Social Europe articles on politics

“If the facts don’t fit the theory, change the theory,” goes the old adage. But too often it is easier to keep the theory and change the facts – or so German Chancellor Angela Merkel and other pro-austerity European leaders appear to believe. Though facts keep staring them in the face, they continue to deny […]

The SPD in Germany are part of the Grand Coalition Government with 26 per cent of the vote. The Social Democrats in Sweden form a minority government with 31 per cent of the vote. In the 2010 General Election, after 13 years in Government, the British Labour Party suffered its lowest share of the vote since […]

For most of the beginning of 2014, the eurozone seemed to be in a state of recovery – weak and unsteady, but nonetheless real. In April, the International Monetary Fund estimated that overall GDP growth would reach 1.2% this year, with slowly declining unemployment, up from its previous forecast of 1% growth. With the threat of unsustainably […]

Complex financial instruments increase systemic risks and jack up leverage in the financial system. The International Monetary Fund (IMF) wants regulators to be prepared to identify systemically important financial instruments (Global Financial Stability Report, p.20). Yet, even transparency is impossible as long as financial instruments are overly complex, argues Suleika Reiners of the World Future Council. […]

Though the world’s eyes now are on Scotland’s referendum on independence from the United Kingdom, Scotland is not alone in seeking to redraw national boundaries. There are independence movements in many other parts of the world; indeed, 39 new states have joined the United Nations since 1980. Many more aspirants are waiting in the wings, and would likely be […]

Since I believe that the Scots are sensible, I think that they will vote “no” this week to independence. But, whichever way the vote goes, the spectacular rise of nationalism, in Scotland and elsewhere in Europe, is a symptom of a diseased political mainstream. Many are now convinced that the current way of organizing our […]

It is hardly news that the rich have more political power than the poor, even in democratic countries where everyone gets a single vote in elections. But two political scientists, Martin Gilens of Princeton University and Benjamin Page of Northwestern University, have recently produced some stark findings for the United States that have dramatic implications for the […]

While Mario Draghi has stolen the show with his speech at Jackson Hole, another speech by Haruhiko Kuroda, governor of the Bank of Japan, is actually even more interesting. Kuroda’s introductory remarks are short and simple and they concern the 15 years of deflation Japan has experienced since the mid-nineties. The key lesson is that a […]

There is a real and present danger of overt hostility of majority populations towards the minorities established in the EU. An important factor fuelling rising hostility is the sense that immigration is out of control, most visibly manifested in the rapid increase in illegal and dangerous forms of entry. Migration policies are in evident need […]

The deteriorating relationship between the United Kingdom (UK) and the rest of the EU, including the prospect of a referendum on EU membership, would have dominated the Union’s agenda had it not been for the economic/financial crisis, followed by the external crisis which we are now facing in the East. Precisely because of these crises, […]

First it was the 2007 financial crisis. Then it became the 2008 financial crisis. Next it was the downturn of 2008-2009. Finally, in mid-2009, it was dubbed the “Great Recession.” And, with the business cycle’s shift onto an upward trajectory in late 2009, the world breathed a collective a sigh of relief. We would not, […]

The reception in the United States, and in other advanced economies, of Thomas Piketty’s recent book Capital in the Twenty-First Century attests to growing concern about rising inequality. His book lends further weight to the already overwhelming body of evidence concerning the soaring share of income and wealth at the very top. Piketty’s book, moreover, provides a […]