The European Commission’s recent single market initiatives have a second important benefit beyond growth that is often overlooked: Deepening the Single Market for goods and services can also reduce imbalances in the euro area and limit its vulnerability to crises.
A further integration of the Single Market thus provides a double dividend of growth and stability.
This is the main issue addressed in this Background note by Anna auf dem Brinke, Katharina Gnath and Jörg Haas (Jacques Delors Institut – Berlin), divided into three main elements:
1. How does a deepened Single Market stabilize the euro area?
2. Why services? Why now?
3. What next?