EEAG Economic Policy for the Next Decade:A Changed Role of Governments?

Torben M. Andersen (1) , Giuseppe Bertola (2) , Clemens Fuest (3, 4) , Cecilia García-Peñalosa (5) , Harold James (6) , Jan-Egbert Sturm (7) , Branko Uroševic (8)

1 Aarhus University [Aarhus]
2 UNITO - Università degli studi di Torino = University of Turin
3 Ifo Institute for Economic Research
4 LMU - Ludwig Maximilian University [Munich] = Ludwig Maximilians Universität München
5 AMSE - Aix-Marseille Sciences Economiques
6 Princeton University
7 KOF Swiss Economic Institute
8 University of Belgrade [Belgrade]

The corona pandemic has created a health and economic crisis without modern parallel. As it hit affected countries ill-prepared and spread quickly within the EU, member states had to adopt more interventionist approaches than ever before – particularly in the areas of fiscal and monetary policy, labor markets and redistribution, and industrial policy. EU member states started controversial discussions about how to support those that were hit particularly hard. This debate has become a litmus test for solidarity in the world's richest bloc of nations. The decisions and measures taken in each country and at the European level will set the course for economic development in the coming years and shape the countries' long-term prospects for decades to come. This EEAG policy brief is a supplement to the group's usual annual report. The authors examine the various effects of the crisis, how Europe can react effectively and how political measures should evolve as the pandemic subsides. In addition, the authors analyze how an efficient supranational insurance mechanism might look like.

Domaines: Economies et finances

Torben M. Andersen, Giuseppe Bertola, Clemens Fuest, Cecilia García-Peñalosa, Harold James, et al.. EEAG Economic Policy for the Next Decade:A Changed Role of Governments?. [Research Report] July, CESifo Network. 2020. ⟨hal-03552489⟩