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Holding Together what Belongs Together: A Strategy to Counteract Economic Polarisation in Europe

Author

Listed:
  • Claudius Gräbner
  • Philipp Heimberger

    (The Vienna Institute for International Economic Studies, wiiw)

  • Jakob Kapeller

Abstract

The 2017-2018 economic upswing in the EU only masked the underlying economic polarisation in the bloc, which will again become more evident as the economy continues to cool. What could a European strategy look like that counteracts the existing structural polarisation and thereby strengthens the cohesion of Europe? Based on a new study, this policy brief provides a sketch of policy suggestions on which the European Commission or leaders of EU member countries could take the lead, including Coordinated industrial policy programmes Measures against rising income (and wealth) inequality Institutional reforms of the eurozone Further reforms of the financial sector Efforts to harmonise social and ecological regulation in the EU towards higher common standards Wage and fiscal policies geared towards reducing excessive current account surpluses Measures to counteract tax avoidance by international corporations.

Suggested Citation

  • Claudius Gräbner & Philipp Heimberger & Jakob Kapeller, 2019. "Holding Together what Belongs Together: A Strategy to Counteract Economic Polarisation in Europe," wiiw Policy Notes 34, The Vienna Institute for International Economic Studies, wiiw.
    • Handle: RePEc:wii:pnotes:pn:34
    as

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    File URL: https://wiiw.ac.at/holding-together-what-belongs-together-a-strategy-to-counteract-economic-polarisation-in-europe-dlp-5026.pdf
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    More about this item

    Keywords

    Europe; European integration; economic openness; competitiveness;
    All these keywords.

    JEL classification:

    • B5 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches
    • F6 - International Economics - - Economic Impacts of Globalization
    • F45 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Macroeconomic Issues of Monetary Unions

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