News Archive

A significant expansion of the EU single market for services can permanently increase Europe’s gross value added by 2.3 percent, or 353 billion euros. According to the calculations of the new EconPol Policy Report, reducing trade barriers for services in the EU single market by 25 percent and 10 percent respectively would increase the gross value added of all member states.

Defense spending above the NATO target of 2 percent of gross domestic product would be necessary for Europe to be able to defend itself without the protective umbrella of the United States. This is the conclusion of the new EconPol Policy Brief. European countries would have to significantly increase their efforts to catch up with an adequate defense capability, as defense budgets and military investments have been too low for years. Europe must compensate for higher real military costs than, for example, in Russia or China.

44% of German manufacturing companies expect a negative impact on their business if Donald Trump is elected US President instead of Kamala Harris. This was shown by a survey of 2,000 companies. For 51%, it makes no difference, while 5% expect positive effects from Trump.

With the U.S. presidential election just around the corner, the new issue of EconPol Forum looks at the implications for global politics and the global economy. Clemens Fuest and Maria Waldinger explain why reducing greenhouse gases is not enough to fight climate change. And a new Policy Brief examines the relationship between competent board oversight and bank performance. Find out more in our new Newsletter!

The downfall of Credit Suisse should serve as a lesson that supervisory board competence determines the long-term risk of a bank. In Germany, this idea is also enshrined in law. But this study of German banks shows, there is still a long way to go.