There is no doubt that it needs to be tackled by policies enhancing the flexibility of the euro area labour and goods markets. In the coming years, the success of EMU demands that the division of policy responsibilities between monetary and government authorities, as set out in the Maastricht Treaty, is followed. This allows the Eurosystem’s monetary policy to focus on its primary objective.
At the same time economic policies can be directed more efficiently towards structural problems prevailing in the Member States. Such a 5  BIS Review 16/2000  sharing of tasks is both transparent and conducive to accountability. It enhances the credibility of monetary and economic policies in Europe.