E.C.B. Chief Seeks Tax Cuts and State Spending

JACKSON HOLE, Wyo. — Mario Draghi, president of the European Central Bank, said Friday that European governments needed to move from a focus on austerity to a “more growth-friendly composition of fiscal policies.”

Euro-Zone Consumption Gap Widens

The gap between individual consumption in Germany and those euro-zone countries pursuing austerity programs continued to widen last year, according to figures from the European Union's official statistics agency Wednesday.

Euro Zone Set to Keep Shrinking

LONDON--An indicator that has correctly recorded contractions in the euro zone suggests the currency area's economy shrank for a seventh straight quarter in the three months to the end of June, extending its longest postwar slump.

IMF chief Christine Lagarde urges further debt reduction from leading economies

BERLIN: The head of the International Monetary Fund says the world's leading economies must continue to cut government spending despite an overall situation of only "tepid growth."

French Economy Stagnates as State Spending Prevents Recession

The French economy will fail to grow in the second half, extending stagnation to five quarters, national statistics office Insee predicted yesterday.