13 February 2013 — The Bullet • Socialist Project • E-Bulletin No. 772
On December 9th 2011 the European Council announced a new Fiscal Compact, as part of the series of measures undertaken in order to resolve the Eurozone sovereign debt and banking crises. It was incorporated into the Treaty on Stability, Coordination and Governance (TSCG), signed by 25 <strong class=’StrictlyAutoTagBold’>EU governments in March 2012, subsequently ratified by the signatory national governments, and in force from January 2013.[1] The Compact includes a commitment by those governments to a cap of 0.5% on the ‘structural deficit’ implied by their annual revenue and expenditure plans. It also reinforces the existing Maastricht Treaty fiscal rules through an obligatory adjustment procedure, to be enforced by the European Court of Justice. Continue reading →
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