When central banks over-deliver, markets listen differently
Financial markets pay close attention to monetary policy, and surprise policy decisions can strongly affect asset prices and the real economy. This column shows that
Moving toward an outcome-based approach for digital sovereignty
Digital sovereignty has become one of the most prominent – and contested – concepts shaping how lower-and-middle income countries approach an increasingly AI-driven world. At
From bilateralism to a system: Europe’s early trade treaties and lessons for EU trade policy in a contested world
As tensions rise between major powers and the global trading system becomes more contested, policymakers often frame the choice they face starkly: either deeper centralised
Stack battles: the US-China artificial-intelligence rivalry is moving beyond chips alone
China is challenging US leadership in both AI hardware and software, with Europe unlikely to catch up. Despite Chinese progress, the United States remains for
Should the European Central Bank slow down quantitative tightening?
The ECB could slow down QT in response to currently tight financial conditions, but should communicate its intentions with care. Since early 2023, the European
Buyer beware: a taxonomy of the risks of international carbon credits
As the EU reintegrates international carbon credits into its climate framework, understanding the associated risks is essential. For more than a decade, international carbon credits
Prevention at birth: Birthright citizenship reduces youth crime
When youth crime draws public attention, policymakers typically call for tougher policing and harsher sanctions, overlooking the crime-reducing benefits of early prevention – investments in
The impact of trade wars on firms in third countries
Bilateral trade shocks may reallocate demand and competition across countries, creating spillovers for firms in bystander countries. To study how firms respond to trade shocks
Making AI work: From promise to practice
AI is here. Over 3 billion people globally use generative AI (genAI) like ChatGPT or Baidu’s Erni Bot monthly. AI helped researchers discover new proteins (and get
When two AI systems become one: unifying data and knowledge in global trade
Navigating global trade data is often a dual challenge for policymakers and researchers: finding the right numbers is hard, but understanding exactly what those numbers
