By Elena Calistru

Europe’s economic architecture has been stress-tested by recent crises, with ordinary people bearing the heaviest burden. Our opinion Leaving the crises behind offers a blueprint for an economy that protects individuals and businesses, rather than subjecting them to economic turbulence.

Three economic imperatives stand out:

First, economic forecasting must evolve from retrospective analysis to predictive intervention. When inflation strikes, it hits kitchen tables before economic dashboards. We need sophisticated early detection systems that spot supply bottlenecks and price transmission anomalies before they translate into unaffordable heating bills and groceries. The households most vulnerable to economic shocks are precisely those with the least capacity to absorb them – a reality that demands granular vulnerability mapping to ensure targeted protection.

Second, fiscal capacity must shift from emergency response to built-in stabilisation. NextGenerationEU was impressive but improvisational. Permanent fiscal stabilisation mechanisms with civil society oversight would ensure that crisis responses protect those most at risk. When economic governance ignores distributional effects, the resulting social strain undermines the very resilience we seek to build. Social conditionalities in EU funding should not be seen as bureaucratic hurdles – they could ensure that economic growth translates into improved living standards for everyone.

Third, market integration must accelerate where it matters most for consumers. Energy costs that significantly exceed those of competitors are not just macroeconomic indicators – they are monthly bills that squeeze household budgets across Europe. Strategic investments in cross-border infrastructure and energy market integration are not just abstract economic objectives but tangible relief for families and businesses facing cost-of-living pressures.

Economic policy crafted without civil society input is like navigating without local knowledge – technically possible but practically foolish. When policies are designed with the full participation of those who will experience their consequences, they invariably deliver superior outcomes. This is not about consultation as a formality; it is about harnessing the collective intelligence of organised civil society throughout the policy cycle.

Europe’s competitive social market economy needs modernising, not abandoning. The choice between competitiveness and citizen protection is promoted by those with limited economic imagination. The challenges ahead require institutional creativity that places economic resilience and people’s wellbeing at the heart of Europe’s economic governance.