After all, there will always be new, unexpected setbacks. So I think it is wise to be wary of new policy initiatives that place a structural burden on government finances. This addresses fiscal policy in Europe and in the Netherlands. The third point on my European to-do list for tackling growth imbalances is to improve coordination in other areas of economic policy.
I have already talked about the divergent competitiveness of the euro area member states. And how this contributes to large trade surpluses in some countries, and large trade deficits in others. To effectively tackle this problem, all member states must play their part. Weaker economies need to implement reforms that increase their productivity and competitiveness.