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Tackling Inequality from the Middle (Project Syndicate, 4 min read) The increased scarcity of stable jobs is a convincing argument for policy makers to start looking at inequalities. But the fundamental question has received relatively little attention: what type of inequality should these measures tackle? Public agendas on inequalities were historically shaped by either taxing the rich or providing direct help to those at the bottom, however economists now rightly seem to put more weight on reinvigorating the economy’s capacity to generate good jobs.
Europe’s Green Deal (Project Syndicate, 4 min read) ‘Europe’s Green Deal’ is the first comprehensive plan to achieve sustainable development and forms a global benchmark for the transformation of the economy into one that is prosperous, socially inclusive, and environmentally sustainable economy; and all with a citizen-based approach. For the deal to be effective, three challenges must be addressed: first, overcoming status quo interests; second, financing R&D, infrastructure, etc.; and lastly, diplomacy. [Neutral Euro area, Bullish ESG]
The European Green Deal Needs A Reformed Fiscal Framework (Bruegel, 4 min read) For green policies to work, EU companies and citizens will need a stable fiscal framework that will allow rising costs of green transition to be offset by favorable treatments. Even if the current clause already allows for deviation from MTO to finance such initiatives, the whole system still needs several more refinements to reach its maturity stage.