The Mediterranean Model in European Economic Thought

The Mediterranean Economic Model (MEM) is understood as being a system of thought involving Greece, Italy and Spain which places man at the centre of economic relations, unlike other economic models which are based on the individualistic approach and see man as a rational, passive product determined by economic processes. MEM is part of the more general European Social Model, in which three distinct approaches to capitalism based on different religious and historical backgrounds can be observed: the social market economy, inspired by Lutheranism; the Mediterranean Economic Model, inspired by Catholicism, has its roots in Aristotelian thought and, through the contribution of Thomas Aquinas, reaches Spain; and a more traditional approach, the Anglo-Saxon (neoclassical mainstream), is inspired by Calvinism and Lutheranism. This paper maintains that, due to their different cultural approaches to welfare, MEM countries are struggling with economic growth. In reality, the evident difference between Mediterranean and continental Europe regarding the management of public spending ought to make us reflect on the fact that historical processes should never be underestimated.