Monday, June 22, 2020

Post-COVID Economic Recovery in Europe

The exogenous shock that hit the economy is took everyone by surprise. As countries slowly navigate the recovery process post-COVID, the most important question is what is the economic recovery tools. 
Looking at Europe, the article by Douglas A. Rediker and Giovanna De Maio in Brookings sum it up  'Order from Chaos.' Below is the last paragraph from the article:

"What seems on its face to be a dispute over financing instruments and fiscal advantages is actually a far deeper reflection on the costs and benefits of EU or euro area membership itself, and ultimately the future of European integration."

On another note, the USA Congress allocated about 15% of GDP to COVID-19, with more coming. The 2% limit of the ESM facility pale in comparison.

 3 Important Regions: China, USA & Europe. Where is OIC?

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