Why Europe needs Eurobonds
The 2024 reform of the EU fiscal framework makes fiscal adjustment more country-specific and less procyclical. However, it does not eliminate two fundamental tail risks:
How the rise of AI matters for fiscal policy
Predictions of the effects of AI on the economy and society tend to focus on productivity growth, job losses, and shifts in the distribution of
How large current account imbalances unwind: Evidence from historical adjustment episodes
Global imbalances are back in the policy debate. This column examines 70 current account adjustment episodes across 51 economies from 1980 to 2024 to discover
From Strategic Investment to Tangible Results: Notable examples from the Human Capital Trust Fund
Two-thirds of the income gap between developed and developing countries can be attributed to disparities in human capital. Yet, budgets for critical human capital investments are
Making sense of conflicting labour market signals
Can policymakers rely on traditional labour market indicators when unemployment, vacancies, wages, and payroll growth appear to send conflicting signals? This column presents a new
Mapping the household-level transmission of monetary policy
The monetary tightening that followed the post-pandemic inflation episode has revived long-standing debates about how monetary policy affects households. This column uses a survey of
New evidence on the resilience benefit of borrower-based measures when interest rates go up
Borrower-based macroprudential measures are meant to provide a guardrail to counter an erosion of lending standards over time. This column explores whether such measures can
Dollar edges up ahead of US jobs data, Supreme Court ruling on Trump’s tariffs
Markets brace for US Supreme Court ruling on Trump’s tariffs. The dollar edged up on Friday as markets awaited a U.S. jobs report and braced
Sterling drops as inflation cements BoE cut expectations, dollar up before US inflation
British consumer price inflation fell to 3.2% in November, its lowest since March, from 3.6% in October, official figures showed. Sterling fell on Wednesday after
European stocks fall as traders wait for US jobs data, dollar steady
Oil drops below $60 a barrel for first time in months. European stocks fell in early trading on Tuesday, struggling to make gains as traders
