Europe’s economy performed surprisingly well in summer and fall 2021 and is, as expected  experiencing the typical seasonal economic slowdown this winter. Whether growth picks up again depends largely on developments in the corona virus pandemic. The emergence of new virus variants poses the risk that existing vaccines may be less effective against these mutations. This uncertainty weighs on the expectations of consumers, investors and employees – and weakens economic growth. The interplay of all risks could result in an economic downturn.

GED blog post series on globalization scenarios

The global economy is experiencing a period of rapid upheaval. Technological advances and growing rivalries are tugging at the world’s power structures as major economic players engage in a geostrategic competition. The United States, China, Europe, and other ambitious actors must align their economies to reflect the emerging realities.

The new year started with a heated debate about Europe’s taxonomy for sustainable activities. It is the first test both for the unity of the new German government and for the ability of the French EU presidency to act as an honest broker. This blog post answers the three most important questions to guide this somewhat frayed debate.

On January 1, 2022, France took over the presidency of the Council of the European Union, which rotates every six months among the 27 EU member states. Much of the job involves routine tasks: organizing and chairing ministerial meetings, brokering compromises, and ensuring the coherence and continuity of the European decision-making process. 

Another year, another try. Once again, we try to forecast the events most likely to induce crucial changes for the world (economy) in 2022. However, our approach is a bit different this year: first, we focus more on Europe. We won’t look at European events only, but we will pay special attention to those events that will greatly influence Europe’s position in world affairs

Visit  https://www.unionslabor.de (in German only)

Today’s post differs slightly from our usual posts. This one does not analyze a global economic trend, a political action, or the EU’s strategy – but instead is about an interactive online game. A couple of days before Christmas, seemed an appropriate time. Not only fun but also useful (well, after all, it is still about political action and the EU’s strategy.)

GED blogpost series on globalization scenarios

The global economy is experiencing a period of rapid upheaval. Technological advances and growing rivalries are tugging at the world’s power structures as major economic players engage in a geostrategic competition. The United States, China, Europe, and other ambitious actors must align their economies to reflect the emerging realities. 

Russia’s Power Play and the EU’s Neighbourhood Policy

The Eastern Partnership initiative has contributed to the understanding that Europe is more than the European Union. The long-awaited first face-to-face summit after 2017 confirmed, however, that with its post-2020 agenda “Recovery, Resilience, and Reform” Brussels still does not call a spade a spade when it comes to its integration competition with Moscow. The struggle for political and judicial sovereignty and integrity in the neighborhood will thus continue against the background of unfavorable geopolitical realities.

GED blog post series on globalization scenarios

The global economy is experiencing a period of rapid upheaval. Technological advances and growing rivalries are tugging at the world’s power structures as major economic players engage in a geostrategic competition.

December 11, 2021 marks the twentieth anniversary of China’s accession to the World Trade Organization (WTO). Economic relations between the EU and China have intensified as a result of China’s integration in the multilateral trading system – by and large to mutual benefit.

Is inflation coming? Part II: Drivers of inflation in the long run

Last week, we showed that the corona pandemic is responsible for the high inflation rates in Europe and the U.S. in fall 2021. When the effects of the corona pandemic fade out, lower inflation rates can be expected again.

Is Inflation coming? Part I: Drivers of Inflation in the short run

In October 2021, prices paid by consumers in the eurozone were four percent higher than in October 2020 – the highest rate of increase since the summer of 2008. Effects of the corona pandemic are responsible for this. When these expire, we can expect lower inflation rates as early as next year.

Is Interdependence the Neighbourhood Strategy for a “Geopolitical EU?”

In light of the increasing “great-power” competition and despite the EU’s ambition to become an influential global player, the Union has so far demonstrated little ability to navigate the challenges Belarus poses. Analysing the poor track record of EU-Belarus relations offers important lessons.

Europe played a marginal role in the German election campaign – to the dismay of the country’s federalist community. That said, the coalition agreement hot off the press merits applause even from those who complained that the European dimension of German politics was being ignored. For what the “traffic light” coalition has agreed upon is a strong commitment to more European integration in a number of decisive areas. Here is a short take on some of the agreement’s most interesting passages:

A stable, well-governed neighbourhood, which provides security to its inhabitants while opening up future economic prospects for them, is in the EU’s fundamental self-interest. Our Views from the Neighbourhood discuss challenges our neighbours face and their impact on the EU.

GED series on globalization scenarios

The global economy is experiencing a period of rapid upheaval. Technological advances and growing rivalries are tugging at the world’s power structures as major economic players engage in a geostrategic competition.

Europe’s economies are facing a number of far-reaching changes in the coming decades. These undoubtedly include demographic change and ecological transformation. As both processes are occurring simultaneously, there is considerable pressure for both economies and societies to adapt.

GED blog post series on globalization scenarios

The global economy is experiencing a period of rapid upheaval. Technological advances and growing rivalries are tugging at the world’s power structures as major economic players engage in a geostrategic competition.

From November 8-11, the 19^th Central Committee of the Chinese Communist Party (CCP) will hold its 6^th plenary session in Beijing. In this edition of GED Explains, we look at the role of this Committee and its place in Chinese politics. Then we give three reasons why this is of significance well beyond China.

Webinar Title: The Geopolitics of Energy: Forging a Transatlantic Approach Toward the Global Gas Crisis?

“He who has the benefit must also bear the damage” is how Walter Eucken summed up the principle of liability, a cornerstone of functioning market economies. This also applies to climate policy. From an ordoliberal point of view, it is not acceptable to make profits while socializing environmental damage.

How Japan’s pandemic and economic situation has evolved since then

Ahead of the Olympics in Tokyo in August we looked at Japan’s position in the global economy and its management of the pandemic so far. We also took a bet on Japan’s medal chances. With Japan’s upcoming general election in mind, we evaluate the developments since then and look at key challenges for Japan’s government after the election.

GED blog post series on globalization scenarios

The global economy is experiencing a period of rapid upheaval. Technological advances and growing rivalries are tugging at the world’s power structures as major economic players engage in a geostrategic competition

Germany’s recent election brings an end to the long tenure of Angela Merkel. Malte Zabel, Co-Director, Europe’s Future at Bertelsmann Stiftung in Germany, and Brandon Bohrn, Project Manager, Transatlantic Relations at the Bertelsmann Foundation in Washington, D.C., reflect on what might be expected of the new “traffic light” coalition.

Hardly a day passes without further escalations in the conflict between the Polish government and the EU. The Polish Constitutional Tribunal’s ruling on October 7, rejecting the primacy of EU law over the Polish constitution, marks a dramatic escalation.

We have written several times about the recovery of the global economy after the sharp economic downturn in the spring of 2020 due to the corona pandemic. Today, we want to have a look at the economic development in the less developed economies.

In June 2021, the European Union and the United States agreed to establish the Trade and Technology Council (TTC). Even though the submarine deal between Australia, UK, and US (AUKUS) cast a shadow on EU-US relations recently, the inaugural meeting of the TTC took place as planned on September 29, in Pittsburgh. In this blog post, we provide some basic information on the TTC.

In terms of economic policy, Russia has experienced several U-turns in recent years. In the 2000s, stability orientation dominated in light of the 1990s crisis. The cornerstones were a cautious monetary and fiscal policy.

The question of how to stimulate economic growth in increasingly knowledge-based economies is complex and being addressed by policymakers worldwide. As a new research approach shows, key technology patents could play a more significant role than previously assumed.

Part 5 in our series China’s role(s) in the world economy

In the previous 4 parts of our series on China’s role in the world economy, we showed China will take on different roles in different areas. From a western perspective: a partner in climate change mitigation; a competitor in key technologies; and a systemic rival in the international rules-based system.

During her chancellorship, Angela Merkel played an outsized role in the EU’s various crises. She leaves behind an EU whose citizens have faith in the bloc’s potential but remain concerned about its future direction.

Part 4 in our series China’s role(s) in the world economy

China as a rival: In part 3 of our series on China’s role in the world economy, we showed that China already competes on an even level with advanced economies in important key technologies or has even surpassed them.

Part 3 in our series China’s role(s) in the world economy

In part 2 of our series on China’s role in the world economy, we concluded that China is and must be an important partner in climate change mitigation.

On September 9^th and 10^th, EU Foreign Affairs Representative Josep Borrell met with President Kais Saied and representatives from politics and civil society in Tunis to get a picture of the political and economic crisis in the flagship Arab democracy. The way out of the crisis is complex, and there is a threat of national bankruptcy. European assistance will be a balancing act between supporting and demanding.

Since the 2011 Arabellion, the EU has been strongly committed economically and politically in Tunisia to help the birthplace of the Arab Spring through the difficult period of transforming from a dictatorship into a representative democracy.

GED blogpost series on China’s role(s) in the world economy (Part 2)

In the first part of our series on China’s role in the world economy, we gave a brief overview of the political and economic background of China’s rise as a global super power.

K-shaped recovery: As the number of coronavirus vaccinations given increases worldwide, the global economy is starting to recover. However, the economic recovery is not following the usual trajectories we have seen in previous crises.

GED blogpost series on China’s role(s) in the world economy (Part 1)

On July 1, 2021, the Chinese Communist Party (CCP) celebrated its 100^th birthday. Following up on this important event, we will publish a five-part series on China’s future role(s) in the world economy.

With the European Green Deal, the European Union (EU) has committed to being climate neutral by 2050. The recent “Fit for 55 package” is a first step towards this goal and specifies how the EU wants to reduce greenhouse gases by 55 percent from 1990 levels by 2030. Carbon pricing will play an important role.

An unending search for efficiency maximization currently characterizes the international division of labor. By, for example, just-in-time production and cooperation with the most favorably priced supplier worldwide – deviations from agreed supply relationships are not allowed. If a disruption occurs, as has happened with some regularity in recent years, this causes production stops and supply bottlenecks.

Limiting global warming and climate change requires a substantial reduction of CO₂ emissions. Industrialized countries and oil-producing states have a special responsibility and importance in this regard due to their longstanding high per capita emissions.

Japan is now in the spotlight as host of the 2020, now 2021 Summer Olympics – officially the Games of the XXXII Olympiad. In this blog post, we’ll look at Japan’s position in the global economy and its management of the pandemic so far.

After five years with the GED team, Christian Bluth is leaving to join Germany’s Ministry of Economic Affairs and Energy. In this farewell blogpost, he is looking back on the highlights of GED’s work during that time and the lessons learned.

Climate change is an urgent threat to living conditions on Earth. It can only be slowed down by drastically reducing greenhouse gas emissions. A vital contribution to this can be increasing resource productivity.

China’s handling of the pandemic has been a topic of much discussion. One thing is clear, though: it has generally been good for the Chinese and, to some degree, also for the global economy. China is the only major economy that was able to achieve economic growth in 2020.

We asked the Kiel Institute for the World Economy (Kiel Institute – Understanding and Shaping Globalization (ifw-kiel.de)) to calculate the effects of different carbon pricing scenarios. Here is a summary of the results.

Part 5 in our Putting a price on carbon series

In this installment of our series on carbon pricing, we take a closer look at carbon leakage – an issue that emerges from differences in carbon prices in an integrated global economy.

Part 4 in our series Putting a Price on Carbon

Carbon Pricing makes CO₂ emissions more expensive and therefore drives them down. In this installment of our series “Putting a price on carbon,” we take a closer look at the short-term and the long-term economic effects of the price hike.

In March 2021, the world’s largest economic stimulus package EVER was passed in the USA. The American Rescue Plan Act of 2021 provides $1.9 trillion to stimulate the U.S. economy.

For quite some time, Turkey’s debt has been rising, its currency has been losing value, and inflation has been picking up. When I wrote about the Turkish economy in Q3 2017, the figures suggested the possibility of a boom.

Part 4 in our series Putting a Price on carbon

In the fourth entry of our blog post series “Putting a price on carbon,” we explain the optimal economic policy tools states can use to price carbon: a carbon tax and an ETS system, how they work, and their pros and cons.

Three questions. Four different takes. Our GED team reflects on Biden’s first 100 days from the lens of their work. Emily Benson looks at his record on domestic U.S. economic policy and Christian Bluth on his U.S.- E.U. relations record. Cora Jungbluth focuses on his record on U.S.-Asia relations, and Thomas Rausch wraps up with a look at his record on multilateral economic policy. Four trade policy experts discuss Biden’s 1^st hundred days.

Part 3 in our – Putting a price on carbon series

At the heart of carbon pricing is the idea of using economic reasoning to help the environment. In the third entry of our blog post series, “Putting a price on carbon,” we explain how economics can help us describe and quantify the problems resulting from carbon emissions.

In February, the EU published the “Trade Policy Review,” its new trade strategy. A month later, the “Integrated Review” by the UK was put forward, sketching what “Global Britain” means post-Brexit. The two strategies are similar in their diagnosis of what is going on in the world – yet differ when it comes to what to prioritize.

Part 2 in our – Putting a price on carbon series

The reason for the trend toward pricing carbon is the negative effect of the rise of carbon emissions on the environment and society. In this second entry of our blog post series “Putting a price on carbon,” we go a bit more into the details of this problem.

First in our new series: Putting a price on carbon

On March 22, top executives from major oil companies expressed their support for the Biden administration’s carbon pricing plan. The embrace of carbon pricing by “Big Oil” – its longtime most-fervent opponent – is probably the clearest sign of it moving to near-universal support. This weekly series of blog posts will take a closer look at this emerging global economic dynamic. Follow us on this journey!

Twice a year, the International Monetary Fund (IMF) publishes its “World Economic Outlook” with forecasts for global economic development. The latest forecast was published at the beginning of April this year. Five key points are particularly interesting from my point of view.

Meritocracy adds mental insult to social injury

Meritocracy is a good thing. Wrong, claims Michael J. Sandel in his book “The Tyranny of Merit”! On the way to proving his point, Mr. Sandel indicts globalization as a culprit for rising inequality and eroding social bonds. Let’s take a closer look at his arguments.

The Corona pandemic is causing an acceleration in the digitalization of the economy and society. This affects online commerce in particular. As a result, there may be far-reaching consequences for market power concentration and even monopolization tendencies.

In a previous post, we compared the development of the Terms of Trade in Switzerland, Germany, the U.S., and China. Although there were significant differences, in some cases, there were also times when Terms of Trade developed in the same direction. A decisive reason for this is the price of raw materials, above all oil.

What does the concept of terms of trade (TOT) mean, and what does it tell us about a country’s international competitiveness?

The meaning of Terms of Trade

The Terms of Trade of one country indicate how many units of an imported good (or units of a bundle of imported goods) the country receives for one unit of its exported good (or one unit of a bundle of exported goods).

The Digital Services Act (DSA) and the Digital Markets Act (DMA)

The European single market provides market access to some 450 million citizens and, with its economic output, is one of the major players on world markets. However, digitization and the competition with China are shaking up established structures.

In Europe and the US, the economy slumped massively across all sectors in March and April 2020. After that, a rapid recovery set in, suggesting a v-shaped economic cycle.

While in some countries a 3^rd wave of COVID-19 is looming ahead, the roughly 3,000 delegates of China’s parliament, the National People’s Congress (NPC), convene in Beijing from March 5^th, though, under strict pandemic control measures.

On March 1, the Biden administration published its trade policy agenda. How does it hold up to the expectations, and what future trade course can we expect? Four of our trade policy experts weigh in with their opinion.

EU-China Investment Agreement: The European single market provides market access to some 450 million citizens and, with its economic output, is one of the major players on world markets. However, digitization and the competition with China are shaking up established structures.

New EU trade strategy: On February 18, the European Commission launched its new trade strategy: “Trade Policy Review – An Open, Sustainable and Assertive Trade Policy.”

The main themes of the new book by Christian Bluth

The nature of globalization is changing. The US and China make increasingly use of geoeconomic instruments in their big power competition. The EU will have to react in its new EU trade strategy to this development and come up with responses to the challenges posed to its trade policy by climate and demographic change, technological developments, a weakening of multilateral institutions, and an increased politicization of trade policy.

The member states of the World Trade Organisation (WTO) have agreed on Dr Ngozi Okonjo-Iweala (66), a Nigerian­ former finance minister, as the future Secretary-General. Okonjo-Iweala has worked as a development economist at the World Bank and as a board member of the Global Vaccine Alliance against Covid-19.

The WTO is entering the final stages of choosing a new Director General. On October 7^th, the final contenders out of an initial group of eight were announced: Ngozi Okonjo-Iweala (Nigeria) and Yoo Myung-hee (South Korea). What do these candidates stand for and what agenda lies ahead for the new WTO Director General and global economic governance? This discussion was held online on October 14^th at 2pm CEST.

The Capitalocene is upon us

In his latest book “Less Is More. How Degrowth Will Save The World”, anthropologist Jason Hickel indicts the growth imperative of capitalism as the ultimate culprit of the climate crisis and makes recommendations how to re-organize our economy.

Some reflections on the development of Terms of Trade in international comparison

Recently, we discussed the importance of the “Terms of Trade” for the international competitiveness of an economy. This post compares the Terms of Trade of selected economies over time. Significant differences between countries such as Germany, the US, Switzerland, and China can be seen – and explained.

A new book by Dr. Christian Bluth, Senior Expert at the Bertelsmann Stiftung, looks at the EU, China, and the US Competing in the Face of the Global Megatrends of Climate, Technology, and Demographic Change.

According to recent estimates by the United Nations Conference on Trade in Development (UNCTAD), global foreign direct investment (FDI) flows have decreased by 42 percent year-on-year in 2020 and will most probably not start to recover until 2022. Even though developed countries have experienced the highest fall, developing countries are also losing a lot. Since FDI, however, could be considered as a tool to help esp. developing countries coping with the coronavirus crisis, India for example has tried to facilitate the inflow of FDI.

The international competitiveness of an economy is a central goal of economic policy. But how can this competitiveness be measured? One important indicator is the “Terms of Trade.” (TOT)

Major events in 2021: Last year around this time, we wrote a blog post with the 11 events likely to change the world economy in 2020. Like everyone else, we missed the most important one: the COVID-pandemic. But we also got some stuff right: something was in the works with RCEP, the US election (OK, that wasn’t too difficult), and that the German EU-Council presidency would face a few challenging issues. So, we decided not to be discouraged and have another shot at prognosticating  which events might shape 2021.

Economic Outlook 2021: The world economy in 2020 was dominated by a massive economic slump in the spring, followed by a rapid recovery in the summer. Then the rising number of infections in the fall halted the recovery process. Economic development in 2021, as it did in 2020, will depend to a large extent on the Coronavirus pandemic.

Time for some year-end statistics! Here are the 2020 GED blog post that attracted the most readers. Our analyses on the Covid19 crisis drew considerable attention, but so did our globalization report and our spotlights on China and Ethiopia.

When we publish our studies, we usually focus on two or three key results. But they often contain substance for a lot more. So, here is the ultimate list of the most intriguing findings from our publications on trade, innovation, and globalization from the last twelve months that we have NOT highlighted in our communication activities – and what they mean when looking toward 2021!

Brexit has brought us much excitement since 2016. With a trade deal or without, the UK will lose the benefits of EU membership on December 31^st. This blogpost looks back on the Brexit process and forward on how EU-UK relations might evolve from here and why it still makes sense for both to collaborate, especially on trade issues. 

The sharp economic downturn caused by the COVID-19 pandemic has created “a crisis like no other.” Advanced economies now need to overcome national reflexes and help developing countries.

The United States Trade Representative (USTR) is the key person in charge of trade issues in the President’s administration. The current USTR, Robert Lighthizer, was instrumental in crafting and implementing Trump’s trade policy. On December 9^th, several news outlets reported that President-elect Joe Biden will be nominating Katherine Tai for this role. In this blogpost we introduce her and the challenges she is facing.

Last week, we examined how industrialized countries’ exchange rates during the corona pandemic have developed compared to the financial and economic crisis of 2008/09. In this blog post, we look at how their currencies’ exchange rate changes hurt the BRIC countries (Brazil, Russia, India, and China), as they belong to the largest and most important emerging markets.

4 reasons why the exchange rates of industrialized countries have been relatively stable during the corona pandemic 

In severe economic crises, experience shows that in addition to considerable fluctuations in the stock and raw material markets, there have been severe fluctuations in the currency markets. The exchange rate changes in the currencies of advanced economies are still relatively moderate – compared to the financial and economic crisis 2008/09. Why?

A new survey from the project eupinions shows that around two-thirds of Germans and Europeans expect innovation and digitization to impact their lives over the next 15 years positively. Expectations are particularly high in the areas of mobility and energy supply. Meanwhile, the greatest need for support is seen in the health sector, in job creation, and in the fight against climate change.

The EU and USA should act now!

Seven years ago, it still looked as if megaregional trading blocks could still shape tomorrow’s world trade regime.

The G20 could play a vital role in orchestrating a non-protectionist, sustainable, and inclusive global recovery. Their special Summit on the Corona crisis in March produced some promising results. In previous years, however, in the past, the group of twenty very diverse developed and developing countries has had difficulty finding common ground on important global issues, such as international trade and climate change. It is questionable whether the pandemic will substantially change this. Moreover, Mr. Trump’s legacy and rising geopolitical tensions loom ahead.

The size and age structure of a population can play an outsize role in any country’s economic development in numerous ways, including international competitiveness. Population composition affects competitiveness via propensities to save and consume, companies’ investment behavior, capital intensity of production, and global and regional labor supply.

Four years after the annus horribilis the Western order finds itself at another crossroads. In his latest book, Financial Times editor Martin Sandbu explains why our current economic order isn’t living up to our expectations and what can be done about it.

From October 28 to 30, the Bertelsmann Stiftung co-organized the 2020 Annual Policy Dialogue of the Club de Madrid. Here are some of the key takeaways from the debate.

On November 2, Germany will join the ranks of developed countries introducing additional national measures to slow down the spread of Covid19. What will they mean for the German economy and where do the biggest risks lurk going forward?

The use of digital technologies is causing the global economy to grow ever closer together. For consumers, this has several advantages, but it also some serious risks. The challenge is to shape the macroeconomic framework conditions in such a way that opportunities for consumers can be exploited and risks minimized.

This economic crisis is unlike others. Economic indicators did not necessarily develop as we predicted by relying on intuition or past experience. Here are four learnings we’ve drawn so far from the COVID-19 pandemic.

The corona pandemic has severely affected international supply chains. Starting with the first production stoppages in China at the beginning of the year, production has also come to a standstill in Germany. In many sectors, important components and preliminary products from the most important supplier country for the EU and Germany were missing. However, the closing of borders within Europe has also considerably slowed down the movement of goods and economic activity.

The WTO is entering the final stages of choosing a new Director General. On October 7^th, the final contenders out of an initial group of eight were announced: Ngozi Okonjo-Iweala (Nigeria) and Yoo Myung-hee (South Korea). What do these candidates stand for and what agenda lies ahead for the new WTO Director General and global economic governance? This discussion was held online on October 14^th at 2pm CEST.

What the Selection of a New Director General Means for Global Trade Governance

The WTO is entering the final stages of choosing a new Director General. On Wednesday 7^th, the final contenders out of an initial group of eight were announced: Ngozi Okonjo-Iweala (Nigeria) and Yoo Myung-hee (South Korea). What do these candidates stand for and what agenda lies ahead for the new WTO Director General and global economic governance?

What the Selection of a New Director General Means for Global Trade Governance

The WTO is entering the final stages of choosing a new Director General. On Wednesday 7^th, the final contenders out of an initial group of eight were announced: Ngozi Okonjo-Iweala (Nigeria) and Yoo Myung-hee (South Korea). What do these candidates stand for and what agenda lies ahead for the new WTO Director General and global economic governance?

Students attending school in the current environment could conceivably have a 3% lower lifetime income caused by coronavirus-induced school closures. The most vulnerable are suffering the most under educational restrictions induced by COVID-19. Yet, there exist potential roads to action.

Following the publication of our “Globalization Report 2020“ which considers a sample of European countries as well as other major economies from around the globe, we now look closer at the eleven Eastern European economies examined in this report: Poland, Bulgaria, Hungary, Romania, Czech Republic, Slovakia, Slovenia, Estonia, Latvia, Lithuania, and Russia.

Economic impact of coronavirus: Last year we published the first issue of our megatrend report, which examines the central interactions between the megatrends of globalization, digitalization, and demographic change and their effects on people’s employment and income opportunities. In the second issue, we discuss the impact we expect the Corona pandemic to have on the medium and long-term development of digitalization and globalization

Last week we published our “Globalization Report 2020” which considers a sample of European countries as well as other major economies from around the globe. Today we look at all the five Asian economies that are examined in our report: Japan, South Korea, China, India, and Indonesia.

Multilateralism is coming under increasing pressure. The fostering of international cooperation has brought many benefits to humanity, first and foremost, securing peace and increasing both material and intangible prosperity. The increase in economic conflicts – both between countries and within individual countries – are a significant reason multilateralism is feeling the pressure.

Our "Globalization Report 2020" is now available

As announced last week, we are publishing the “Globalization Report 2020” today. The answer to the question of which of the 45 industrialized and emerging countries studied was able to achieve the largest globalization-induced growth in real gross domestic product per capita between 1990 and 2018 per capita and in euros is Japan. In this post, we present the five key findings of the report.

Two years in the making: Our “Globalization Report 2020” comes out next week

Next week we publish our “Globalization Report 2020”. Every two years since 2014, we have used this report to examine the impact of advancing globalization on the real gross domestic product (GDP) in industrialized and emerging markets.

New Globalization survey: The public thinks the social and ecological dimension of globalization needs more attention!

The corona crisis has many people worried about the negative side-effects of economic interdependence. Our 2020 Globalization Survey shows that public attitudes toward international trade and investment had already turned more negative by the start of the pandemic.

Things are improving – at least for the moment

Economic impact of coronavirus: When corona infections first appeared in Europe in February, an economic crisis loomed on the horizon. The full extent of the crisis, however, was not yet foreseeable. Half a year later, it is clear that the recession triggered by the corona crisis is much greater than the economic downturn caused by the Lehman bankruptcy. But as of now, it looks as if European economies have touched the bottom and rebounded.

Developing nations spend far less of their GDP  than developed countries to address the economic consequences of COVID-19 – that could have far-reaching consequences.

Rethinking our World: In her new bestselling book, “Unsere Welt neu Denken (“Re-thinking our World”), Maja Göpel invites her readers to engage in a constructive dialogue on how to arrive at a more sustainable economic system.

Cities and globalization: Cities all around the world see themselves exposed to several megatrends. They are directly confronted with the needs of their citizens and obliged to offer competitiveness, resilience and a high-quality of life for a long-term sustainable development.

The coronavirus crisis has led to considerable restrictions of economic and social life. Production and travel activities are at least partly on hold. Greenhouse gas emissions decrease because of lower energy consumption.

Did COVID-19 make trade and cooperation less attractive? Is it sensible for countries to adopt protectionist policies moving forward? Did the pandemic affect the sustainability agenda?

Eleven years later, in 2019, Italy had still not yet reached the real economic output it had before the Lehman bankruptcy. Now the country is again suffering above-average economic consequences from the Corona pandemic. The already high national debt is rising. Credit-ratings are under considerable pressure.

The book ‘Good Economics for Hard Times’ by 2019 Nobel Prize winners Abhijit V. Banerjee and Esther Duflo is a walkthrough of past decades’ central contributions to the economic literature. It introduces the concept of “randomized controlled trials” to a broader audience. In light of the current corona crisis, their ideas have become highly relevant.

The corona crisis shows that resilience on many levels is necessary for cities to cope with future challenges. Up in the very north of Denmark, Aalborg’s sustainability strategy is central to the city and a step in this direction as it gives guidance for the green transition and points the way to a modern economy.

Broad participation and international engagement

Key to Mannheim’s straightforward strategy is the United Nation’s 17 Sustainable Development Goals (SDGs). They lay the foundation for the Mannheim’s seven main strategic objectives in their Mission Statement Mannheim² 2030. The consideration of the SDGs also emphasizes Mannheim’s understanding that the local level is important to solving global challenges.