Similar to what occurred in Japan, firms will likely continue their cautious stance on employment and households’ medium- to long-term income expectations are likely to weaken in view of the persistently high unemployment rate, causing the economies to lag behind in achieving a self-sustaining recovery with an expansion of employment and income.
All capital marketplaces together linked by a strong single currency, a balanced European legal framework and a profitable and resilient financial industry in a capital markets union will be of increased global relevance.