Little hope for a path breaker on EMU governance

On Wednesday, May 7th, the European Commission will put forward a long-awaited report on the Eurozone. A few months ahead of the Euro’s 10th anniversary, this report is unlikely to trigger a debate the EMU should go through, given recent developments, such as the increasingly observed cyclical divergence and prolonged business cycles that EMU is experiencing, […]

The downsides of harmonising the EU corporate tax base

authored together with Sebastian Dullien  The French Finance Minister Christine Lagarde last week announced that Paris would use its Presidency of the European Council starting on July 1, 2008 to push for a common corporate tax base. Despite its looks, this is yet not another brand new initiative by Nicolas Sarkozy – in addition to […]

Eurozone Politics in 2008

in collaboration with Sebastian Dullien One year ago, we forecast the economic and political developments of the Eurozone for 2007 on Eurozone Watch (see our ex-post analyses here and here). 2008 were are giving this forecasting challenge another go. This is the second part of our outlook on 2008 and deals with politics and governance issues […]

German industry finally joins Europeans in concern over strong Euro

Ten days ago still, the German Finance Minister Peer Steinbrück stood in strong opposition to several of his Eurozone partners: during a meeting of the Eurogroup, some countries had raised strong concerns over the appreciation of the Euro, backed by their industry. The German government took a relaxed position on this matter, arguing both that […]