Showing 1 - 10 of 10
Reforming the Eurozone is a top priority on the European policy agenda. France and Germany are expected to launch a joint initiative to reform the institutions of the currency union. To be successful, this initiative will have to be acceptable not only to Germany and France, but to all member...
Persistent link: https://www.econbiz.de/10012232194
In recent studies the IMF and the OECD claim that inequality has a negative impact on economic growth and conclude that redistribution policies have no adverse growth effects. We argue that this claim is misleading. We show that, for developed countries, the correlation between inequality and...
Persistent link: https://www.econbiz.de/10012232198
Negotiations between the EU and the UK have reached deadlock, with the positions of the UK (no backstop, no single market, no customs union, no dependence on the ECJ), Ireland (backstop, no hard border) and the EU (backstop, indivisibility of the four freedoms, no cherry-picking) all being...
Persistent link: https://www.econbiz.de/10012232203
This paper contributes to the current debate how a faster implementation of structural reforms fostering the process of economic convergence in Europe can be achieved. We discuss the rationale and potential adverse effects of providing financial incentives for structural reforms. After a...
Persistent link: https://www.econbiz.de/10012232205
In the debate on euro area fiscal governance, the current deficit rules of the EU have repeatedly been criticised to have a pro-cyclical effect, leading to overly lax fiscal policies in good times and a too restrictive regime in bad times. An analysis by EconPol researchers Clemens Fuest (ifo)...
Persistent link: https://www.econbiz.de/10012232206
In this paper we discuss to what extent the declining difference between interest rates and growth rates (r-g) pointed out recently by Olivier Blanchard (2019) for the case of the US also characterizes the economic situation in Europe. We show that r-g has been positive on average but declining...
Persistent link: https://www.econbiz.de/10012232207
This study uses scenario calculations to estimate the economic costs of the partial closure of the economy due to the coronavirus epidemic. With a shutdown duration of two months, the costs reach between EUR 255 billion and EUR 495 billion, depending on the scenario, and reduce the annual growth...
Persistent link: https://www.econbiz.de/10012237655
This paper presents scenarios of the shutdown costs in terms of lost value added for Austria, France, Italy, Germany, Spain, Switzerland and UK. The shutdown phase will lead to considerable production losses and large declines in GDP this year. Lasting longer than a month, the losses within the...
Persistent link: https://www.econbiz.de/10012237659
In February 2020, the European Commission announced that it would present a plan for reforming the economic governance of the Eurozone, including the rules for public debt. The project was postponed by the outbreak of the corona pandemic, but now the reform is to come. There is a widespread...
Persistent link: https://www.econbiz.de/10014311414
The past few years have been marked by major crises, including the covid pandemic and the Russian attack on Ukraine. These crises have consequences. The new European Commission will need a well thought-out economic policy agenda to respond to the changed geopolitical challenges and to strengthen...
Persistent link: https://www.econbiz.de/10015048659