A great deal is said about the current economic situation and as to whether the current unemployment level, the current inflation level, the lack of any significant growth in the gross domestic product and in the number of tourist arrivals, and the current level of the fiscal deficit are a reflection of a profound economic crisis. The Prime Minister retorts that this is not a crisis and we should, therefore, not be talking in these terms, as this could lead to a self-fulfilling prophesy; that is, we will end up in a crisis if we keep on talking of one.

This is rather a situation that reflects the difficult international economic situation and we have to be able to address the challenges that this difficult economic situation poses. In spite of this, we are unable to achieve agreement on the social pact.

If we were really in a crisis then the trade unions would have been highly irresponsible not to agree on measures meant to safeguard jobs. Instead of investing time on seeking to get agreement on initiatives on job creation, with clear commitments from all social partners, we have been regaled with an endless debate about public holidays falling on a weekend.

Surely such tactics are not reflective of a crisis situation. A real crisis asks for an "all hands on deck" attitude where the social partners compete not on the basis of trying to maintain the status quo or otherwise, but on the basis of who has the better ideas that would generate most jobs.

In effect I believe that this is the real crisis that the country is facing. Jobs and wealth are not created out of thin air but through a concerted effort that requires the shouldering of responsibility for decisions that may be unpopular in the short term but beneficial for the economy and society at large in the long term.

The real crisis is that there are still too many who believe that jobs and wealth are created with some sort of magic wand.

They ignore the fact that we need fiscal policies by the government that stimulate job creation; we need the willingness by the private sector to invest in productive activities and not speculative activities; and we need the positive attitude of trade unions and the employees they represent to acknowledge two facts.

First, they need to acknowledge that unless we increase productivity the competitiveness of firms operating in Malta is lost.

Second, they need to acknowledge that the public sector can no longer be saddled with rigidities that the taxpayer has to pay for eventually.

In particular, these rigidities are sucking away resources that could be released back into the economy through lower taxation (hence a larger purchasing power) or used to have a better social security net or used to provide more incentives for investment. Any of these three options would always be better than spending money to maintain archaic work practices or to cover up for management inadequacies.

This situation is reflective of an attitude that we always expect someone else to do something for this country and for us, rather than question what our contribution can be.

A symptom of this is the current discussion on Malta's membership of the European Union. This has two facets: one relates to Malta's status as an Objective 1 country; the other relates to the costs and benefits of membership.

If Malta manages to maintain its Objective 1 status, it would be well and good. However, we cannot expect this financial windfall to resolve our economic growth issue. Long-term economic growth is only achievable through investment in productive activities by the private sector, that maintains a leading edge over the competition.

Then there is the criticism that matters have not changed overnight for the better after Malta became a member of the European Union. It is alleged that this was one of the promises by the pro-EU membership camp. Correspondence appearing regularly in this newspaper is proof of this allegation. Little is it realised that things will change for the better only if we Maltese work for such a change. No one owes us a living nor is anyone obliged to force change upon us.

I do not believe that we are in any deep economic crisis, even though, if you are one of those 8,000 unemployed persons and really looking for a job, it is indeed a very grave personal crisis.

However, we do have a real crisis on our hands because of the inability of the social partners to agree on a meaningful strategy as to how to maintain the competitiveness of firms operating in Malta and how to reap the benefits of the opportunities of EU membership, not to mention the general expectation that manna from somewhere will always come to save the day, so long as it is not from our own individual pockets.