1 We have several federal or confederal institutional frameworks in today’s world. To name only a few, the United States of America, the Federal Republic of Germany and the Swiss Confederation. The European Union is unique in its past history, in its present nature, in its future ambition. It will have to invent its own concept.
Most of households’ borrowing consists of home mortgages; credit for the purchase of consumer durables is nonetheless expanding, thanks in part to a more diversified and efficient supply. By contrast, lending to firms is comparable to the euro-area average in relation to GDP. Interest rates are in line with, and sometimes lower than, those in the other EU countries.