To cope with the economic wreckage caused by covid-19, EU member states are ripping up the rules
complicated story, it helps to have a fable. Those who watched the last euro-zone crisis often turned to Aesop’s story of the ant, who worked hard all summer ahead of the coming winter, and the grasshopper, who lazed about during warm weather only to come begging for a handout when the cold arrived. The euro zone, in this simplistic telling, was split between ants and grasshoppers.
Ants were once backed at the highest levels of Europe’s institutions. But austerity’s main advocates have moved on. The commission has become steadily more relaxed about spending. At the start of the last decade, the European Central Bank was among the loudest voices for austerity. Jean-Claude Trichet, the then president of the bank, implored countries to rein in spending or face ruin.
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