We sketch a visionary strategy for Europe in which full employment is quickly regained by 2020, income inequality is reduced and the economies are more sustainable. We call this scenario "vibrant". It is contrasted with what would happen if present policies continue within the European Union...

A substantial literature claims that the strong increase in inequality over the last decade in Western industrial countries such as the United States (US) would lead to increasing tensions between different socio-economic groups which might in turn hamper economic growth. The population’s...