•Executive Summary
•Assessment and Recommendations
•Chapter 1. Economic issues and Policy Challenges
•-A Protracted Cyclical Downturn is Coming to an End
•-Maintaining Good Economic Performance Requires Further Policy Initiatives
•Chapter 2. Fiscal Policy Issues
•-Rising Deficits Require a New Phase of Fiscal Consolidation
•-Recent Pension Reform Marks Substantial Progress
•-Spending Programmes, Notably Family Benefits, Would Also Benefit from Reform
•-Reaping the Full Benefits Associated with Tax Reform Rests on Fiscal Sustainability
•Chapter 3. Reforming Federal Fiscal Relations
•-Main Features of the Austrian Federal Fiscal System
•-Issues in Funding Across Layers of Government
•-Issues in the Allocation of Spending Responsibilities
•-Towards Higher Accountability of the Budgeting Process
•Chapter 4. Fostering Productivity Growth and Innovation
•-Innovation Activity is Catching Up
•-Regulatory Reform Can Strengthen Productivity Growth and Innovation
•-Allocation of Public Sector Support for Innovation Can Be Improved
•-The Education System Needs Institutional Reform
•Glossary