Keyword: European Union

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Europe

European Economic Recovery

This week’s IGM European Economic Experts Panel statements: A) Right now, the central focus of fiscal policy should be on temporary measures to provide protection and promote rapid economic recovery rather than trying to advance other objectives, such as reducing debt, tackling climate change or addressing inequality. B) Cutting taxes on firms (or delaying tax collection) will allow more of them to survive and be more effective than public spending for triggering a rapid economic recovery. C) European recovery fund disbursements to crisis-hit countries should be primarily in the form of grants rather than loans. D) European recovery fund disbursements to crisis-hit countries should not be made on condition of commitments to reform by recipients.
Europe

Supporting European Businesses in the COVID-19 Crisis

This week’s IGM European Economic Experts Panel statements: Government support to private firms in the form of debt (either directly or with the help of public guarantees) is desirable, but risks leaving them with too much leverage to invest and grow in the future. Providing funds to viable businesses in the form of equity injections is a vital complement to debt support. With the EU ban on state aid suspended, government capital injections should be provided via a newly created pan-European equity fund, rather than be left to national governments acting independently.
Europe

The European Green Deal

This week’s IGM European Economic Experts Panel statements: A) The European Union goal of reaching net zero emissions of greenhouse gases by 2050 will be a major drag on economic growth. B) Carbon taxes are a better way to implement climate policy than cap-and-trade. C) A carbon border tax targeting imports from non-EU countries with less strict climate policies is likely to harm developing economies.
US

Brexit, the UK Economy and US-UK Trade

This week’s IGM Economic Experts Panel statements: A) Following the UK election result, the certainty that the country is going to leave the European Union will provide a substantial short-term boost to the UK economy. B) The near certainty that the UK will leave the European Union's customs union and single market in 2020 offers a sizeable export market opportunity for American business.
Europe

‘Getting Brexit Done’

This week’s IGM European Economic Experts Panel statements: A) Following the UK election result, the certainty that the country is going to leave the European Union will provide a substantial short-term boost to the UK economy. B) Given that the transition period currently expires at the end of 2020, there is still a considerable risk that the UK will leave the European Union without a trade agreement. C) Leaving the European Union without a trade agreement would have a large negative impact on the UK economy.
Europe

ECB Appointments

This week’s IGM European Economic Experts Panel statements: Selecting candidates for membership of the ECB Executive Board based primarily on nationality ahead of competence is likely to have a negative effect on the quality of monetary policy in the Eurozone. Although the central bank can never be an entirely technocratic institution, the selection process for the ECB President and members of the Executive Board is significantly worsened by intergovernmental trade-offs involving appointments to other European institutions.
Europe

European Champions

This week's IGM European Economic Experts Panel Statements: A) The average European is better off if Europe’s competition authorities let firms merge into European champions in their sectors, even it weakens competition. B) If China and other countries use policies that create giant international firms, then the average European is better off if Europe's competition authorities let firms merge into European champions in their sectors, even it weakens competition.