amongst German Economists there is a lot of scepticism about the reforms and innovations in the monetary Union, adopted by the EU heads of state and heads of government recently. A recent survey by the Ifo Institute and the Frankfurt General newspaper business professors shows. In the new economists panel 56 per cent say that they are overall not satisfied with the reforms. Only 29 percent of the participating Economists were satisfied, the remainder was undecided. Participated in the survey this time, 124 professors.
editor in the business, responsible for “The economist”.
F. A. Z.
The beginning of December by the Ministers of Finance and of the heads of state and government adopted Amendments relate to the crisis Fund, the European stability mechanism (ESM). He will receive some more skills, will be further expanded and may in the future give to the Bank resolution Fund loans. In addition, it gives approaches for an insolvency procedure for indebted States.
with Respect to the question of an extra budget for the Eurozone, there is still no clarity about the amount, but it should come. German Economists are primarily critical of a separate Budget for the Eurozone. In the Ifo survey in the spring, 60 per cent disagreed with this.
the dog is guarding the sausage
A majority is not convinced that the recent decisions have made the monetary Union more crisis-proof. Only 20 percent of respondents believe the. Something more this is not believe, the remaining majority is divided. A relative majority is in favour of the approach of the 14 German and French Economists in the spring of this newspaper to bring in a monetary Union risk sharing and greater market discipline in line. Many Economists miss according to the current survey, an effective enforcement of the Maastricht budget rules.
“Many of the European countries debt continues to be strong”, said Niklas Potrafke, head of the Ifo center for public Finance, the results of the survey. “The Council of European Finance Ministers to punish deficit sinners, but sitting in this Council, the Minister of Finance, whose home country has not met the Maastricht criteria. Since a year and a day a dog should guard the infamous sausage stock, but you would need an independent body that can sanction credible.“
Shared economists ‘ opinions
The introduction of a European unemployment insurance, which some countries wish, and the Federal Finance Minister, Olaf Scholz (SPD) also welcomed the Economists, largely on skepticism. 60 percent fear that such a Euro unemployment insurance in the member countries to misguided incentives. A very large majority of respondents is of the opinion that the difficulties of some Eurozone countries result from structural aberrations, which can not be by means of financial Transfers is solved.