Latest Updates

  • The Tide is Turning: How Emerging Markets are catching up as Global Investors

  • Brexit's Economic Impact: Bad, Really Bad or Terrible?

  • US-EU Trade: Transatlantic Relations under Pressure

  • The Rage Against Globalization Shows Up In the Voting Booth

  • China's Economy Today: Effects on Germany

Photo by Hannes Egler on Unsplash Photo by Hannes Egler on Unsplash

How the German Economy is Connected to Eastern Europe
Part 3 of our mini-series on Global Value Chains


In our mini-series on Global Value Chains (GVCs) we look how three German key industries – motor vehicles, chemicals and machinery - are part of complex international production networks that illustrate the key role of comparative advantage . This week: the relevance of economic ties between Central and Eastern European Countries and Germany. More ...

Copyright: © Eisenhans - stock.adobe.com Copyright: © Eisenhans - stock.adobe.com

Shades of 2008 - Unprecedented Levels of China's Debt Threaten the Entire Global Economy
Scaling China's Great Wall of Debt Will Require More than Smoke and Mirrors


The figures of the Chinese debts are subject to ongoing discussion among economists. Will the enormous rise in Chinese corporate and private debt lead to another global financial crisis or will it be managed by the Chinese government? If China’s debt management fails, the macroeconomic effects are expected to overshadow the catastrophic effects of the 2008 financial and economic crises by large. More ...

asia post title

Time for New Allies? The EU Should Push EU Asia Economic Relations
Thoughts on the eve of the ASEM: Global Partners for Global Challenges, Summit


The Economic Ministers of the 53 member states of the Asia-Europe Meeting (ASEM) are convening in Seoul from September 21 to 22, 2017. Given the rising protectionism worldwide and especially U.S. president Donald Trump’s nationalistic economic policy, we argue that this meeting is an opportunity to signal good economic cooperation beetween Asia and Europe. More ...

Photo by Wellington Rodrigues on Unsplash Photo by Wellington Rodrigues on Unsplash

Economic Development in Africa
Is demographic change an opportunity for Africa's economies?


  Africa is one of the poorest regions in the world. But with the fastest growing population in the world, and the availability of natural resources African nations can capitalize on this opportunity for growth. Learn in this post how Africa’s economies can profit from demographic change. According to United Nations projections, Africa’s population will […] More ...

multilateral trading system nicknick_ko - stock.adobe.com

What Needs to Change at The WTO?
Our Panel of Experts presents our Recommendations at Public Forum 2018


The World Trade Organization (WTO) serves as a place where trade policy issues are addressed, disputes arbitrated, legal frameworks derived and enforced. The Bertelsmann Stiftung’s Expert Board on the Future of Trade Governance has released a report that elaborates a series of feasible policy recommendations that will increase the effectiveness and salience of the WTO. More ...

Marco Secchi / Unsplash – Unsplash License, https://unsplash.com/license Marco Secchi / Unsplash – Unsplash License, https://unsplash.com/license

10 Years after the Financial Crisis - Quo vadis, Italy?
5 charts showing Italy's economic development since the Lehman bankruptcy


The Lehman bankruptcy plunged the global economy into a severe recession. While Germany quickly recovered from the financial crisis, Southern European countries suffered a further decline in their economic output in 2012 and 2013. After Greece, Italy suffers the most from the aftermath of these two economic slumps. The Italian economy today faces numerous economic […] More ...

Andrew Wulf / Unsplash – Unsplash License, https://unsplash.com/license Andrew Wulf / Unsplash – Unsplash License, https://unsplash.com/license

10 Years after Lehman – Psychological Causes of a Speculative Bubble (Part 3)
What are the psychological causes of a speculative bubble?


In the first and second part of the series I dealt with the monetary causes of the Lehman bankruptcy and the associated collapse of the world economy. This blog post deals with the psychological roots of these bubbles. Speculation is to a large extent a psychological phenomenon Speculative bubbles have been around since people started […] More ...

Freddie Collins / Unsplash – Unsplash License, https://unsplash.com/license Freddie Collins / Unsplash – Unsplash License, https://unsplash.com/license

10 Years after Lehman - Is an Economic Crisis on the Horizon? (Part 2)
Economic Crisis: Where are we today?


In the last blog I showed what the basic pattern of serious economic crises looks like. In the past, such economic slumps were often triggered by a burst of speculative bubbles. In this post you get insights on the prerequisites of speculative bubbles.   An important prerequisite for a speculative bubble – high liquidity – is […] More ...

Aditya Vyas / Unsplash – Unsplash License, https://unsplash.com/license Aditya Vyas / Unsplash – Unsplash License, https://unsplash.com/license

10 Years after Lehman – Does another Economic Crisis loom? (Part 1)
What are the central causes of an economic crisis?


In September 2008, the bankruptcy of Lehman Brothers triggered the worst economic slump since the global economic crisis in the 1930s. Both crises were triggered by the bursting of a speculative bubble and the associated stock market crash. Unfortunately, the basic conditions for such a crash are once again in place.  Learn in this post […] More ...

Traffic moving across America on interstate I-10 Natalia Bratslavsky – stock.adobe.com

North Americans Remain United on Trade but Divided on NAFTA
What do the people in the USA but also in Canada and Mexico think?


President Trump has referred to NAFTA as the worst deal ever – but what do the people in the USA but also in Canada and Mexico think? A new study commissioned by the GED team finds that Canadians and Mexicans are generally in favour of NAFTA but that US Americans are divided. Click the download link to find more interesting insights from our study. More ...

Photo by chuttersnap on Unsplash Photo by chuttersnap on Unsplash

The Global Economic Balance of Power is Shifting
Will the emerging and developing countries replace the advanced economies?


In recent years, GDP has grown at much higher rates in emerging markets such as China and India than in Western industrialised countries. In the advanced economies, fears of being replaced are increasing. This may be true in the long term, but in the near future, industrialised nations of the West will remain those with the greatest economic power. More ...

328 posts overall

Most Popular Posts

multilateral trading system nicknick_ko - stock.adobe.com

Revitalizing Multilateral Governance at the World Trade Organization
Report of the High-Level Board of Experts on the Future of Global Trade Governance


The World Trade Organization (WTO) serves as a place where trade policy issues are addressed, disputes arbitrated, legal frameworks derived and enforced. The Bertelsmann Stiftung’s Expert Board on the Future of Trade Governance has released a report that elaborates a series of feasible policy recommendations that will increase the effectiveness and salience of the WTO. More ...

My Life Graphic / Shutterstock Images My Life Graphic / Shutterstock Images

Globalization Report 2018: What about the NAFTA Countries?
Interconnectedness of the three countries beyond the FIFA World Cup 2026


The FIFA World Cup 2026 will take place in the three member states of the North-American Free Trade Area (NAFTA) – Mexico, Canada and the United States. This was officially announced today (June 13th, 2018). This huge event will certainly enhance the international interconnectedness of the three countries not only in the fields of sports, but also in many other areas. We take this as an occasion to look at the level of globalization the three NAFTA members have reached already and how much they have benefitted so far from increasing international interconnectedness. We base this analysis on our “Globalization Report 2018“ which we published last week (June 8th, 2018). More ...

© Rahul Sengupta - stock.adobe.com © Rahul Sengupta - stock.adobe.com

The Rage Against Globalization Shows Up In the Voting Booth
Populism in Germany: New paper shows how trade influenced voters in the past two elections


This GED Focus Paper looks at imports and voting results in Germany. By measuring Chinese import penetration and running a set of linear regression models, the paper finds that districts more heavily exposed to import penetration showed an increased propensity to support the anti-globalization oriented, right-wing populist AfD party during the 2013 and 2017 elections. More ...

Sean Pavone @ shutterstock.com Sean Pavone @ shutterstock.com

EU-Japan: Free Trade Agreement Commitment to Economic Cooperation
Learn all about the effects of the proposed trade deal in our newest GED Study!


A new study of the ifo Institute on behalf of Bertelsmann Stiftung shows that both the EU and Japan could gain additional benefit from a free trade agreement. More importantly, however, the agreement would signal a clear commitment to economic cooperation and free trade in the era of Brexit and Trump. More ...

My Life Graphic / Shutterstock Images My Life Graphic / Shutterstock Images

Globalization Report 2018: Who Benefits Most from Globalization?
For the 3rd time in a row – industrialized countries are biggest winners in globalization


The main question in the “Globalization Report 2018” is: What impact did the increase in globalization between 1990 and 2016 have on real – i.e. inflation-adjusted – GDP per capita in the 42 countries analyzed. This indicator was chosen because it is more meaningful for the prosperity of citizens than the GDP of the economy as a whole. More ...

Engineer hand using tablet, heavy automation robot arm machine zapp2photo - stock.adobe.com

The Tide is Turning: How Emerging Markets are catching up as Global Investors
Should We Worry?


Developed economies have dominated global FDI flows in the past, with outsourcing of labor-intensive production from high-wage industrialized countries (like Germany) to low-wage developing countries (like China). No longer. Since the global financial crisis, this pattern has started to shift, with China emerging as a major global investor. The textile and electronic industry are classic […] More ...

My Life Graphic / Shutterstock Images My Life Graphic / Shutterstock Images

Globalization Report 2018: What about the BRICS countries?
Why are they not the main profiteers?


In terms of real gross domestic product (GDP) per capital, industrialized economies are the biggest winners of increasing globalization. Why are the BRICS countries (Brazil, Russia, India, China and South Africa) , some of which are regarded as the engines of globalization, not the main profiteers? This is the question we are looking into in this blog post. More ...

Unbenannt2

The Crossroads: Argentina


The Crossroads is a new video series from the GED team that focuses on decisive moments for different economies. In our first episode we take a look at Argentina, a country facing turbulent economic conditions and an ongoing debt crisis just as it prepares for crucial presidential elections in October 2015. More ...

Copyright: © Eisenhans - stock.adobe.com Copyright: © Eisenhans - stock.adobe.com

Shades of 2008 - Unprecedented Levels of China's Debt Threaten the Entire Global Economy
Scaling China's Great Wall of Debt Will Require More than Smoke and Mirrors


The figures of the Chinese debts are subject to ongoing discussion among economists. Will the enormous rise in Chinese corporate and private debt lead to another global financial crisis or will it be managed by the Chinese government? If China’s debt management fails, the macroeconomic effects are expected to overshadow the catastrophic effects of the 2008 financial and economic crises by large. More ...