Bankenprobleme in Italien
Italy's banking sector problems

Choice between one of two evils Arrow

Italy's largest bank should reduce the bulk of its non-performing loans according to the European Central Bank's advice. Actually, owners and creditors should bear the losses. But an injection of public funds through a backdoor of bank regulation is now on the table. As long as the funds were used for restructuring, this would be harmless as could be seen from the US approach to bank recapitalization.  more

Brexit
Brexit

There are only losers Arrow

The United Kingdom’s exit from the European Union is a historic break and a tremendous loss for everyone concerned. The British will lose importance on the stage of world policy and, finally, their access to the world’s largest single market. At the same time, the European Union will have to accept the loss of its most important financial centre and, with it, the EU’s gateway to the Commonwealth and the United States. more

Bußgelder für Spanien und Portugal
Financial Sanctions

EU must take gloves off Arrow

For the first time in the history of the Stability and Growth Pact, the EU could impose sanctions for excessive government deficits. Targeted by sanctions would be Spain and Portugal. And rightly so, because compared to France and Italy, the budget deficits of the Iberians are significantly more severe. This does not allow tinkering with the fiscal rules anymore.  more

TTIP

Paradoxical protestArrow

Despite the major protest movement against the transatlantic free trade agreement, the majority of TTIP sceptics still speak out in favour of free trade and globalisation. So, what are TTIP opponents actually protesting, if, at the same time, they endorse unlimited international trade? In reality, the defensive attitude towards TTIP feeds on issues that have little to do with the agreement itself.more

Mexico World champion in free trade Interview Setting a new benchmark – or just waiting to be abandoned?
TTIP

Paradoxical protest Arrow

Despite the major protest movement against the transatlantic free trade agreement, the majority of TTIP sceptics still speak out in favour of free trade and globalisation. So, what are TTIP opponents actually protesting, if, at the same time, they endorse unlimited international trade? In reality, the defensive attitude towards TTIP feeds on issues that have little to do with the agreement itself. more

Michael Voigtländer in Market Insights and Updates
Michael Voigtländer in Market Insights and Updates

Macro Prudential Instruments for the German Mortgage Market Arrow

It is without question that regulations are necessary in the banking system, but regulators should be more patient and analyse the outcome of regulations in greater detail, says the IW Institute's real estate expert Michael Voigtländer in a guest commentary for Market Insights & Updates. more

Circular economy
Circular economy

All countries need to recycle more Arrow

Recycling, recovering, reusing – the European Commission wants member countries to accumulate less waste, and thus plans to tighten its recycling targets. This move would have repercussions for all member states – including the European champion of recycling, Germany – according to a study carried out by the Cologne Institute for Economic Research (IW Köln). After all, no EU country would meet the proposed target right off. more

Deutsche Börse and London Stock Exchange
Merger of Deutsche Börse and London Stock Exchange

Merger comes with benefits for Europe Arrow

A merger of the Deutsche Börse and the London Stock Exchange would support the political project of the Capital Markets Union and give European companies more funding opportunities. SMEs and savers would particularly benefit. This is the conclusion of a new study of the Cologne Institute for Economic Research (IW). more

Japan's protracted deflation
Japan

Stagnation or equilibrium? Arrow

Since 1990, the world’s third-largest economy has been in a state of emergency. Japan’s economy is no longer growing, the government debt is exorbitant, and yet the country has a very low rate of unemployment and a strong credit rating. The explanations for this phenomenon diverge considerably. more

Collaborative economy
Collaborative economy

Dreaming of Digital Unity Arrow

Diverse regulation in the EU member states prevents online platforms such as collaborative platforms like Uber or Airbnb from scaling up. In order to create a consistent framework, the EU Commission has put forward an agenda for the collaborative economy today – without extreme restrictions of business activities. This is appropriate and long overdue. more