The Ukraine crisis has shown not only that unlimited trade is impossible but also that it needs to be regulated by values.
In the latest in our ‘Europe2025’ series, Gustav Horn focuses on macroeconomic institutional reforms for financial stability and a programme of investment to engender vital public goods.
Economists were certain that free trade would be a major source of general welfare enhancement. Resistance against it has been widely seen as irrationality driven by blind nationalism. Recent developments have shaken this firm belief in the benefits of free trade. The rise of right wing populism with all its severe political repercussions seems to […]
There’s no end to the criticism of the excessive German current account surplus. Quite rightly, people suggest that this imbalance has the potential either to unleash violent currency fluctuations on a global scale or to generate a renewed debt crisis in the Euro Area. The consequences of such disruptions would also substantially damage the German […]
It’s indeed rare but not unusual for voters to get rid of their political elites. Many western democracies now find themselves in a phase in which deep distrust towards the prevailing economic policy has developed. Via elections as in the USA or referendums as in the UK this distrust comes to a head and fundamentally […]
It was wrong from the start. Going on the incorrect assumption that the Eurozone crisis could only be overcome with the help of the crisis-proven IMF, it was the German government above all that insisted on embedding the Fund as an equal partner in the Troika meant to draw up and monitor the rescue programme […]
The agreement reached in Brussels yesterday between EU governments and Greece came only with a huge loss of mutual trust. It remains to be seen whether the deal in these circumstances will win majority political support. Economically, it would at least offer a small opportunity for a recovery in the Greek economy. But this would […]