BERLIN (Reuters) – Six years ago, weeks after U.S. investment bank Lehman Brothers collapsed, European leaders gathered in Paris to discuss a joint response to the financial earthquake shaking their continent.
France and several other states pushed for the creation of a European fund to help the bloc cope. Germany’s Angela Merkel ruled out a common approach, insisting that each country come up with its own plan to combat what would turn out to be the worst financial crisis since the Great Depression.
BERLIN (Reuters) – The German and French economy ministers have asked experts in Berlin and Paris to come up with reform recommendations for both countries in an apparent attempt to avert a full-blown clash between the euro zone heavyweights over economic policy.
In letters signed by Sigmar Gabriel and Emmanuel Macron and seen by Reuters, the two ministers note that the European recovery is lagging that of other advanced economies, raising the risk of a “lost decade” of weak growth, excessively low inflation, high debt and high unemployment.