Bluedorn, John C., Ebeke, Christian, (2016), “Sluggish Business Investment in the Euro Area: The Roles of Small and Medium Enterprises and Debt”, iMF-direct, 4 Αugust
Small businesses could be the lifeblood of Europe’s economy, but their size and high debt are two of the factors holding back the investment recovery in the euro area. The solution partly lies in policies to help firms grow and reduce debt. Our new study, part of the IMF’s annual economic health check of the euro area, takes a novel bottom-up look at the problem. We analyze the drivers of investment using a large dataset of over six million observations in eight euro area countries, from 2003 to 2013: Austria, Belgium, Germany, France, Finland, Italy, Portugal, and Spain.
Relevant Posts
- Doyle, Nicola, Hermans, Lieven, Molitor, Philippe , Weistroffe, Christian, (2016), “Shadow banking in the euro area: risks and vulnerabilities in the investment fund sector”, ECB Occasional Paper 174, June
- Christodoulakis, Nicos, Axioglou, Christos, (2016), “Underinvestment and unemployment: the double hazard in the Euro Area”, Bank of Greece, Αpril