Summary: The Lisbon strategy could reinvigorate Europeu0092s economy and boost employment. In 2000 the European leaders agreed to stimulate economic growth and employment and make Europeu0092s economy the most competitive in the world. If Europe would really reach the goals they set, Europeu0092s Gross Domestic Product could increase by 12% to 23% and employment by about 11%. This paper draws this conclusion after having analysed five of the most important Lisbon goals: the internal market for services, the reduction of administrative burdens, goals on improving human capital, the 3% target on research and development expenditures, and 70% target on the employment rate. Using CPBu0092s general equilibrium model for the world economy we have simulated the consequences for Europe of reaching the Lisbon targets in these fields. Key words: Jobs creation and economic growth, Lisbon agenda, general equilibrium model
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