Batsaikhan Uuriintuya , Kalcik, Robert , Schoenmaker, Dirk , (2017), “Brexit and the European financial system”, Bruegel, 9 February London is an international financial centre, serving European and global clients. A hard Brexit would lead to a partial migration of financial firms from London to the EU27 (EU minus UK) to ensure they can continue to serve their EU27 clients. Four major cities will host most of the new EU27 wholesale …Read More
CEPS Task Force, (2017), “Regroup and Reform: Ideas for a more responsive and effective European Union”, CEPS Series: Task Force Report, February The report offers concrete recommendations for how the Union can show added value to European citizens in the areas of security and justice, socio-economics and monetary policy – recommendations that will help reform the workings of the Union and ensure that it is worthy of the continuing confidence of its …Read More
Sri-Kumar, Komal, (2017), “The Opening for Investors in Europe’s Political Turmoil”, BloombergView, 22 February After a period of relative calm, volatility and investor fear have returned to Europe. Investors took in stride the Brexit vote last June, along with the decision by Italian voters in December to reject Prime Minister Matteo Renzi’s referendum, which led to his resignation. But three national elections this year — in the Netherlands next month, inFrance …Read More
de Jong, Jasper, Ferdinandusse, Marien, Funda, Josip, Vetlov, Igor, (2017), ” The effect of public investment in Europe: a model-based assessment”, ECB Working Paper Series No 2021, February Public investment in Europe has significantly declined since the crisis, although developments are heterogeneous across countries. This has led to calls for stimulating public investment in an environment of low borrowing costs for governments, weak economic growth and monetary policy at the lower bound. Against …Read More
Gallo, Alberto, (2017), “Don’t give up on Europe as an investment destination”, LSE, 21 February Politically, the year 2017 looks like a minefield for Europe. Economically, however, the situation is much more promising: growth and inflation continue to accelerate and in the latest indices of economic surprises Europe has been faring better than the US. ECB stimulus is starting to work, unemployment is slowly falling and consumer confidence is rising. Relevant …Read More
Buti, Marco, Pichelmann, Karl, (2017), “European integration and populism: Addressing Dahrendorf’s quandary”, VoxEu, 22 February With its current competences lacking the ability to address distribution effects, the EU is seen as an agent of globalisation rather than a response to it. At the same time, it is charged with undermining national autonomy, identity, and control. This column sets out five guiding principles for policy articulation at the EU level for …Read More
Onado, Marco, (2017), “In search of a European solution for banks’ non-performing loans”, VoxEu, 21 February After ten years of crisis, European banks are far from seeing the end of the tunnel. While US banks have recovered fairly quickly and have reached in 2012-15 a return on equity of 9.3%, European banks are still stuck at a meagre 3.7%, well below their cost of capital (IMF 2016). This gap is explained …Read More
McQuaid, Ronald, (2017), “Youth unemployment produces multiple scarring effects”, EUROPP, 18 February There are lots of problems with analysing the causes and effects of such long-term scarring and the reasons for it appear inter-connected. For instance wellbeing and mental health may affect subsequent income and chances of getting and keeping a job, but are themselves influenced by unemployment. Some broad overlapping reasons for scarring include: (1) employer responses, (2) the person’s human …Read More
Demertzis, Maria, Sapir, Andre, Wolff, Guntram B., (2017), “Europe in a new world order”, Bruegel, 17 February In this paper the authors explore what the EU’s strategic reaction should be to US diminishing giant policies, and the EU’s role in a world of declining hegemony and shifting balances. Relevant Posts Kamkhaji, Jonathan C., Radaelli, Claudio M., (2016), “Crisis, learning and policy change in the European Union”, Journal of European Public Policy, 20 April Ruparel, Raoul, …Read More
Presbitero, Andrea, Berton, Fabio, Richiardi, Matteo, Mocetti, Sauro, (2017), “Banks, Firms, and Jobs”, IMF Working Paper No. 17/38, 14 February We analyze the employment effects of financial shocks using a rich data set of job contracts, matched with the universe of firms and their lending banks in one Italian region. To isolate the effect of the financial shock we construct a firm-specific time-varying measure of credit supply. The contraction in credit supply …Read More
