Lacking a common fiscal capacity, demand in the euro area must draw support from a more convinced use of the available fiscal space. In particular, this implies a substantial, and symmetric, respect of the requirements of both the Excessive Deficit Procedure and the Macroeconomic Imbalance Procedure.
In the case of national budgets, the existing flexibility should be reasonably used within the limits of European fiscal rules. At the same time the creation of new income, new demand, and new jobs must be supported by measures and reforms designed, as of now, to raise productivity and enhance growth potential.