Cross-posted from Brussels Morning (https://brusselsmorning.com)
Last week, the Federal Statistical Office in Germany presented its first estimate for 2020’s gross domestic product (GDP). The statistical service forecasts a decline in economic output during the year of the coronavirus at 5%. In its press releases, …
Cross-posted from Brussels Morning (https://brusselsmorning.com)
There is no doubt that Switzerland is a currency manipulator; whether its behaviour is wrong or right is less clear. There are other surplus countries (with consistent current account surpluses) that also manipulate currencies and the US supports speculation, …
Cross-posted from Brussels Morning (https://brusselsmorning.com)
The Corona-shock has put enormous pressure on wages. Rising unemployment is shifting the balance of power further in the direction of employers who – with their micro-economic mindset – are eager to cut wages as much as possible. …
Cross-posted from Brussels Morning
Many German economists still blame the European Central Bank (ECB) for doing what central banks normally do, namely providing monetary conditions that are conducive to growth and development.
Particularly damaging for the public debate on how to exit the corona recession are the constant warnings by many economists and some doomsday prophets that the aggressive monetary policy within the monetary union risks triggering imminent and dramatic inflation throughout Europe. …
