Affrontare il rischio di disparità regionali
By Gergely Hudecz, Rolf Strauch and Thomas Wieser
The economic impact of the coronavirus may deepen regional disparities and worsen the risk of divergence within Europe. To reinforce the stability of the euro area and Europe, policies have to address these risks and strengthen convergence. Given the current de-globalisation trend, there is an increasing need for a well-functioning and equitable EU single market. The “Next Generation EU” can be a vehicle for such reforms.
The Covid-19 pandemic has caused the deepest recession in Europe for a century. While the pandemic is a threat to the health of all European people, it has had an uneven impact across economic sectors, regions and countries. The longer the pandemic lasts and the stronger the economic impact, the higher the risk that it will lead to structural, longer-term differences.
The European Union has been taking measures to address the asymmetric impact of the pandemic and to emerge from this crisis without an increase in inequality. In this context, our blog post highlights the dynamics of regional disparities over the past 20 years, and the policy measures that can mitigate the risks of sustained fragmentation following the current crisis.
Read the blog post here
Check out our other blog posts and columns here
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