This has clearly not been the case in the past. Hence, there is an urgent need to improve policy-making at both the national and the area-wide level. With respect to the latter, there is now a consensus on the need to reinforce economic governance within the euro area.
Prior to the pandemic, multi-decade lows in unemployment rates were recorded in many countries, yet even then there was only a modest lift in wages growth and inflation. And here in Australia, even though unemployment rates in some states fell to levels last recorded in the early 1970s, wage growth remained subdued.