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Imbalances: Should the EU Intervene?

Economic imbalances keep recurring in the EU. Differences in trade balances dominate the debate. Are imbalances a threat to the EU, and what role does the euro play in this? Should politicians adjust differences in the balance of trade? And if so, is that up to national governments or the EU?

Imbalances are a recurring problem in the EU. Especially differences in trade balances dominate the debate. Germany, for instance, has been generating very high surpluses for years and meets serious criticism for this reason.
This briefing, written by Anna auf dem Brinke, research fellow at the Jacques Delors Institut – Berlin, examines whether imbalances pose a threat to the EU and what role the euro plays in this. It also asks whether politicians should redress differences in the balance of trade – and if so, whether that is up to national governments or the EU.
 

In the publication series “Europa briefing”, the Bertelsmann Stiftung and the Jacques Delors Institut – Berlin cover key topics of European politics and present possible scenarios: What is the problem? What might happen next? And what can politics do now? You will find all the publications from the joint project here:? www.strengthentheeuro.eu

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