International Economics and Economic Outlook After the sovereign debt crisis in the euro area and the Brexit referendum, priority must be given to putting economic policy in Europe on an optimal course without setting the wrong long-term incentives. One of the key questions is whether deeper integration is really essential for bringing stability to the euro area. Moreover, the EU needs to sort out its future, particularly regarding issues like a more variable geometry, the EU budget and its regional policy.
In addition, our researchers analyse the business cycle and investigate other macroeconomic issues. For example, given the demografic change and the currently slow productivity growth, we examine the prospects for growth and investment in Germany, Europe and the world. This is an issue closely connected with the future viability of the German business model with its heavy bias towards exports.
The economists in this research unit also take an active part in economic policy debates, be it discussion of the German current account surplus, Germany’s attractiveness as a location for investment or the threat to open markets by Brexit and Trumponomics.
Euro area governance
A current priority is to provide policy advice for the reform of the euro area - based on the right incentives for sound economic policymaking.
Economic outlook and structural change
The research unit leads and contributes to the IW’s semi-annual economic outlook for Germany and the international economy. Furthermore, we analyse economic growth and structural change from a macroeconomic perspective.
Globalisation, trade, competitiveness
Current topics in this policy area include Brexit, the consequences of globalisation, as well as German and European competitiveness.
