Macroeconomics & the euro

The Europeans at the London summit

The Europeans at the London summit

Katinka Barysch
01 April 2009
Christine Lagarde, the French finance minister, threatens to walk out of the London G20 summit unless France gets its way on tougher financial regulation. The toppled Czech Prime Minister, Mirek Topolanek, who happens to hold the EU presidency, describes the US fiscal stimulus as “the road to hell”. Not one EU leader deems it necessary to support Gordon Brown publicly when he tries to drum up support for a more concerted international effort to revive the global economy. 
What if the eurozone broke up?

What if the eurozone broke up?

Tomas Valasek
23 March 2009
The future of the euro may not be secure, warned the CER’s Simon Tilford in a January 2009 essay. The current economic crisis threatens to exacerbate the tensions within the eurozone, and an insolvent member-state... could default and leave the eurozone. Since January, the economic crisis has deepened further, and the eurozone’s weakest economies have come under even greater strain. 
The real G20 agenda

The real G20 agenda

Katinka Barysch
13 March 2009
Finance ministers from the G20 countries are meeting in London this weekend to prepare for the global economic summit at the start of April. Expectations are high. But what will the summit be about?
Financial regulation: Is the Channel narrowing?

Financial regulation: Is the Channel narrowing?

Philip Whyte
27 February 2009
On February 25th 2009, a Commission-appointed taskforce headed by Jacques de Larosière published its much-awaited report on financial supervision in the EU.
Germany: Between a rock and a hard place

Germany: Between a rock and a hard place

19 February 2009
Twelve months ago it seemed inconceivable that any member of the EU could face a sovereign debt crisis. It would have been the stuff of fantasy to argue that Ireland or Austria could be among those at risk.
New Europe and the economic crisis

New Europe and the economic crisis

Katinka Barysch
02 February 2009
The EU's new member-states have been hit hard by the credit crunch and collapsing export markets. The Central and East Europeans sense that their post-Cold War growth model – consisting of liberalisation and EU integration – is broken.
The euro at ten

The euro at ten: Is its future secure?

07 January 2009
The euro is riding high and the financial crisis has illustrated the safe haven that membership provides. On the face of it, the future of the single currency looks rosy.
State, money and rules

State, money and rules: An EU policy for sovereign investments

Simon Tilford, Katinka Barysch, Philip Whyte
01 December 2008
The debate about sovereign wealth funds will return as global growth and commodity prices recover. European governments have been right to reject new EU rules on SWFs, and instead support multilateral efforts to set voluntary standards.
The Commission's economic forecasts are still too complacent

The Commission's economic forecasts are still too complacent

07 November 2008
On the face of it, it appears churlish to accuse the Commission of complacency when it is forecasting no growth in the eurozone economy in 2009 and a deep recession in the UK.
Lessons from the financial crisis: A twin-track response

Lessons from the financial crisis: A twin-track response

Philip Whyte
05 November 2008
The credit crunch has unleashed widespread anger outside the financial sector. And rightly so. Not only have taxpayers had to bail out an industry that is uncommonly well rewarded. But the effects of the credit crunch on the real economy are likely to be painful and prolonged – not least on the jobs market.
Beyond banking: What the financial crisis means for the EU

Beyond banking: What the financial crisis means for the EU

Charles Grant, Clara Marina O'Donnell, Hugo Brady, Katinka Barysch, Philip Whyte, Simon Tilford, Tomas Valasek
23 October 2008
The world is in the midst of a financial crisis which will have far-reaching implications for the EU – not just for the region's immediate economic outlook, but also for the future of the euro, financial regulation, economic reform and global governance.
Another Great Depression?

Another Great Depression?

Katinka Barysch
15 October 2008
Many observers have drawn parallels between the current economic crisis and the Great Depression of the 1930s. However, the stock market collapse of 1929 did not directly cause what turned out to be the deepest and most prolonged recession of modern times, ultimately ending in the Second World War.
Scapegoating the US lets others off too easily

Scapegoating the US lets others off too easily

02 October 2008
Huge amounts have been said about the consequences of the credit crunch for the US and UK economies. They undoubtedly face major adjustments, and several years of very weak economic growth.
In defence of Anglo-Saxon capitalism

In defence of Anglo-Saxon capitalism

29 September 2008
Those who never liked ‘Anglo-Saxon’ capitalism are feeling smug. Marxists, fans of ‘Rhineland’ capitalism and those who simply cannot stand American power are crowing.
Eurozone economic outlook

Eurozone economic outlook: Too much complacency

03 April 2008
A year ago the prospect of the dollar falling to 1.60 against the euro would have brought on cold sweats across Europe. Yet, here we are and there is no sense of crisis.
A joint response to the credit crunch

A joint response to the credit crunch

Katinka Barysch
19 March 2008
Ailing banks are being rescued, markets remain frozen, economic numbers are becoming gloomier. Of course, central banks and governments are focusing on fire-fighting, on cutting interest rates, on providing cash to liquidity-starved banks and to consumers.
Time for the Export-Weltmeister to start consuming

Time for the Export-Weltmeister to start consuming

13 February 2008
Too many Europeans are blaming the US for the economic slowdown in Europe, as if everything would have been fine if only the Americans were not so irresponsible. This is complacent.