Reflections on macroeconomic policy and european unemployment after Maastricht: some evidence

Abstract

Effective economic policies that promote conditions for full employment have yet to be seen.
In Europe economic policy has suffered many setbacks and restrictions, due, in the main, to the
criteria imposed by the Maastricht treaty. In this paper the policy ramifications, as well as the
impact that the Maastricht provisions have exerted on European unemployment, are explored.
To this effect empirical evidence suggests that the prevailing 'austere' economic conditions
might have contributed to a mediocre economic performance and poor record of employment
creation.