Podcast

What the German coalition agreement means for Europe

The final document on the German coalition agreement will have significant consequences for the European Union and the Eurozone. Bruegel director Guntram Wolff gives his assessment of the agreement's key features in this episode of 'The Sound of Economics'

By: and Date: February 7, 2018 Topic: European Macroeconomics & Governance

The negotiations to form the next German government have been a significant factor in European affairs for months now.  With an agreement finally struck, this episode of ‘The Sound of Economics’ sees Bruegel director Guntram Wolff analyse the document of the agreement and what it means for the EU.

In short, there is a lot of continuity: the Bundestag remains in charge of the European Stability Mechanism, and the EU’s fiscal rules are praised; there will be money for the EU budget, too. More significant is the will to move towards a common tax base and minimum tax rate for corporate taxation. Overall, this is not a breakthrough for Europe.

Further readingWhat has driven the votes for Germany’s right-wing Alternative für Deutschland? — by Alexander Roth and Guntram B. Wolff.

Speakers

Guntram B. Wolff, Director, Bruegel.

Credits

Sean Gibson & Giuseppe Porcaro

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