A line for Jobs and Growth

Joseph Stiglitz: This can't go on forever - so it won't: "Europe, for its part, is finally beginning to recognise the problems with its macro-economic institutions, particularly a stability pact that restricts the use of fiscal policy and a central bank that focuses only on inflation, not on jobs or growth."

As Joseph Stiglitz (of Nobel fame) so well put it, Europe's problems with unemployment and economic growth is in part (how big part?) due to the restricted focus of Europe's Central Bank on inflation, which deprives Europe of an effective fical policy for growth. The Stability Pact must be revised, Europe needs growth, but it cannot continue to be restricted by what the former President of the Comission called a "stupid" treaty.

Maybe this is the "sign" that Durão Barroso - the current President of the Comission - had been waiting and a clear chance for him to make his term historical, by enabling Europe to regain the fiscal flexibility that it needs to combat recessions such as the one we saw in 1999-2003 and may be seeing again.

The Stability Pact must be changed. It is up to Europe's citizens to make their voices heard in their local elections so that this message does not go unnoticed in Brussels.