Had the European governments attempted to follow the restrictions of SGP (stability and growth pact that limits deficits to 3% and debts to 60% of GDP) – an attempt that would most certainly fail because of the endogenous nature of budget deficits – they would not have been able to support their economies in the global crisis, possibly leading to a global or at least a continental depression.
SGP (stability and growth pact)wont help either
