This requires a concerted effort in terms of economic and fiscal policies. In many countries of the euro area, current fiscal space to support growth is limited. We should avoid the fiscal rules being stretched to a point where they lose credibility.
And tight credit conditions – especially for  3  See Perry and Schultze, "Was This Recession Different?" p. 149. For related evidence, see Paul Beaudry and Gary Koop (1993), "Do Recessions Permanently Change Output?" Journal of Monetary Economics, vol. 31 (April), pp. 149-63; and Sichel, "Inventories and the Three Phases of the Business Cycle."