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Economy

Social Europe is an award-winning digital media publisher driven by the core values of freedom, sustainability, and equality. These principles guide our exploration of society’s most pressing challenges. This archive page curates Social Europe articles focused on economic issues, offering a rich resource for innovative thinking and informed debate.

Illustration of manufacturing steps from shop to digital innovation.

How I Became a Manufacturing Skeptic

Dani Rodrik

The industrialization-led growth model is faltering. Developing economies' best hope now lies in raising productivity across labour-absorbing services.

Illustration of a hand giving coins to a factory, with rising bar graphs and coins.

Europe’s Largest Companies Now Lend More Than They Invest

Mariana Mazzucato

Europe drowns in cheap capital yet starves for investment — because its biggest firms now lend rather than build.

Silhouettes of a human face and a dog with EU flag stars, symbolising energy dependence.

The EU Trades One Gas Dependence for Another

Tom Bauermann

The bloc has swapped Russian pipelines for American tankers — without breaking its addiction to imported fossil fuels.

Urban cityscape with sun, water, and industrial elements for Social Europe.

A New Economics for the 21st Century

Mariana Mazzucato and Lara Merling

By coming out in favor of industrial policy after many decades of advising against government intervention in the economy, the World Bank has taken an important step.

Artistic portrait of Donald Trump with a serious expression.

Trump’s Tragedy of Errors

Joseph Stiglitz

Trump's unchecked Iran war is wrecking supply chains, reigniting inflation, and deepening a global affordability crisis.

Person standing among numerous packed suitcases with Chinese flags.

China’s Overcapacity Problem Is Europe’s Problem Too — But Not in the Way You Might Think

Bernhard Tröster, Simela Papatheophilou and Werner Raza

As Beijing acknowledges its own overcapacity problem, new research reveals a more complex and more enduring threat to European manufacturing.

Industrial oil platform with a world map painted underneath, symbolising global oil industry.

The World Needs an Oil Buyers’ Club

Isabella Weber and Gregor Semieniuk

As the world is plunged into another energy crisis, market allocation is leading to grossly unjust outcomes, as the rich outbid the poor.

Illustration of China's industrial growth affecting global manufacturing.

Europe Is Losing Its Industry To China’s Second Shock

Franz Nauschnigg

Surging Chinese exports, a sliding renminbi and a depleted European industrial base are colliding — and Brussels has run out of time to respond.

Cityscape with construction, wind turbines, and pollution.

Beyond Affordability: Why an Economy Built Only for Consumers Fails Everyone

Dani Rodrik

Progressive politics has rediscovered affordability, but an economic agenda that ignores the dignity and quality of work is only half a strategy.

Silhouettes of people walking up red stairs symbolising social mobility and inequality.

Fiscal Consolidation Costs Europe Jobs and Deepens Inequality

Philipp Heimberger and Anna Matzner

New research reveals that EU fiscal tightening reduces output, raises unemployment, and widens income gaps — especially during recessions.

Industrial workers in a factory setting, Social Europe.

Deregulating Workers’ Rights Will Not Save European Industry — It Will Only Deepen the Crisis

Judith Kirton-Darling and Isabelle Barthès

Blaming labour protections for factory closures is not industrial policy — it is avoidance dressed as reform.

Digital worker — man using computer, Social Europe.

The Digital Omnibus: Eroding Worker Protection and Rights

Aida Ponce Del Castillo

The European Commission's "simplification" package is, in fact, a deregulatory intervention that weakens workers' data rights.

Two industrial workers in front of a large sun with EU stars, factory silhouette.

Will the European Union Protect Workers from Deadly Heat?

Marouane Laabbas-el-Guennouni, Andreas Flouris, Sergio Salas, Sebastian Schneider, Marike Schooneveldt, Ivan Ivanov and Dimitra Theodori

Current legal frameworks leave workers dangerously exposed; only a binding directive can close the gaps.

Elderly man in a suit reading and smoking pipe, Social Europe.

Should Comparative Economics Still Exist?

Branko Milanovic

Branko Milanovic asks whether we should continue to teach comparative economic systems to broaden students' horizons, or if the global ubiquity of capitalism renders such historical study obsolete.

Large eye overlooking city with people, symbolising surveillance and privacy concerns.

AI Note-Takers at Work: The Silent Threat to Privacy and Compliance

Aida Ponce Del Castillo

AI transcription tools promise efficiency but bring legal exposure, surveillance risks, and threats to fundamental rights.

Cityscape with modern and historic buildings, Social Europe.

Romania’s Tiger Economy Is Running Out of Fuel

Jeffrey Sommers and Cosmin Marian

The EU's fastest-growing economy of the past two decades risks stalling unless it dramatically increases its rock-bottom spending on research and education.

Man in suit overlooking industrial pipes and machinery, Social Europe.

Germany’s Middle-Technology Trap: Industrial Policy Blindness and the Path Out

Peter Bofinger

Germany's faith in free markets has left it squeezed between China and America — but a defence-spending loophole offers unexpected hope.

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S&D Housing Storytelling

Europeans are struggling with rising housing and rental costs, and we have been working in various ways to address this, because we believe a home is a right for everyone.
 Recently, we travelled across Europe to hear directly from people who struggle to afford a decent place to live. They shared a glimpse of how the housing crisis has affected their lives and why having a home is so important to them. Take a moment to check out their stories. They remind us why it is so urgent to act.

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New Edition - Social policy in the European Union: state of play 2025

Can Europe preserve its distinctive social model while simultaneously rearming, reindustrialising, and reorganising its economy in a more conflictual and competitive world? This is the central question raised in this new edition of the Bilan social, a reference publication released every spring for more than 25 years by the European Trade Union Institute (ETUI) and the European Social Observatory (OSE).

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Is financial resilience and trust in Europe faltering?

In this episode of Eurofound Talks, host Mary McCaughey and senior researcher Eszter Sandor unpack the results of the 2025 Living and Working in the EU e-survey. While headline inflation has stabilised at 2.1%, the data reveals a continent gripped by chronic precariousness, with 57% of respondents now at risk of depression. Mary and Eszter explore how this economic insecurity is impacting institutional trust and democratic engagement.

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The Summer issue of The Progressive Post is out! 

The EU is belatedly awakening to a changing Mediterranean sea, where more assertive regional powers are reclaiming a role.

The new issue of the magazine also reflects on how we struggle to keep pace with AI innovations, examines the uncertainties surrounding the execution of the Pact on Migration and Asylum and the risk to human rights posed by the Return Regulation, and focuses on the EU Commission's newly proposed Industrial Accelerator Act.

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Author portrait, Social Europe.

In the face of escalating crises, we need a strong understanding of just transition that includes a democratisation of the economy and imagines the socio-ecological transformation from an internationalist perspective.

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“What is the actual purpose of the state?” – this central question is the focus of the analysis. At a time when bureaucratic processes are making life difficult for citizens, the paper proposes a three-part model. It aims at a conception of the state as a platform that helps society build the capabilities it needs to address its problems effectively.

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