On the 27th of May 2008, the European Commission published in the Official Journal of the European Union, under Acts adopted under the EC Treaty/Euratom, a council recommendation from the 14 May 2008 on the broad economic policy guidelines for the Member States and the Community (2008-2010). The recomendation contain a broad but extensive series of guidelines concerning Macroeconomic policies and reforms within the European community.

Under the title Macroeconomic policies creating the conditions for more growth and jobs, one of the main messages from the recommendation was that sound macroeconomic policies and structural reforms on product, labour and capital markets are essential to support a well balanced economic growth and the full realisation of growth potential.

On a practial note, Member States should address the economic implications of ageing advised the Council. In view of the projected costs of ageing populations, Member States should:

1. undertake a satisfactory pace of government debt reduction to strengthen public finances.
2. Reform and re-enforce pension, social insurance and health care systems to ensure that they are financially viable socially adequate and accessible.
3. Take measures to increase labour market participation and labour supply especially amongst women, young and older workers.

Council guidelines were:

• To secure economic stability for sustainable growth.
• To safeguard economic and fiscal sustainability as a basis for increased employment.
• To promote a growth- and employment-orientated and efficient allocation of resources.
• To ensure that wage developments contribute to macroeconomic stability and growth and to increase adaptability.
• To promote greater coherence between macroeconomic, structural and employment policies.

In order to ensure a dynamic and well-functioning euro-area, the Council said it is necessary for Member States need to ensure better coordination of their economic and budgetary policies, in particular:

• Pay particular attention to fiscal sustainability of their public finances.
• Contribute to a policy mix that supports economic recovery and is compatible with price stability.
• Press forward with structural reforms that will increase euroarea long-term potential growth.
• Ensure that the euro-area’s influence in the global economic system is commensurate with its economic weight.

In the second half of the recommendation, the Council concentrated on Reforms to raise Europe's growth potential emphasising knowledge and innovation — engines of sustainable growth. By 2010 the Council aim to improve investment in investment in R & D, with a view to establishing the European Knowledge Area. This will be achieved by:

• Improved framework conditions.
• More effective and efficient public expenditure.
• Developing and strengthening centres of excellence of educational and research institutions.
• Developing and making better use of incentives.
• Modernising the management of research institutions.
• Ensuring a sufficient supply of qualified researchers.

During this period, the Council also aims to facilitate all forms of innovation, to facilitate the spread and effective use of ICT and to strengthen the competitive advantages of its industrial base by encouraging the sustainable use of resources.