Our labor market is an absolute failure: we always put the same excuse that we live in an international crisis, but unemployment rates are much higher than the rest of the EU countries. Reforms have been made like the one in 2012, which was going in the right direction, but which did not break with the old Police Report Template such as duality, and which the left now wants to reverse. The idea of re-introducing the social agents into the agreements, instead of allowing the employer and the workers to work freely, seems a tremendous mistake.
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There is already an invented solution, a flexible system that is capable of adapting to the democratic and economic disturbance. It is called national accounts and, for this, it is essential that all contributors know their pensionable rights.
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In this system, if it is absolutely necessary and irremediable, pensionable rights can be minimized. The reform of the pension system should ensure that the patches are not put on, that changes are made for the next generations, not for the next elections.
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In the book, it also deals in several articles with the monetary policy of the European Central Bank (ECB) Interest rates should rise little by little: The behavior of central banks can be improved, it seems that they never learn the lesson.
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I remember that in a Bernanke conference in which the famous economist Milton Friedman was famous, the first recognized him the second they had learned the lesson and that they would not repeat the mistakes of the 30s.
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Well, this type of ultra-expansive policies continue. The so-called “Quantitative Easiness” (Quantitive Easying, QE) is a mistake that must be removed gradually to cause governments to deepen reforms. Without sudden movements that lead to bankruptcy, in 2020 there would be a gradual rise in the rates between the quarter and a half point. In any case, the problem I see in that the Spanish economy is indebted in a scenario similar to 2007-2008 and when monetary policy begins to change there will be problems with the level of debt. What should have been done in stages of growth is now to spend a little better after.
We must break with the duality and Police Report Template that come from the Francoism, which continues to mark many aspects of our labor market. The Government should also remove obstacles and that employers and employees can make contracts books and volunteers. In the same way, you also deal with current issues such as the future of pensions … The problem of pensions is that of the silence of the political parties in what is known as the Pact of Toledo, which I call the Silence. No one wants to rattle the cat, so that pensions should be in the hands of pensioners.