shana Cohen
Email: scohen@tasc.ie
Tel: +353 1 6169050

Support us
Donate to TASC

There are many ways to support our work.

Find out more

View our Publications

View full listings of all our recent publications.

Find out more