European Commission

France and Germany proposed Monday a 500-billion-euro ($542-billion) fund to finance the recovery of the European Union’s economy from the devastation wrought by the coronavirus crisis. Putting aside past differences and seeking to prove that the Franco-German core of Europe remains intact, President Emmanuel Macron and Chancellor Angela Merkel announced the unprecedented package after talks by video conference. European Central Bank head Christine Lagarde told major European newspapers that “the Franco-German proposals are ambitious, targeted and welcome.” With the European economy facing its biggest challenge since World War II, Macron also acknowledged that the EU had fallen short in its initial response to the virus and needed to coordinate more closely on health. Financed by “borrowin...