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The power struggle between the USA and China is also perceptible in these parts; exports are declining, companies invest less. The German Economic Institute thus adjusts its economic forecast downward.
The changing course of US trade policy since the election of Donald Trump has strengthened the image of free trade in the EU. However, almost 40 percent of EU citizens also support protectionism. This is puzzling, yet lacking knowledge is an important explanation, a new IW study shows. An information campaign is inevitable in order to secure the sustainability of EU Trade policy.
Ilaria Maselli, senior economist for Europe at The Conference Board, talks with Michael Hüther about his latest book „Exhausted Globalization”: Between the Transatlantic Orientation and the Chinese Way". The book is a thorough reflection about the downturn globalization is going through. It investigates the reasons why globalization is losing energy and appeal, and sketches possible ways to make it more inclusive.
Before the economic crisis, European regions with low economic output per inhabitant grew faster than the wealthier ones. The living conditions on the continent became more similar. Since 2010, however, the process of catching-up has been stopped.
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