Executive Summary
Assessment and Recommendations
Chapter 1. Catching Up with Advanced European Countries and Entering the Euro Area
-Progress in Convergence
-Entry to the Euro Area and Maintenance of Macroeconomic Stability Thereafter
-Policies to Sustain High Economic Growth and Social Cohesion
-Annex 1.A1. Shift-Share Analysis of Labour Productivity Growth
-Annex 1.A2. Implemention of Previous OECD Recommendations
Chapter 2. Improving Employment Prospects: Building on Past Reforms
-Employment Barriers for Low-Skill Workers are Still Significant
-Further Measures Can Be Taken to Reduce Long-Term Unemployment
-Large Regional Differences in Employment Rates Require Regional Wage Differentiation and Policies to Encourage Employee Mobility
-Caution is Required in Reforming Employment Protection Legislation
-Disincentives to Supply Labour among Older Workers Need to be Lowered
-Policies Need to Become More Supportive of Female Labour Supply
Chapter 3. Improving Education Outcomes
-Education Outcomes are Below the OECD Average
-Reforms to Enhance Outcomes
Chapter 4. Renewing Policy Initiatives to Strengthen Product Market Competition
-Privatisation of Government Stakes in the Business Sector Should Resume
-Compeition in Energy Markets is Still Weak
-Auctioning Carbon Dioxide Permits would Lower the Csot of Achieving Pollution Abatement
-Regulation Could Be More Competition-Friendly in theTelecommunications Sector
-The Preconditions for Competition in the Railway Industry Need to Be Put in Place
-Professional Services Need to be Deregulated Further
-Public Sector Reform Can Increase the Benefits Reaped from Competitive Product Markets