Past Event

Could uncertainty derail the European recovery?

It is a contradictory time for Europe. The economy is recovering but the political climate is uncertain. There is excitement about common projects but also rifts and increasing nationalism and populism.

Date: March 22, 2018, 12:30 pm Topic: Macroeconomic policy

VIDEO & AUDIO RECORDINGS

Zsolt Darvas, Bruegel’s Senior Fellow, opened the event by naming several challenges the EU faces currently among those being Brexit, the uncertainty following the Italian elections, and the still very high unemployment in many European countries.  External shocks, such as the protectionist US trade policy, add to this uncertainty.

Franco Bruni, Vice President of ISPI and contributor to the ISPI Annual Report 2018, provided further details on the uncertainty surrounding the European Union in his presentation. He mentioned several EU specific problems such as the late formation of a German government, disagreements in the Franco-German leadership and uncertain formation of the Italian government. On top of these “home-made” problems, Mr. Bruni outlined global challenges the EU has to deal with. As an overall assessment, Bruni identified a strong economic situation in the EU that is accompanied by a fragile political situation and is wondering whether the European political elites are waiting for the next big crisis to tackle the current problems.

Maria Demertzis, Bruegel’s Deputy Director, identified a lack of trust as the fundamental source of uncertainty. Currently, European countries do not have sufficient trust to each other. On top, trust in the European institutions and projects is declining as well. Ms. Demertzis argues that diverging levels of rule of law in European countries is the source of the declining trust. EU’s promise to new member states of an increasing quality in the rule of law could not be held and therefore the EU should think of implementing a system that monitors the status of rule of law. Regarding the global challenges, the EU should increase the resilience of the Europa economic and political system. That would include aiming for a good Brexit outcome, defending the multilateral system, and introducing an “insurance” system that protects the EU from external (economic) shocks.

Marietje Schaake, Member of the European Parliament, expressed her deep concern about the fast and increasing deteriorating of the transatlantic relations. She pointed out that nobody would have imagined a decline in that pace and that this trend will have profound consequences for Europe. In order to improve trust in Europe’s institutions and to reduce uncertainty, Ms. Schaake proposed that the European institutions should rigorously focus on a set of issues (such as immigration, security, climate) in which the EU can bring added value. On top, she promoted a “rules-based approach” in the field of rule of law in which breaking the rule has to hurt and has consequences. She regards the payment of cohesion funds, conditional of the quality of rule of law, as a radical policy option but which is worth discussing.

 

Event notes by Alexander Roth.

The event offered the occasion to present and discuss the ISPI 2018 Annual Report “Big Powers are back. What about Europe?

event materials

Presentation by Franco Bruni

Schedule

Mar 22, 2018

12:30-13:00

Check-in and lunch

13:00-14:00

Panel discussion

Chair: Zsolt Darvas, Senior Fellow

Franco Bruni, Vice President, ISPI; Lead Co-Chair, T20 Italy TF9 on International Finance

Maria Demertzis, Deputy Director

Marietje Schaake, International policy director of the Cyber Policy Center, Stanford University

Additional speakers to be confirmed

14:00-14:30

Q&A

14:30

End

Speakers

Franco Bruni

Vice President, ISPI; Lead Co-Chair, T20 Italy TF9 on International Finance

Maria Demertzis

Deputy Director

Zsolt Darvas

Senior Fellow

Marietje Schaake

International policy director of the Cyber Policy Center, Stanford University

Location & Contact

Bruegel, Rue de la Charité 33, 1210 Brussels

Matilda Sevon

[email protected]

Read article More by this author
 

Podcast

Podcast

The European economy in 2022

What are the economic priorities for the new year?

By: The Sound of Economics Topic: European governance, Macroeconomic policy Date: January 5, 2022
Read article More by this author
 

Podcast

Podcast

Last but not the least

An overview of economic policy and beyond in 2021.

By: The Sound of Economics Topic: European governance, Global economy and trade Date: December 22, 2021
Read article
 

Blog Post

European governance

Policy coordination failures in the euro area: not just an outcome, but by design

Discussions on the fiscal framework should aim to correct its procyclical nature with a view to promoting more cooperative outcomes.

By: Maria Demertzis and Nicola Viegi Topic: European governance, Macroeconomic policy Date: December 20, 2021
Read article More by this author
 

Podcast

Podcast

The Age of Unpeace: How connectivity causes conflict

How has globalisation and connectivity caused fragmentation and conflict on a global scale?

By: The Sound of Economics Topic: European governance, Global economy and trade Date: December 15, 2021
Read article
 

External Publication

European governance

EU borrowing—time to think of the generation after next

Financing post-pandemic recovery via EU borrowing has proved remarkably straightforward. So why keep it temporary?

By: Grégory Claeys, Rebecca Christie and Pauline Weil Topic: European governance, Macroeconomic policy Date: December 9, 2021
Read about event More on this topic
 

Past Event

Past Event

How to deal with small banks: consolidation, tailoring and the fintech challenge

Small banks face multiple challenges. What structural changes are needed to tackle these pressures?

Speakers: Alexander Lehmann, Nicolas Véron, Xavier Vives, Anne Fröhling and Philip Evans Topic: Banking and capital markets Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: December 9, 2021
Read about event More on this topic
 

Past Event

Past Event

Inside the European crises: a conversation with Marco Buti

At this event Marco Buti talks to Maria Demertzis, André Sapir and Guntram Wolff about his new book, in which he gives an insiders look at European policy making.

Speakers: Marco Buti, Maria Demertzis, André Sapir and Guntram B. Wolff Topic: European governance Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: December 3, 2021
Read about event More on this topic
 

Past Event

Past Event

Role of innovation in decarbonisation

A fireside conversation with Eni CEO Claudio Descalzi on decarbonisation.

Speakers: Claudio Descalzi and Guntram B. Wolff Topic: Green economy Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: November 29, 2021
Read about event More on this topic
 

Past Event

Past Event

Fiscal policy and rules after the pandemic

What are the possibilities for shaping the new fiscal policy?

Speakers: Zsolt Darvas, Maria Demertzis, Michel Heijdra and Katja Lautar Topic: Macroeconomic policy Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: November 24, 2021
Read about event More on this topic
 

Past Event

Past Event

Covid recovery and the green transition: What can promotional banks do?

What is the role of promotional banks in financing the green transition?

Speakers: Sophie Barbier, Maria Demertzis, Ricardo Mourinho and Lucinio Muñoz Topic: Green economy Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: November 18, 2021
Read article More on this topic More by this author
 

Podcast

Podcast

Pandemonium

How did Europe respond to the pandemic?

By: The Sound of Economics Topic: European governance Date: November 17, 2021
Read article Download PDF More on this topic
 

Book/Special report

European governance

Instruments of a strategic foreign economic policy

Study for the German Federal Foreign Office produced by Bruegel, the Kiel Institute for the World Economy and DIW Berlin.

By: Katrin Kamin, Kerstin Bernoth, Jacqueline Dombrowski, Gabriel Felbermayr, Marcel Fratzscher, Mia Hoffmann, Sebastian Horn, Karsten Neuhoff, Niclas Poitiers, Malte Rieth, Alexander Sandkamp, Pauline Weil, Guntram B. Wolff and Georg Zachmann Topic: European governance Date: November 12, 2021
Load more posts