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  • Author: Mikkel Barslund, Matthias Busse
  • Publication Date: 06-2017
  • Content Type: Working Paper
  • Institution: Centre for European Policy Studies
  • Abstract: The British economy has always been able to rely on a continuous inflow of high-skilled workers from the rest of the EU and the UK is currently home to over three million EU citizens and. As a result of the UK’s decision to leave the European Union, however, the image of the UK in the eyes of foreign workers may have become tarnished. By using LinkedIn data, the authors of this study analyse the movements of IT professionals between the EU and the UK and thereby illustrate what is at stake for the UK, as exemplified by this particular ‘shortage sector’. LinkedIn data show that on an annual basis the UK gains over 6,000 IT experts more than it loses to the EU. Moreover, these mobile IT professionals tend to be much more qualified than domestic IT experts are. This reliance on the EU for IT recruitment – one in ten new hires comes from the EU – suggests that even if the UK is not aiming to restrict high-skilled immigration, curbing overall immigration could have unintended negative consequences for its capability to attract talented EU nationals in the future. The UK government should perhaps bear this in mind during negotiations with the EU27.
  • Topic: Science and Technology, Brexit
  • Political Geography: Europe
  • Author: Elspeth Guild
  • Publication Date: 05-2017
  • Content Type: Commentary and Analysis
  • Institution: Centre for European Policy Studies
  • Abstract: The task of finding a solution to the legal status of non-British EU citizens living in the UK after Brexit is exercising the best minds in the European Union at the moment. As the European Council (Art. 50) guidelines for Brexit negotiations rightly underline, “The United Kingdom's decision to leave the Union creates significant uncertainties that have the potential to cause disruption,…Citizens who have built their lives on the basis of rights flowing from the British membership of the EU face the prospect of losing those rights”. These guidelines also place special emphasis on the priority to ensure reciprocal guarantees in safeguarding the rights derived from EU law of EU and UK citizens and their families affected by Brexit, effective from the date of withdrawal. The latest idea floating in the media is that the UK should naturalise the non-British EU nationals living there (possibly numbering 3 million) as British citizens. This solution has been commonly called “giving them all passports”, but for an individual to qualify for a passport, s/he must hold the nationality of the state of issuance. Is this a serious policy option? It is certainly original and has the benefit of shifting the burden of dealing with this question back onto the UK – enlarge your population and keep good relations with your neighbours. But there are at least four challenging questions that deserve careful consideration.
  • Topic: Citizenship, Brexit
  • Political Geography: Europe
  • Author: Michael Emerson
  • Publication Date: 03-2017
  • Content Type: Commentary and Analysis
  • Institution: Centre for European Policy Studies
  • Abstract: A team of economists at CEPS was commissioned by the Policy Department on Economic and Scientific Policies for the Committee on Internal Market and Consumer Protection to assess the likely economic impact of Brexit on EU27, together with some scenarios for the terms of the UK’s secession. For the EU 27, the losses were found to be virtually insignificant, and hardly noticeable in the aggregate. For the UK, however, the losses could be highly significant, with various estimates running up to ten times greater as a share of GDP. Impacts on some member states – in particular Ireland – and some sectors in the EU27 could be more pronounced than the average for the EU27. Michael Emerson is Associate Senior Research Fellow, Matthias Busse is Researcher, Mattia Di Salvo is Research Assistant, Daniel Gros is Director and Jacques Pelkmans is Senior Research Fellow – all at CEPS.
  • Topic: Economics, Brexit, Global Political Economy
  • Political Geography: Europe
  • Author: Daniel Gros
  • Publication Date: 06-2017
  • Content Type: Commentary and Analysis
  • Institution: Centre for European Policy Studies
  • Abstract: For years, the eurozone has been perceived as a disaster area, with discussions of the monetary union’s future often centred on a possible breakup. When the British voted to leave the European Union last year, they were driven partly by the perception of the eurozone as a dysfunctional and possibly unsalvageable project. Yet, lately, the eurozone has become the darling of financial markets – and for good reason. The discovery of the eurozone’s latent strength was long overdue. Indeed, the eurozone has been recovering from the crisis of 2011-12 for several years. On a per capita basis, its economic growth now outpaces that of the United States. The unemployment rate is also declining – more slowly than in the US, to be sure, but that partly reflects a divergence in labour-force participation trends.
  • Topic: International Political Economy, International Trade and Finance
  • Political Geography: Europe
  • Author: Matthias Busse, Mikkel Barslund, Joscha Schwarzwälder
  • Publication Date: 03-2015
  • Content Type: Policy Brief
  • Institution: Centre for European Policy Studies
  • Abstract: The right of free movement of persons is a cornerstone of the European Union and, according to a Eurobarometer survey, one of the most popular accomplishments of the EU. Since its establishment this right has been steadily built upon and expanded, in particular with respect to mobile EU workers. Barriers to (labour) mobility have been substantially reduced as part of creating the single market and also as a means to achieve the EU2020 goals of smart and inclusive growth. And yet the prevailing view in academic circles and among policy-makers is that intra-EU labour mobility is too low; too low to support the single labour market as anything but a notion and too low to play anything other than a modest role in helping to rebalance the eurozone after the crisis.
  • Political Geography: Europe
  • Author: Ilaria Maselli, Miroslav Beblavý
  • Publication Date: 01-2014
  • Content Type: Policy Brief
  • Institution: Centre for European Policy Studies
  • Abstract: There is a general consensus that to achieve employment growth, especially for vulnerable groups, it is not enough to kick-start economic growth. It is also essential to improve the s kills among both the high-and low-skilled population.
  • Topic: Economics, Migration, Science and Technology, Labor Issues
  • Political Geography: Europe, Somalia
  • Author: Ilaria Maselli, Miroslav Beblavý
  • Publication Date: 01-2014
  • Content Type: Policy Brief
  • Institution: Centre for European Policy Studies
  • Abstract: Tackling the high and increasing unemployment rate ranks at the top of the EU policy agenda, especially with regard to young people. There is a general consensus that to achieve employment growth, especially for vulnerable groups, it is not enough to kick-start economic growth - skills among both the high-and low-skilled population also need to be improved. However, we need to move beyond simplified narratives and generic policies in order to better understand a much-debated and lamented phenomenon : the lack of graduates in subjects related to science, technology, engineering and mathematics (STEM).
  • Topic: Education, Science and Technology, Labor Issues
  • Political Geography: Europe
  • Author: Viral V. Acharya, Sascha Steffen
  • Publication Date: 01-2014
  • Content Type: Policy Brief
  • Institution: Centre for European Policy Studies
  • Abstract: The eurozone is mired in a recession. In 2013, the GDP of all 17 eurozone countries fell by 0.5% and the outlook for 2014 shows considerable risks across the region. To stabilise the common currency area and its (partly insolvent) financial system, a eurozone banking union is being established. An important part of the banking union is the Single Supervisory Mechanism (SSM), which will transfer the oversight of Europe's largest banks to the European Central Bank (ECB). Before the ECB takes over this responsibility, it plans to conduct an Asset Quality Review (AQR) in 2014, which will identify the capital shortfalls of these banks.
  • Topic: Economics, International Trade and Finance, Regional Cooperation, Monetary Policy
  • Political Geography: Europe
  • Author: Steven Blockmans
  • Publication Date: 03-2014
  • Content Type: Policy Brief
  • Institution: Centre for European Policy Studies
  • Abstract: Concerns about the deterioration of democracy in Turkey are not new: the trials over the 2003 „ Sledgehammer ‟ alleged coup plan (2010-12) and over the ‟ Ergenekon ‟ secret organisation (2008-13) broke the military‟s influence over politics, but were widely criticised because of their reliance on secret witnesses and disputes over evidence. Ironically, their outcome has recently been challenged by Prime Minister Erdoğan himself, who has disowned the trials now that the judiciary has the AK Party in its sights. International concern was also stirred by the violent crackdown on the countrywide protests of May/June 2013. Unrest then was triggered by the planned redevelopment of Istanbul‟s Gezi Park in May 2013, but developed into a wider movement critical of government corruption, increasing restrictions on freedom of speech and concerns about the erosion of secularism. Protests simmered on through September, winding down in autumn and winter only to reignite in March of this year.
  • Topic: Government, International Cooperation, Politics, Regional Cooperation, Reform
  • Political Geography: Europe, Turkey
  • Author: Diego Valiante
  • Publication Date: 02-2014
  • Content Type: Working Paper
  • Institution: Centre for European Policy Studies
  • Abstract: Evidence shows that financial integration in the euro area is retrenching at a quicker pace than outside the union. Home bias persists: Governments compete on funding costs by supporting 'their' banks with massive state aids, which distorts the playing field and feeds the risk-aversion loop. This situation intensifies friction in credit markets, thus hampering the transmission of monetary policies and, potentially, economic growth. This paper discusses the theoretical foundations of a banking union in a common currency area and the legal and economic aspects of EU responses. As a result, two remedies are proposed to deal with moral hazard in a common currency area: a common (unlimited) financial backstop to a privately funded recapitalisation/resolution fund and a blanket prohibition on state aids.
  • Topic: Economics, International Trade and Finance, Monetary Policy
  • Political Geography: Europe