Viewpoints
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‘Frugal’ Countries Win in European Recovery Fund

‘Frugal’ Countries Win in European Recovery Fund
(L–R) Greece's PM Kyriakos Mitsotakis, Spanish PM Pedro Sanchez, Portuguese's PM Antonio Costa, Romanian President Klaus Werner Iohannis and Germany's Chancellor Angela Merkel participate in a last roundtable discussion following a four-day European summit at the European Council in Brussels, Belgium, on July 21, 2020. EU leaders approved a 750 billion euro package to revive their coronavirus-ravaged economies after a tough 90-hour summit on July 21, along with a trillion-euro budget for the next seven years. Stephanie Lecocq/Pool/AFP via Getty Images
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Commentary

There is no solidarity without responsibility. The European Union Recovery Fund can’t be used as an excuse to perpetuate bloated political spending and create a transfer union where governments use taxpayers’ money to increase bureaucracy, because it would be the end of the European project.

Daniel Lacalle
Daniel Lacalle
Author
Daniel Lacalle, Ph.D., is chief economist at hedge fund Tressis and author of the bestselling books “Freedom or Equality” (2020), “Escape from the Central Bank Trap” (2017), “The Energy World Is Flat”​ (2015), and “Life in the Financial Markets.”
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