Making social investment happen in the Eurozone

Abstract

The most competitive economies in the European Union (EU) spend more on social policy and public services than the less successful ones. 21st century knowledge economies and ageing societies require European welfare states to focus as much – if not more – on ex-ante social investment capacitation than on ex-post social security compensation. While poverty mitigation through inclusive minimum income protection ‘buffers’ remains a prerequisite for any effective social investment strategy, by exempting human capital ‘stock’ investments from the Stability Pact, for the eurozone, the E(M)U can deliver on the promise of the 2017 European Pillar of Social Rights (2017) and recoup its existentially important future-oriented upward convergence momentum.