Greece, where public protests continue, is one country where growth prospects are guarded at best (photo:dpa)

Government policies set parameters for growth in Europe and the US

Economic confidence in Europe and the United States seems to rise and fall with each news cycle. But data shows that prospects for growth are determined far more by the government’s long-term regulatory efficiency and labour market flexibility than by the crisis of the moment.

THERE have been several indicators in recent weeks that confidence is rising in Europe and North America.

The Organisation for Economic Cooperation and Development’s (OECD) Index of Composite Leading Indicators continued to show a positive change in momentum, extending possibly even into the eurozone in April 2012.

However, the European Commission’s Economic Sent...

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Ambassador Terry Miller
For the advanced economies, countries which do a better job in controlling the money supply and inflation have higher growth rates on average
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