Wolff, Β. G. (2014) “Why Juncker’s industrial goals are unlikely to be achieved“, Bruegel Institute, 16 July. Instead of setting numerical goals, the new Commission president should focus on framework conditions, the single market and market failures ‘Industrial policy is back!’ This is the message given by the President Elect of the European Commission, Jean-Claude Juncker, at his confirmation by the European Parliament yesterday. In his speech, Juncker said …Read More
Trust and the welfare state: The twin-peaked curve
Algan, Y., Cahuc, P. & Sangnier, M. (2014) “Trust and the welfare state: The twin-peaked curve“, VoxEU Organisation, 17 July. It is commonly argued that the persistence of large welfare states in Scandinavian countries is due to the trustworthiness of their citizens. This column shows that the relationship between trust and the size of the welfare state is twin peaked. Untrustworthy individuals support generous welfare states because they expect …Read More
Trade policy issues in the Wider Europe – that led to war and not yet to peace
Emerson, M. (2014) “Trade policy issues in the Wider Europe – that led to war and not yet to peace“, EU Foreign Policy, CEPS Working Documents, 16 July. This paper looks at the trade policy landscape of the EU and the wider Europe, with a focus on issues arising from the signature on 27 June 2014 of Deep and Comprehensive Free Trade Agreements (DCFTAs) between the EU and three …Read More
The international role of the euro
ECB (2014) “The international role of the euro“, European Central Bank – Eurosystem, July. This report reviews developments in the international role of the euro in 2013, tracking a comprehensive set of indicators covering a number of different market segments. As in previous issues, the main focus is on measures of the euro’s relevance in financial markets, such as the use of the euro in foreign exchange reserves or …Read More
Did the German court do Europe a favour?
Mody, A. (2014) “Did the German court do Europe a favour?“, Bruegel Working Paper 2014/09, 15 July. The European Central Bank’s Outright Monetary Transactions (OMT) programme was a politically-pragmatic tool to diffuse the euro-area crisis. But it did not deal with the fundamental incompleteness of the European monetary union. As such, it blurred the boundary between monetary and fiscal policy. The fuzziness of this boundary helped in the short-term …Read More
The real lesson from the financial crisis is that we need to stop insulating financial regulation from democracy
Dorn, Ν. (2014) “The real lesson from the financial crisis is that we need to stop insulating financial regulation from democracy“, LSE EUROPP, 15 July. The financial crisis has generated a number of policies and discussions across Europe aimed at reforming financial regulation. Nicholas Dorn writes that while there is widespread recognition that a rethink is required to prevent a similar crisis from occurring again, the core problem underlying …Read More
Spain and the IMF: Round the Bend or Out of the Woods?
Hugh, E. (2014) “Spain and the IMF: Round the Bend or Out of the Woods?“, A Fistful of Euros-European Opinion Blog, 15 Ιουλίου. “Spain has turned the corner”. With this stark statement the IMF opened it’s annual Article IV consultation report for 2014. Naturally the statement rankled, with this author among others, because at first sight it seems to be saying something which on closer reading of the report …Read More
Why We Need Movement Of Free People
Hoffer, F. (2014) “Why We Need Movement Of Free People“, Social Europe Journal, 15 July. When Franklin Roosevelt outlined his essential four freedoms in 1941 he was convinced democracy could only be defended and advanced beyond the remaining 11 democracies by replacing classical liberalism with a comprehensive concept based on freedom of expression, freedom of worship, freedom of want and freedom from fear. Real freedom cannot exist if one of …Read More
Euro Area Policies Staff Report for the 2014 Article IV Consultation With Member Countries
International Monetary Fund (2014) “Euro Area Policies Staff Report for the 2014 Article IV Consultation With Member Countries“, IMF Country Report No. 14/198, July. KEY ISSUES Context. Real output has expanded for four consecutive quarters, and financial market sentiment has improved markedly. But the recovery is weak and uneven. Inflation has been too low for too long, financial markets are still fragmented, and structural gaps persist: these hinder rebalancing …Read More
Lower import prices = 100% welfare gains? Not necessarily: don′t forget the impact of consumer taste and product quality
Benkovskis, K. & Woerz, J. (2014) “Lower import prices = 100% welfare gains? Not necessarily: don′t forget the impact of consumer taste and product quality“, VoxEU Organisation, 15 Ιουλίου. Import price statistics may not be a reliable indicator of welfare gains. They must adequately reflect the fact that consumers value variety, and that consumer tastes and product quality change over time. This column evaluates existing findings, and introduces new …Read More