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Published on: July 29, 2019
Spillover Effects From Next Generation EU
1Momentum-Institut, Märzstraße 42/1, 1150 Wien, Austria.
Abstract:
In July 2020, the European Commission announced its €750 billion package to revive the postpandemic European economy, Next Generation EU. The programme comprises a number of loans and grants that will be funded by taking out European debt. Although the rules on liability sharing for Next Generation EU prevent a significant mutualisation of the debt, European leaders have taken the long-recognised significant first step towards European financial and political unification that stands in stark contrast to the misguided austerity programmes during the European sovereign debt crisis.
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