Part Two, we discuss in greater detail the conditions required to move towards a sustained growth and catching-up process …

Despite significant economic reforms in many Southern Mediterranean EU neighbour countries, their growth performance … has on average been subdued. This study analyses the differences in growth performance and macroeconomic stability across …

exports have sustained growth and the performance of the labour market has somewhat improved. With exports to GDP at around 50 … unemployment rate above 20%, which has tended to be even higher for decades now, there is clearly untapped potential for growth and … development. Export-led growth is what the long-term macroeconomic framework has been designed for. There is a fixed exchange rate …

debt remains sustainable for now. In the medium run, debt sustainability could, however, become an issue as negative growth … weakening, but also the "rich North" has lost its role as growth engine. According to the authors, Italy's chronic growth …