The Research Centre International Economics FIW is a project of WIFO, wiiw and WSR on behalf of the Federal Ministry for Digital and Economic Affairs. The FIW cooperation with the Vienna University of Economics and Business, the University Vienna, the Johannes Kepler University Linz and the University of Innsbruck is supported by the Federal Ministry of Education, Science and Research.
Focus Summer 2018
We present and discuss current research and economic policy related topics in International Economics. This quarter about:
Trade war and its consequences for the world economy
The USA is on track to override the rules governing the world economy to date and start a trade war. The USA is also effectively withdrawing its support from the World Trade Organisation (WTO). Is this the end of the WTO? This question is discussed in ifo Schnelldienst 11/2018 by Martin Braml and Gabriel Felbermayr, ifo Institute, Wolfgang Weiß, German University of Administrative Sciences in Speyer, Fritz Breuss, WU Vienna, Christoph Scherrer, University of Kassel, Christoph Herrmann and Caroline Glöckle, University of Passau, Tim Krieger and Laura Renner, University of Freiburg, as well as Bernd Lange, European Parliamen
The Bank for International Settlments warns that escalating trade wars could threaten global economic growth.
More uncertainty depresses the willingness of German companies to invest. Above all, the trade conflict with the USA is at fault - but on the other hand, it brings China and the EU closer together
Deutsche Welle (German)
After the European Union has issued punitive tariffs on various US-products, US-President Donald Trump has warned the EU that he might issue punitive tariffs on car-imports.
Deutsche Welle (German)
While the impact of the growing trade spat on the US and China economies is expected to be small, analysts are concerned about its escalation.
The article provides an introduction to the most important topics and terms regarding the current developments in international trade policy.
China is the stated adversary in Donald Trump’s incipient trade war. But 30% of the value of the goods China exports to America is added elsewhere. If the row escalates, countries entwined in Chinese supply chains will suffer.
The Mercedes-Benz maker Daimler has become the first major company to issue a profit warning after being hit by the escalating trade war between the US and China.
What does the future hold for the eurozone?
Diplomats of numerous eurozone member states voiced concerns over the German-French reform plans. Especially the plans for an eurozone budget earned criticial reviews.
The French president obtained Tuesday from Germany something that can be called a plan for “eurozone reform,” luring the German chancellor just outside of her traditional comfort zone. And it’s the first time in the monetary union’s 20-year history that an agreement on reform has been struck without the pressure and urgency of a major existential crisis
Emmanuel Macron convinces Angela Merkel to sign up for a euro budget. But banking reform will be halting.