Mahony, H., (2013), “Crisis knocking EU 2020 goals off track”, EUObserver, 29 Οκτωβρίου. The economic crisis has knocked the EU’s longterm strategic targets off track with planned poverty-reduction and employment goals unlikely to be met by 2020. “Without adequate policy measures to rapidly reverse this escalating poverty trend, the EU risks moving away from the Europe 2020 headline target on poverty,” said a Eurostat report, published Tuesday (29 October) on …Read More
Despite signs of recovery, the Eurozone crisis is still far from over
Hancké, Β., (2013), “Despite signs of recovery, the Eurozone crisis is still far from over”, European Politics and Policy Blog, 30 Οκτωβρίου. The Eurozone emerged from recession in the second quarter of 2013, with the single currency area’s GDP increasing by 0.3 per cent. Bob Hancké writes that although the situation in the Eurozone has improved, a closer look at the economic data would suggest reason for caution. He argues …Read More
A fiscal perspective on EU sovereign credit ratings
Wickens, M. and Polito, V., (2013), “A fiscal perspective on EU sovereign credit ratings: Did the credit-rating agencies get them right?”, VoxEU, 30 Οκτωβρίου. A good credit rating has become a key fiscal objective, even if it requires austerity when unemployment is high. Recent experience has raised doubts about the sovereign ratings provided by the credit-rating agencies. This column suggests a new way to measure credit ratings based on a …Read More
The ‘Official’ Cost Of Austerity
Wren-Lewis, S., (2013), “The ‘Official’ Cost Of Austerity”, Social Europe Journal, 29 Οκτωβρίου. Well, not quite, but probably as close as we will ever get. In a new paper, Jan in‘t Veld uses the European Commission’s QUEST model to estimate the impact of fiscal consolidation in the Eurozone (EZ) from 2011 to 2013. The numbers in the table below include spillover effects from other EZ country fiscal consolidations, so they …Read More
Forward Guidance: Perspectives from Central Bankers, Scholars and Market Participants
Den Haan, W. ed., (2013), Forward Guidance: Perspectives from Central Bankers, Scholars and Market Participants – A VoxEU.org eBook, London: Centre for Economic Policy Research. Forward guidance is the provision of information by central banks about the future conduct of monetary policy and in particular about the central bank’s policy interest rate. Forward guidance is aimed at influencing the public’s expectations. This goal is not new. It has long been …Read More
Optimism about an end to the euro crisis is wrong
Münchau, W., (2013), “Optimism about an end to the euro crisis is wrong”, The Financial Times, 27 Οκτωβρίου. Adjustment is the key to ending the eurozone crisis. The optimists are saying that this process of regaining competitiveness is now taking place. Look at the success of the Spanish export sector or the fall in Greek wages. And, in any case, the eurozone economy is rebounding, which helps further. This judgment …Read More
Breakup Is Not A Solution to the Eurozone Crisis
Hacker, B., (2013), “Breakup Is Not A Solution to the Eurozone Crisis”, Social Europe Journal, 25 Οκτωβρίου. The unexpectedly high level of support for the new party “Alternative für Deutschland” (AFD) in the general elections in Germany puts their central program point back on the agenda of the political debate. Parties proposing a dissolving of the common currency might gain ground prior to the European Elections in 2014. But the …Read More
Why are Neo-liberal ideas so resilient?
Schmidt, V. and Thatcher, M., (2003), “Why are Neo-liberal ideas so resilient?”, Policy Network , 24 Οκτωβρίου. Given the abject failure of the Neo-liberal policy offer, why has it persisted as the dominant approach to European policymaking and is there any way out? Despite the economic crisis that hit the US and Europe full force in 2008, political leaders have made little attempt to rethink the neo-liberal ideas that are …Read More
Austerity and Growth: Dispelling Confusion with Some Facts
Tamborini, R., (2013), “Austerity and Growth: Dispelling Confusion with Some Facts”, EconoMonitor, 24 Οκτωβρίου. A lot of confusion surrounds the quarrel about austerity and growth in and among the Euro-countries. Confusion helps neither the assessment of the current policies nor the choice of the correct ones. Critics of austerity argue that it is mainly responsible for the extent and persistence of low or negative growth rates after the Great Recession …Read More
Massacre memories: German car sales and the EZ Crisis in Greece
Fouka, V. and Voth, H.J., (2013), “Massacre memories: German car sales and the EZ Crisis in Greece”, VoxEU, 23 Οκτωβρίου. The EZ crisis increased north-south conflicts between bailout providers and recipients – especially between Germany and Greece. This column shows evidence that political conflict directly translated into losses of market share for German car producers in Greece – especially in areas where German armed forces committed massacres during World War …Read More