Currency and Financial Markets Europe Foreign Trade and International Economic Relations

Greece’s debt burden can and must be lightened within the Euro

There will be no confidence and no growth in Greece without a solution to the debt problem.

by Armin von Bogdandy, Marcel Fratzscher and Guntram B. Wolff on 5th August 2015

Perhaps the greatest damage caused by the confrontation with Greece is a general loss of confidence. If we want to get Greece back to growth, people, companies and investors have to regain confidence in the viability of the country. For this to work, a legitimate and competent government … [continue reading]

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Business Cycles, Growth, Economic Structure Economic Policy Public Finances and Financial Economics

Expert Commission presents 10-point plan to increase investment, growth, and jobs

PK_Expertenkommission

The Expert Commission appointed by Federal Minister of Economic Affairs Sigmar Gabriel proposes a 10-point plan to lay a new foundation for increasing investment, growth, and jobs in Germany. With this, both the existing investment opportunities in the public sector as well as the framework conditions for private investment should improve – including through an investment pact for municipalities, the formation of a public infrastructure institution, and a public infrastructure investment fund. In the creation of a plan to “strengthen … [continue reading]

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Business Cycles, Growth, Economic Structure Europe Macroeconomics Public Finances and Financial Economics

Europe Doesn’t Need More Public Spending

This article was first published in The Wall Street Journal Europe on 4 July 2014

Europe is stuck in a deep slump and facing the prospect of many more years of stagnation and high unemployment. European leaders are right in their diagnosis that a growth stimulus is urgently needed to end the crisis. But they are wrong in their solution: The Continent doesn’t need more public spending and bigger government. It needs more competition, innovation and the completion of the … [continue reading]

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Business Cycles, Growth, Economic Structure Economic Policy Public Finances and Financial Economics

Ailing Infrastructure: Scrimping Threatens Germany’s Future

SPIEGEL ONLINE International writes about the recent study by the German Institute for Economic Research (DIW) about the investment shortfall in Germany:

“From the outside, Germany appears to have a robust economy. But a new study by a leading economic institute reveals that the country is investing far too little in infrastructure and its future, effectively saving itself to death .. (full article)”

For more information on the investment agenda of DIW Berlin, see also my post “… [continue reading]

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Business Cycles, Growth, Economic Structure Economic Policy Public Finances and Financial Economics

10 Statements – Investment for More Growth. An Agenda for Germany’s Future

Germany has been swept away on a wave of euphoria – the public perception is that its economy is thriving and its future is promising. A study by DIW Berlin (document in German, a shorter English version of the study will be published in August) refutes this perception, arguing that, in recent years, Germany has not only made fundamental economic policy mistakes but has also failed to set a course for the future. Above all, this is reflected in a [continue reading]

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