We should not support consumption, but rather savings and investment
It is well known that the need for additional investment (for the energy transition, industrial reshoring, water management, etc.) will be considerable in all countries. It therefore makes no sense to pursue economic policies that support consumption, and they should be replaced by economic policies that support savings, which are likely to be insufficient, ex ante , to finance the necessary investments. Consumption support policies can take the form of subsidies not targeted for the poorest households, subsidies for energy or food consumption, or increased spending on public transfers at the expense of public investment. Policies to support savings can include the development of new, attractive savings products, or corporate subsidies for employee savings.