The Week That Was in Europe

Join us on as we delve into the economic consequences of Europe's evolving geopolitical landscape with our guest Moritz Schularick, President of the Kiel Institute for the World Economy. Together, we tackle the pressing issues arising from an imperialistic Russia, uncertain US commitments, and China's strategic maneuvers. Tune in to understand the shifts in global order and what these could mean f...

Germany's industrial powerhouse has long been the backbone of Europe’s economy. But after years of steady growth, manufacturing activity has been on a downward trajectory since 2018. Could this decline suddenly accelerate due to "cluster effects" and local economies of scale unraveling? In this episode, we dive into the forces shaping Germany’s industrial slowdown and explore whether policy interv...

We discuss the effects of tariffs on consumers and producers, drawing on evidence from the tariff war during the first Trump administration. The empirical evidence shows that import tariffs led to increases in domestic prices, reductions in import quantities and a reduction in product variety. This coupled with additional adverse effects on global supply chains and retaliatory tariffs makes it har...

Join our discussion of the ECB's decisions and communication following its rate setting meeting on January 30, 2025 and learn about the outlook for Euro Area growth, inflation and interest rates.

In this episode, we welcome Clemens Fuest , President of Germany's Ifo Institute, for an in-depth discussion on economic challenges and the urgent reforms needed to get Germany back on track. We dissect (i) what’s behind Germany's economic underperformance compared to its Euro Area peers, (ii) whether the upcoming elections deliver a chance for economic recovery, and (iii) what measures might be b...

Join us as we discuss with Dan Breznitz from the University of Toronto the difference between invention & innovation, the various stages of innovation and what different stages imply for the distribution of income across society. We also look at the role that innovation agencies and universities play in fostering innovation and how the divide between China and the West will affect the innovati...

Join us as we discuss with Professor Gabriel Felbermayr, President of the Austrian Institute of Economic Research, the forces reshaping the intricate web of global value chains. Geopolitical tensions, mounting tarrifs and regulatory crackdowns put pressure on global economic exchange and Gabriel shares his expert insights on what the future holds and what it means for businesses and economies worl...

In this episode, Dirk Schumacher sits down with Hadrien Camatte from Natixis to dive deep into the fallout of the Barnier government’s collapse. - Can President Macron cobble together a new government? - What were Marine Le Pen’s motivations for toppling Barnier, and what does it mean for France’s political future? - As parliamentary elections loom in mid-2025, will the country see a stable majori...

Dive into the turbulent world of German politics as we unpack the dramatic collapse of the ruling coalition and what lies ahead in the upcoming elections. While disagreements over economic policies led to the coalition's downfall, the challenges remain unchanged: high corporate taxes, surging labor costs, and stifling bureaucratic inefficiencies. What will it take for Germany's next government to...

In this episode, we explore the inflation outlook for the Euro Area, honing in on whether medium-term inflation could once again fall short of the ECB's target, as it did before the pandemic. While there’s little evidence in current data to suggest an imminent undershoot—thanks to robust wage growth, persistent service price inflation, and ample room for monetary policy easing—some of these factor...

Join us this week as we tackle a pressing issue facing the Euro Area: fiscal consolidation. With debt-to-GDP ratios near historic highs in many economies, reducing deficits is critical—but not without risks to economic growth. Our special guest, Roel Beetsma, Professor of Macroeconomics at the University of Amsterdam, offers his insights on questions like: Is there a way to cut deficits without hu...

Join us to dive into the challenges and transitions facing Europe’s car industry. Together with Valentin Mory, mobility expert from Natixis, we explore the shifting landscape of electric vehicles (EVs), China's lead in battery technology, and the future of internal combustion engines. Will Europe keep pace with China’s rapid electrification? Can car manufacturers overcome regulatory hurdles and av...

Have you ever wondered why Europe's economic growth seems stuck in slow motion? Join us as we explore the mystery of Europe's lagging economic growth. We break down the complex factors at play from sluggish investment to slow productivity growth, discuss the struggle to keep pace with the US tech boom, and Europe's shortcomings in fostering innovation, particularly in the Information and Communica...

Join Dirk Schumacher and Klaus Adam on "The Week That Was in Europe" as they welcome Professor Andrei Levchenko, a leading expert on international trade, to discuss new insights into the gains from international trade, the benefits & drawbacks of tariffs + export subsidies, and international technology transfer. Tune in to "The Week That Was in Europe" for an insightful discussion on the ever-...

We provide our perspective on the ECB’s policy meeting: markets expected the ECB's rate cut, the real focus was on the path for interest rates going forward.

In this week's episode of The Week That Was in Europe , hosts Dirk Schumacher and Klaus Adam return from their summer break to analyze Germany's economic underperformance. Why has Europe’s largest economy stagnated post-pandemic, while its neighbors surge ahead? From sluggish consumer spending to declining investments and rising energy costs, they explore the driving factors behind Germany’s strug...

Today, we dive into the aftermath of the French parliamentary elections – a pivotal event that has captured the attention of financial markets and the broader public across Europe. To help us navigate the complexities of the outcome and the future implications, we have a special guest, Hadrien Camatte. Hadrien is an expert on the French economy at Natixis and has been meticulously following every...

We dive into the transformative world of Artificial Intelligence and its impact on the financial sector and central banks. AI's rapid advancements and diverse applications are creating a veritable AI bonanza, reshaping the economy and financial systems globally. Join us as we explore these changes with Hyun Shin from the Bank for International Settlements (BIS). Hyun Shin co-leads the Monetary and...

In today's epsiode, we dive deep into the economic dynamics shaping the Eurozone focusing on a critical issue: inflation expectations. We uncover what financial markets can reveal about the of future inflation and also discuss evidence coming from investor and household surveys. We're thrilled to have Ricardo Reis join us today. Ricardo is the A.W. Phillips Professor at the London School of Econom...

In today's episode we dive into the complex world of state-based international lending. Recent years have seen a resurgence in cross-border state lending, highlighted by the significant financial support Ukraine has received from Western countries and China's growing role as a global lender. Additionally, central bank swap lines have become a common feature after the 2007/08 financial crisis and t...

Join us today as we delve into the results of the European elections and their far-reaching consequences. We have the pleasure of speaking with Sophia Russack from the Centre of European Policy Studies (CEPS) in Brussels. Sophia is an expert in European politics and policy making, making her the perfect guest to shed light on the European election outcomes and their implications. Don't miss this i...

The ECB has cut rates by 0.25% in its June meeting for the first time in many years. This happened despite forecasts of inflation having been revised slightly upwards. We review the reasoning behing this decision and the outlook for rates going forward.

Join us for an insightful discussion with Roman Arjona, Chief Economist at the European Commission’s Directorate-General for Internal Market, Industry, Entrepreneurship and SMEs. We'll delve into the current state and future of Europe's Single Market, exploring how it compares to the US and the challenges it faces in a changing global trade landscape. Roman Arjona, also Vice-Chair of the OECD’s Co...

Join us as we discuss the outlook for ECB policy rates for the upcoming June policy meeting and thereafter. We put perspective on recent Euro Area growth numbers, consumer spending dynamics, and the inflation outlook. While a June rate cut looks likely, uncertainty about policy rates beyond June appears substantial. Currently available data suggest, however, a sequence of rate cuts.

Join our interesting discussion with Prof. Thiess Buettner, Chairman of the Independent Advisory Board of the German Stability Council, about fiscal policy challenges in Germany.