Xavier Timbeau, (2019), “The sustainability imperative—how really to assess the European economy”, Social Europe, 10 April It was during the climax of the so-called euro sovereign debt crisis that the independent Annual Growth Survey (iAGS) was initiated, with the first report published in November 2012. Its aim, in collaboration with the Socialists and Democrats group at the European Parliament, has been to question and challenge the European Commission contribution to …Read More
Closing Europe’s Confidence Gap
Ana Palacio, (2019), “Closing Europe’s Confidence Gap”, Project Syndicate, 12 April The dearth of public trust and self-confidence in the European Union is contributing to policy paralysis, fueling public outrage, and undercutting the EU’s ability to determine its own destiny. Both before and after next month’s European Parliament election, these deficits must urgently be addressed. Relevant Posts David M. Herszenhorn and Maïa de La Baume, (2019), «Europe’s big election mess», …Read More
Once bitten: new evidence on the link between IMF conditionality and IMF stigma
Irina Andone and Beatrice Scheubel, (2019), “Once bitten: new evidence on the link between IMF conditionality and IMF stigma”, ECB Working Paper Series No 2262, April While the consequences and effectiveness of IMF conditionality have long been the focus of research, the possible negative impact of IMF conditionality on countries’ willingness to ask for an IMF programme – often termed ‘IMF stigma’ – has recently received attention particularly from policy …Read More
Hourly labour costs ranged from €5.4 to €43.5 across the EU Member States in 2018
Eurostat/Hourly labour costs ranged from €5.4 to €43.5 across the EU Member States in 2018/11 April 2019 In 2018, average hourly labour costs in the whole economy (excluding agriculture and public administration) were estimated to be €27.4 in the European Union (EU) and €30.6 in the euro area. However, the average masks significant gaps between EU Member States, with the lowest hourly labour costs recorded in Bulgaria (€5.4), Romania (€6.9), …Read More
Who’s Afraid of Low Inflation?
Daniel Gros, (2019), “Who’s Afraid of Low Inflation?”, Project Syndicate, 9 April The fact that eurozone inflation is closer to 1% than 2% is not ideal, but the European Central Bank should not be overly concerned. The ECB does not need to pull out all the stops and invent ever more instruments in the forlorn hope of increasing inflation by a few tenths of a percentage point. Relevant Posts Adam …Read More
Why the ECB Won’t Loosen Its Policy Stance Further
Mohamed A. El-Erian, (2019), “Why the ECB Won’t Loosen Its Policy Stance Further”, Bloomberg Opinion, 10 April The European Central Bank, after sharply revising downward its baseline growth projections and seeing no decisive lifting of the downside risks, could be tempted to signal at its Governing Council meeting on Wednesday that it will pursue a further loosening of its monetary policy stance. That would be consistent with the bank’s record …Read More
EU Mobile Workers: A challenge to public finances?
Cinzia Aldixi and Daniel Gros, (2019), “EU Mobile Workers: A challenge to public finances?”, CEPS, Contribution for informal ECOFIN, Bucharest 5-6 April This contribution analyses recent trends in labour mobility within the EU and considers the challenges it generates in sending countries. It finds that mobile workers abroad can make a significant contribution to the GDP of their host countries and that the incomes of mobile citizens abroad can be …Read More
Immigration and preferences for redistribution in Europe
Alberto Alesina, Elie Murard and Hillel Rpoport, (2019), “Immigration and preferences for redistribution in Europe”, VoxEU, 8 April A large literature shows that generosity, both public and private, is more freely extended within the same group rather than across groups. This column examines how immigration affects natives’ attitudes towards redistribution and the implications for welfare states in Europe. The main finding is that in regions which have received a larger …Read More
‘Full and good employment’ and reviving the European ideal
Laura Pennacchi, 92019), “‘Full and good employment’ and reviving the European ideal”, Social Europe, 4 April Treating employment as a right to be guaranteed by the state, as postulated in many European constitutions, is radically different from the paternalistic alternative, focused on providing monetary benefits to those lacking work. Bringing the centre of gravity back to employment and rejecting the purported inevitability of the jobless society intrinsic to the spontaneous …Read More
Europe’s big election mess
David M. Herszenhorn and Maïa de La Baume, (2019), “Europe’s big election mess”, Politico, 4 April The Juncker Commission doesn’t end until Halloween, but the scary season for Europe’s political elite is already underway. Polls suggest May’s European Parliament election will deliver chaotic results, including unprecedented gains for far-right and populist parties that will force the major pro-EU groups to reach wider than ever to form a majority coalition. Relevant …Read More