Macroeconomics & the euro
Europe should boost the Bretton Woods institutions
01 December 2023
The EU should reinforce the World Bank and International Monetary Fund to stave off a destabilising financing crunch for many emerging and developing economies.
Has the IMF’s lending become too expensive for its own good? The case for a lending rate cap
29 September 2023
The IMF risks losing relevance as multilateral provider of bailouts to countries in debt distress.
Germany needs a new growth model
30 June 2023
Berlin should fundamentally reset its growth strategy, rather than clinging to a failing model of industrial export corporatism.
Five proposals for enforceable EU fiscal rules
17 April 2023
As the EU reforms its fiscal rules it risks repeating past mistakes. The EU should couple Commission discretion with stronger enforcement mechanisms to get member-states to follow debt reduction plans.
Europe's central bankers should cherish their disagreements
20 December 2022
Promoting an open debate instead of forging consensus behind closed doors could make the European Central Bank’s decision-making culture more effective.
The European Stability Mechanism is not ready for the next crisis
29 November 2022
Eurozone finance ministers just appointed a new head of the European Stability Mechanism (ESM). They should seize the opportunity to turn the ESM into a more useful institution.
In defence of borrowing for climate action
13 October 2022
Even though interest rates are rising globally, European governments should still borrow large sums to finance green projects. In some cases, the EU should help.
Why would anyone use a central bank digital currency?
07 June 2022
Central banks are rushing to pilot their own digital currencies. These may sound exciting. But they may offer users few compelling benefits they do not already enjoy.
How to make EU fiscal rules compatible with net zero
09 May 2022
EU governments will have to invest a lot more to meet 2030 emissions targets. Fiscal rules exemptions and more EU funding are needed to ensure Europe reaches its climate goals without political crises.
Russia may ditch the dollar – but it needs the euro
29 March 2022
Naysayers claim Western financial sanctions will speed Russia and China’s drift away from Western currencies and finance. But the West’s predominance in the global financial system is enduring.
Europe shouldn't worry about inflation
20 July 2021
The fear of inflation is stalking Europe again. Policy-makers are right to be relaxed.
The G7 corporate tax deal: Why the EU should curb its enthusiasm
09 June 2021
The recent G7 deal will not bolster the European Commission’s broader efforts to fight aggressive tax practices. The Commission needs political realism and more modest aims to make headway.
Don't imitate – innovate! Why Europe doesn't need a rival to Visa and Mastercard
28 May 2021
The European authorities want a home-grown challenger to Visa and Mastercard. They should instead encourage European banks to support more diverse payment options.
Learning to live with debt
18 May 2021
When the old consensus on public debt was formed in the 1980s, the world economy was very different from today’s. It’s time for a new approach.
Taming 'Big Tech': How the Digital Markets Act should identify gatekeepers
04 May 2021
The European Commission is rushing to impose new rules on large digital platforms. A more careful approach would benefit European digital businesses.
The US proposals on digital services taxes and minimum tax rates: How the EU should respond
15 April 2021
OECD members are negotiating a global digital services tax and a global minimum corporate tax. EU member-states should support recent US proposals to conclude the talks.
Can the euro rival the dollar?
04 December 2018
The international role of the US dollar is deeply entrenched. To change that, Europe – and Germany in particular – would need to rethink some core economic policies.