Policy Paper 84
 
Towards a Transatlantic Market?
Pawel Swieboda, Director, demosEUROPA ? A new transatlantic momentum has been set in motion by the economic crisis. Both the US and the EU need every impulse for growth they can find. Their effort can also help to create a single global market based on regulatory convergence, equality of rights and responsibilities, and a level-playing field. The success of TAFTA, the new trade and investment agreement which is being launched, is necessary if the US and the EU want to take advantage of their predominant role in the international economic system. In parallel, the EU and the US need to better understand each other’s macroeconomic policies with a view to improved coordination which is required by their structural interdependence. Finally, the jury is still out on whether the EU and the US can come to a joint understanding on issues of energy and climate change. Research collaboration on new technologies can help to bridge the existing policy gap.equipment, and in some cases making bilateral trade deals, undercutting EU efforts. Governments are doing everything they can to drum up export growth, especially in emerging economies. This strategy is unlikely to make Europe richer in either the short or the long term. The continent’s short-term problem is a lack of domestic demand: overall exports to the rest of the world would have to grow at an unlikely pace to offset it. The continent’s long term problem is a slow rate of productivity growth. More competition between Europe’s firms is more likely to raise productivity, and with it living standards, than a government-sponsored export drive.
|   12/03/2013             |   Pawel Swieboda             |   Europe in the world
Policy Paper

This Policy
Paper is a contribution of Pawel Swieboda (demosEuropa), to the project Think Global – Act European (TGAE). Thinking strategically
about the EU’s external action
directed by Notre Europe –
Jacques Delors Institute
(report available in April 2013, dir. Elvire Fabry, Senior Research Fellow, Notre
Europe – Jacques Delors Institute).

A new transatlantic momentum has been
set in motion by the economic crisis. Both the US and the EU need every impulse
for growth they can find. Their effort can also help to create a single global
market based on regulatory convergence, equality of rights and responsibilities,
and a level-playing field. The success of TAFTA, the new trade and investment
agreement which is being launched, is necessary if the US and the EU want to
take advantage of their predominant role in the international economic system.
In parallel, the EU and the US need to better understand each other’s
macroeconomic policies with a view to improved coordination which is required by
their structural interdependence. Finally, the jury is still out on whether the
EU and the US can come to a joint understanding on issues of energy and climate
change. Research collaboration on new technologies can help to bridge the
existing policy gap.

Before the publication of the final report presenting the key recommendations of the 16 think tanks involved in the project, 5 series of policy papers address the following key challenges: migration, EU neighbourhood, CSDP, strategic resources and economic policy .

This Policy Paper is part of the series entitled “Promoting EU economic interests abroad” which
includes contributions by John Springford (Centre for European
Reform), Richard Youngs (FRIDE), Agatha Kratz and Jonas Parello-Plesner (ECFR) , Daniela Schwarzer (SWP), Federico Steinberg (Elcano), Diego Valiante (CEPS),Yiannis Tirkides ( CCEIA), Filippa Chatzistavrou and Dimitris Katsikas (ELIAMEP).
Go to the other contributions of the economic policy series >>

This project is led with the contribution of