Enhancing credibility and commitment to fiscal rules


This CASE report aims to derive the characteristics of an effective fiscal governance framework, focusing on the incentives that ensure a commitment to the fiscal rules. It studies this problem with the use of econometric tools, complementing the analysis with formal modelling through the lens of a dynamic principal-agent framework. The study shows that both economic and institutional factors play an important role in incentivising countries’ fiscal  efforts.

Knowledge in decision-making in Finland

The interface between knowledge and decision-making is broken. Societal discussion surrounding this interface over the past few years reveals several disappointments and a frustrated atmosphere. The results from a survey Sitra conducted in the summer of 2017 reinforce this notion and presents new interpretations


The future of Europe: Comparing public and elite attitudes

Based on a major survey across 10 EU countries, this report published by Chatham House shows a lack of consensus among the elite over the future of EU integration - and a pronounced divide within the public on issues of identity. This unique survey conducted between December 2016 and February 2017makes clear that EU politics has moved from a period in which it was mediating between an integrationist political class and an occasionally sceptical public to one in which there is a more mixed picture among both groups.

EU Cookies. Copyright: Samantha on flickr.  (CC BY-NC 2.0 )

EU Cookies. Copyright: Samantha on flickr. (CC BY-NC 2.0)

To be European in a global world

While Europeans generally appear to be united by a development model trying to reconcile economic efficiency, social cohesion, and protection of the environment in a democratic framework, some rather highlight their differences and reject the European project. Can we not, on the contrary, consolidate the construction of Europe by reaffirming our common identity? In this synthesis of a Round Table organized by the Jacques Delors Institute, in partnership with the Gulbenkian Foundation, Luc Vincent presents the main analysis and recommendations formulated during this round table.

2016/03 Gasometer Oberhausen. Copyright: Stefan Laps on flickr ( CC BY-NC 2.0 )

2016/03 Gasometer Oberhausen. Copyright: Stefan Laps on flickr (CC BY-NC 2.0)

Globalisation and the welfare state

A new focus paper published by Bertelsmann Stiftung's GED projectsuggests that the complementarity between openness to trade and a strong welfare state weakened over time. While trade – the key driver of globalisation – improves net welfare, it comes with increased vulnerability to external shocks, decline of certain sectors of the economy, etc. In order to insure against these side-effects, a strong welfare state is needed. However, while globalisation is accelerating, the welfare state stagnates.

Globalization.  Photo copyright: Woplu on flickr ( CC BY-NC-ND 2.0 )

Globalization.  Photo copyright: Woplu on flickr (CC BY-NC-ND 2.0)

Europeans rediscover enthusiasm for globalisation

New research by  Uuriintuya Batsaikhan and Zsolt Darvas.
The general political mood on both sides of the Atlantic seems to suggest declining public support for globalisation, but people in the EU increasingly see globalisation as an opportunity for economic growth. This shift in public opinion coincides with improved economic conditions.

"Globalisation as an opportunity for economic growth". Blue: EU north (Finland, Germany, Denmark, Ireland, Netherlands, Sweden, United Kingdom) Red: EU west (Austria, Belgium, Luxembourg) Orange: EU south (Cyprus, Italy, Greece, Spain, Portugal) Green: EU east 11 (Bulgaria, Croatia, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Romania, Slovenia Slovakia) Pink: France.

Source: Eurobarometer. Question: Please tell me to what extent you agree or disagree with the following statement: “Globalisation is an opportunity for economic growth”. Share of those respondents who replied “Totally agree” and “Tend to agree” among those who answered this question. Average of the May and November survey results for each year.

Trump Trade: More bark than bite?

In this policy paper, Elvire Fabry, senior research fellow at the Jacques Delors Institute, analyses the factors that will prevail in Washington’s initiatives et outlines two scenarios allowing to decipher the way in which these various parameters might be played out:
• An aggressive economic nationalism;
• A protectionist megaphone with limited disruption.

Times Square, USA. Picture copyright: cgc76 on flickr ( CC BY-NC-ND 2.0 )

Times Square, USA. Picture copyright: cgc76 on flickr (CC BY-NC-ND 2.0)

On the Economics of an EU-Japan Free Trade Agreement

A new study of the ifo Institute on behalf of Bertelsmann Stiftung shows that both the EU and Japan could gain additional benefit from a free trade agreement. More importantly, however, the agreement would signal a clear commitment to economic cooperation and free trade in the era of Brexit and Trump.

Japan. Image copyrights: Moyan Brenn on flickr ( CC BY 2.0 )

Japan. Image copyrights: Moyan Brenn on flickr (CC BY 2.0)

Study: Social harmonization in the eyes of Polish Stakeholder

Aspects of labor mobility and discrepancies in social benefits schemes in Member States became an urgent matter to address. However, the EU propositions faced a strong resistance from some groups of stakeholders and Member States. CASE held a forum with various Polish stakeholders, where CASE experts gathered views on the future of social situation in the EU. They are all summarized in this Policy Brief.

Working. Image copyright: Katy Warner on flickr ( CC BY-SA 2.0 )

Working. Image copyright: Katy Warner on flickr (CC BY-SA 2.0)