This deceleration in economic growth was spread across most sectors, with agriculture output actually contracting in the first half of 2003. The slower growth was accompanied by an increase in aggregate employment in the formal non-agricultural sectors of the economy in 2002. An employment gain of 54 000 workers was recorded.
We are aware that the present improvement of fiscal balances in the euro area, from -2.4% in 2005 to an expected -1.6% in 2006 3 , is only partly driven by structural improvements.