After the Cyprus’s application for EU aid in June 2012, the negotiations on the programme are now getting concrete. The discussion in Germany about possible aid that is estimated between EUR 12 and 17.5 billion for the period 2013-2016 is focusing on the Cypriot financial sector which doesn’t enjoy a good reputation. In the German media, Cyprus and its banks are widely seen –rightly or wrongly - as a tax haven and a money-laundering base. Read more
Bruegel blog
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German views on aid for Cyprus
16th January 2013
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Inequality and adjustment in Europe
10th January 2013
Inequality differs across Europe. Some countries in major economic adjustment have been hit hard by an increase in inequality together with an increase in unemployment in the last couple of years. Especially France and Spain saw strong increases. At the same time, Germany has seen a significant fall in inequality and in unemployment during the last 5 years. Read more
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Blogs review: The trillion-dollar platinum coin option to the debt ceiling
10th January 2013
What’s at stake: What started as an arcane idea on a finance blog a couple of months ago – that the debt ceiling crisis could be averted by exploiting a legislation designed to govern the issuance of commemorative coins, which allows the Treasury to mint platinum coins, and only platinum coins, in any denomination – has moved center stage in the punditry debate and gone viral on Twitter under the hashtags #MintTheCoin and #StopTheCoin. Read more
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The year of Ireland?
9th January 2013
Ireland has assumed the role of the Presidency of the Council of European Union for the first half of 2013, which will likely attract more attention to the country. Yet the major question of the year is if Ireland will be able to return fully to market funding when the current official financial assistance programme expires at the end of this year. Read more
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ERC: indispensable for frontier research in Europe
9th January 2013
2012 was the year that the European Research Council (ERC) celebrated its 5th birthday. Although 5 years is still short for a sound evaluation of enduring effects, it is a good time to assess whether the ERC is set on the right track to deliver on its mission. Read more
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Banking union for non-EA countries
8th January 2013
In a recent blog entry we estimated the total assets and number of banks in the euro area underdirect ECB supervision according to the agreed criteria of the Single Supervisory Mechanism. We now extend the research to all EU countries. In this blog, we start with the statistics before discussing the more complicated home-host issues and how they are treated in the new compromise legislative text. Read more
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Thunderbolts in the patent storm – EU and US antitrust strikes in the Samsung and Google-Motorola cases
7th January 2013
Standards and standard-setting processes play a key role in fostering European economic development. Standards ensure interoperability of networks and often give rise to significant reductions in transaction and production costs. Read more
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The eurozone will muddle through (again)
4th January 2013
At the last European Council summit of 2012, politicians decided to go ahead with the banking union while ending their reflections on fiscal union they had initiated in June, a time of acute market stress. The message: banking union is needed; the rest is not. This behaviour confirms that the eurozone has little appetite to think about its own future. Read more
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Alternative Fiscal Medicine?
26th December 2012
Forget the fiscal cliff. The real issue is the fiscal mountain. According to the International Monetary Fund, the challenge of reducing the public debt ratio to a safe level is daunting for most advanced countries. Read more
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Three structural reforms remain central for the euro in 2013
19th December 2012
As the year draws to a close, it is time to reflect on the economic policy priorities for 2013. I would identify three structural reform areas that are central to the success of the euro… and one less structural measure. Read more
