ANNUAL REPORT 2020 BRUEGEL ANNUAL REPORT 2020

© Bruegel 2021. All rights reserved. This publication is published under the editorial responsibility of Guntram B. Wolff, director of Bruegel.

EDITORIAL COORDINATION: Giuseppe Porcaro

EDITORIAL TEAM: Stephen Gardner Katja Knezevic Henry Naylor Matilda Sévon Yuyun Zhan

GRAPHIC CONCEPT AND DESIGN: Hèctor Badenes Table of contents

BRUEGEL AT POLICY RESEARCH GOVERNANCE & 1. A GLANCE 2. IMPACT 3. IN 2020 4. MEMBERSHIP ANNEXES

• Bruegel at a glance...... 7 • Editorial output...... 21 • European governance...... 36 • Governance model...... 54 • Publications...... 71 • Transparency...... 8 • Media outreach...... 22 • Macroeconomic policies...... 38 • Board...... 56 • Blogs...... 74 • Talents...... 9 • Our events...... 23 • Global economy and trade...40 • Scientific council...... 56 • Podcasts...... 78 - Research team - Bruegel Annual Meetings • Banking and capital • Members...... 58 • Events...... 79 - Staff list - From global to local markets...... 43 • Management...... 59 • Testimonies ...... 31 • Green economy...... 46 • Funding...... 60 • Digital economy and • Projects and partnerships..62 innovation...... 48 • Financial statements...... 64 • Inclusive economy...... 51 • Auditor’s report...... 68 Foreword by the chairman Erkki Liikanen At a dinner in Washington DC back in October in 2011, former Federal I want to thank Director, Deputy Director and all the staff for their Reserve chair Paul Volcker introduced a guest speaker. “I read his CV,” contributions. Their work has made Bruegel a globally respected think Volcker said. “He is an engineer. Not a financial engineer, but a real tank. I also want to thank our members for their commitment and their engineer, who can produce something concrete, positive”. The great contributions. Without this support, the success of Bruegel would not financial crisis that arose out of complicated financial products was still be possible. As Europe and the wider world recover from COVID-19 recent in the memory. The guest speaker was Jean-Claude Trichet, who and the crisis it has brought, the policy analysis and advice Bruegel was reaching the end of his service as the President of the European provides will be needed more than ever. I hope I can follow in Jean- Central Bank, which was his role from 2003 to 2011. Claude Trichet’s footsteps to provide the direction and oversight that will enable this excellent work to continue. Jean-Claude saw the seriousness of the risks earlier than others in summer 2007. He spoke then about turbulence. The fully-blown financial crisis followed in the autumn 2008. Trichet played a major role in Europe and globally in the process of emerging from the crisis and building a stronger and safer financial system.

We were very happy that Jean-Claude Trichet chaired the Board of Bruegel from 2012 to 2020 after his years at the European Central Bank. We want to thank him for his wisdom and ability to inspire. At the 2020 Bruegel Annual Meetings (BAM), a webinar featuring now Treasury Secretary Janet Yellen, former People’s Bank of China Governor Zhou Xiaochuan and Jean-Claude was one the highlights. All BAM events were organised online. Top names in economics and policymaking participated.

Bruegel has continued to operate in exceptional COVID-19 circumstances. It has been a great challenge for the staff. The performance and visibility of Bruegel has remained at a very high level. Outreach has even increased and the relevance and resilience of research is impressive. COVID-19 in various forms and the European Green Deal have been major themes of the research and in debates. Bruegel has had a substantial impact on European policymaking and on the debate beyond. Foreword by the director Guntram B. Wolff As I write this foreword in April 2021, the world economy is emerging The pandemic has also created many uncertainties for Bruegel. We from its biggest recession since the Second World War – though the have all had to adapt but did not imagine that most Bruegel staff would COVID-19 pandemic is of course still very much with us. Globally, still be sitting in home offices today. Meanwhile, through reinforced numbers of cases and deaths continue to grow, with especially digital channels, we have been able to reach much larger audiences. Our big increases in poor countries such as India. And while the rapid events had more than 225,000 participants and viewers and the media development of effective vaccines has given hope, the global vaccination mentioned Bruegel work almost 10,000 times during 2020. We started the rollout is uneven. Advanced economies have vaccinated more rapidly but year with substantial uncertainty on how the pandemic would affect our global vaccine supply is insufficient. The European Union has been one budget. In the end, we were able to post a major surplus, bolstering our of the major global exporters of vaccines but has also faced significant reserves and putting Bruegel in a strong financial position. domestic criticism for lagging behind the vaccine rollout in the United States. Quicker and more effective global cooperation on health has From an institutional point of view, 2020 was marked by a changing of become of utmost importance. The epidemic reminds us forcefully that the guard. Our long-standing chairman, Jean-Claude Trichet, has passed no one is safe until everyone is safe. the baton to Erkki Liikanen. On behalf of all of Bruegel, I want to thank our former chairman for his continuous support and strategic leadership We at Bruegel have been working intensively on the global health and our new chairman for joining us at this moment. response to pandemics in the framework of a panel instituted by the Italian G20 presidency. Bruegel researchers have been quick to point out Rest assured that our team of more that the health situation has major social and economic consequences than 40 researchers and 60 staff for European societies, and have worked on concrete policy proposals members remains as committed to improve the situation and accelerate the recovery. The European joint as always to impartiality and fiscal response, and the interactions between monetary, financial and evidence-based research, striving fiscal policy have been particular focuses. An important contribution has for innovative ideas and impact. been a real-time monitoring database of the substantial fiscal responses Also on behalf of Bruegel’s deputy of EU countries to the dire economic situation. director, I want to thank sincerely all colleagues for making 2020 Bruegel scholars have also left a mark on the European climate debate such a successful year despite the and its geopolitical implications. We have also embarked on a major difficult circumstances. Sincere multiannual project on inclusive growth and the future of work. Our thanks also go to our members scholars have contributed to the debate on digital tools in the fight and partners for your continued against the pandemic, and have explored how digitalisation and support. I look forward to many productivity interact. Last but not least, in 2020 we continued our more opportunities to develop and strong focus on global governance, analysing the EU-China investment exchange ideas during 2021. agreement and exploring geopolitical tensions and their implications for the global economic system. BRUEGEL AT A GLANCE

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Bruegel at a glance Bruegel is the independent European think tank that specialises in economics. Established in 2005, Bruegel’s Transparency mission is to improve the quality of economic policy with open and fact-based research, analysis and debate, while Talents adhering to principles of impartiality, openness and excellence. GO TO TABLE OF CONTENTS Bruegel at a glance

EVIDENCE-BASED POLICY EUROPEAN IDENTITY, DEMAND-DRIVEN QUESTIONS, CONNECTING RESEARCH, RECOMMENDATIONS OUTWARD FACING INDEPENDENT ANSWERS GOVERNMENT, BUSINESS AND CIVIL SOCIETY Bruegel scholars use data-driven Bruegel scholars address policy areas Bruegel’s researchers, members and analysis to assess economic relevant to individual countries, partners work together to design the Bruegel is a forum for policy debate processes, discuss policy options the European Union, wider Europe research programme. The board takes between individuals from diverse and make proposals. We aim for our and global governance groups and the final decision on the research backgrounds and sectors. Publications, recommendations to be feasible international organisations. Scholars programme based on a proposal from events, social media, the Bruegel and are not limited by political red are in contact with decision-makers the director and deputy director. Once Blog and podcasts serve to focus the lines. Bruegel does not stand for any at every governance level and in many a topic or question is chosen, the debate on specific topics. Bruegel also particular policy doctrine or political parts of the world. research team work independently. cooperates with leading European and dogma. All publications reflect the work and international research institutions on views of their authors. Bruegel takes no specific research projects or exchange institutional standpoint. The director programmes. exercises editorial oversight and quality control.

7 GO TO TABLE OF CONTENTS Transparency Independence and integrity are essential for the credibility of any think tank. Transparify, an independent NGO, has repeatedly awarded Bruegel five stars out of five for transparency, recognising its openness about financing and governance. However, transparency is about more than just money.

Bruegel’s statement on research integrity, adopted by the board in May Every three years, an independent review task force group appointed 2006, is available on our website. The statement sets out rules for the by members evaluates all aspects of Bruegel’s work, from research to avoidance of political, national or commercial conflicts of interest that management. Bruegel’s scientific council delivers an evaluation report could harm the integrity of Bruegel’s research. It helps staff and scholars on the academic standard of Bruegel’s publications, which informs the avoid capture by any particular interests. Bruegel researchers and senior research strategy and serves as a basis for the work of the review task force. staff promise to abide by this statement when they sign contracts with Bruegel. Finally, Bruegel’s commitment to transparency means that we publish detailed financial statements every year. Our accounts are independently Scholars and managers also make annual declarations of outside audited. We detail the origin of every cent of income, and we also report interests, which is available on the Bruegel website. These interests are spending broken down by budget line. The financial statements show clearly not just financial: it is important for readers to be aware of other potential what each member contributed in any given year, a level of transparency influences on a scholar’s work. These public declarations are extensive and that is rare in our sector. Bruegel’s state members also have the right to audit represent the highest standard of public transparency for think tanks. Bruegel at any time.

8 GO TO TABLE OF CONTENTS Talents

The team includes senior fellows and Bruegel strives for a geographically diverse team. Visiting fellows add to this diversity, coming from non-resident fellows, research fellows internationally recognised institutes to stay at and affiliate fellows. Research fellows Bruegel temporarily to conduct research work. They have several years of professional interact with other fellows, members and a wider experience while senior fellows audience. and non-resident fellows are highly Fellows rely on a team of research analysts, assis- recognised scholars with significant tants and interns whose skills and commitment are gratefully acknowledged. experience of contributing to policymaking. Affiliate fellows are A dedicated non-research team is responsible for typically younger scholars still working the daily management, outreach and development of the organisation. on their doctorates.

Bruegel’s team keeps working with the help of technology.

9 GO TO TABLE OF CONTENTS Bruegel’s global virtual office

Bruegel has rapidly moved to specific and common challenges complete teleworking since the we faced in 2020. On the positive “From the beginning of the week of 9 March 2020 and the onset side the new situation has fostered pandemic, our core focus had of the coronavirus epidemic. The new collaborative tools, and been on the safety and health of move was completed following the the possibility to connect on an all our staff.” orders of the Belgium authorities to equal footing with all the experts stay home to contain the spread of spread all over the world. From COVID-19 among the population. Washington DC to Mumbai, from This new situation has represented Brussels to Taipei, Bruegel has both a series of challenges and become a worldwide virtual office. opportunities for the human It is still too early to assess the resources management of the extent of the changes in the Makfire Alija, HR manager organisation. working environment in the longer run, but it has been an interesting With 23 new people joining the laboratory from which new team in the course of the last 12 solutions and a new way of working months, ensuring that no one feels will emerge. isolated and common issues such as Zoom fatigue were some of the A Bruegel team member during an event.

10 GO TO TABLE OF CONTENTS Anne Bucher Research team Visiting fellow Anne was Director-General in the European Commission until October 2020, first as the Chair of the Regulatory Scru- tiny Board since 2016 and as a Director General for Health and Food Safety. Having joined the Commission in 1983, Anne Bruegel relies on a diverse, Bucher held a number of senior management positions and worked in various fields of European policies: macroeco- international research team nomic forecast and models, governance of the euroarea and structural reforms, digital economy, EU tax policy, Structural Funds, research funding, evaluation of employment policies, enlargement and development aid.

Carlo Altomonte Rebecca Christie Non-resident fellow Non-resident fellow

Carlo’s research focuses on international trade and invest- Rebecca was a political correspondent in Brussels for ment, the political economy of globalisation and the pro- Bloomberg News from 2011 to 2016. From 2017 to early 2019 cess of European integration. He is associate professor of she has been a consultant to the European Stability Mecha- economics of European integration at Bocconi University, nism, and during part of that time she also served as an expert and professor of macroeconomics and international busi- adviser to a European Economic and Social Committee panel ness environment at SDA Bocconi School of Management. on taxation. During a 22-year career in daily journalism, He received his PhD in applied economics at the Catholic Rebecca wrote for a broad range of newspapers and wire ser- University of Leuven. vices, from the Bend (Oregon) Bulletin to the Financial Times. She was a Washington correspondent for 7 years with Dow Jones Newswires and the Wall Street Journal, covering the US Treasury, the Federal Reserve and the Pentagon.

Suman Bery Grégory Claeys Non-resident fellow Senior fellow

Suman’s writing includes contributions on the political Grégory’s research interests include international macroeco- economy of reform, financial sector and banking reform nomics and finance, central banking and European gover- and energy trends and policy. He used to be Shell’s chief nance. From 2006 to 2009 Grégory worked as an economist in economist. He is currently also Senior fellow of the Master- the research department of the French bank Crédit Agricole. card Center for Inclusive Growth. He is based in New Delhi. Grégory is an associate professor at the Conservatoire National Suman had earlier served as Director-General (Chief Execu- des Arts et Métiers in Paris where he teaches macroeconom- tive) of the National Council of Applied Economic Research, ics. He previously taught undergraduate macroeconomics at New Delhi. At various times Suman was a member of the Sciences Po in Paris. He holds a PhD in economics from the prime minister’s Economic Advisory Council, of India’s European University Institute (Florence), an MSc in econom- Statistical Commission and of the Reserve Bank of India’s ics from Paris X University and an MSc in management from Technical Advisory Committee on Monetary Policy. HEC (Paris).

11 GO TO TABLE OF CONTENTS Marek Dabrowski Maria Demertzis Non-resident fellow Deputy director

Marek focuses on economic reforms and prospects in Rus- Maria is the deputy director of Bruegel. She has previously sia, Ukraine and central Europe. He is a professor at the worked at the European Commission and the research depart- Higher School of Economics in Moscow and was a fellow ment of the Dutch Central Bank. She has also held academic under the 2014-2015 fellowship initiative of the European positions at the Harvard Kennedy School of Government in the Commission. He was previously first deputy minister of USA and the University of Strathclyde in the UK, from where finance of Poland, a member of the Polish Parliament and she holds a PhD in economics. She has published extensively a member of the Monetary Policy Council of the National in international academic journals and contributed regularly Bank of Poland. to both the European Commission’s and the Dutch Central Bank’s policy outlets.

Uri Dadush Alicia García-Herrero Non-resident fellow Senior fellow

Uri works mainly on trends in the global economy and Alicia is a senior fellow at Bruegel and she is also the chief on how countries deal with the challenge of international economist for the Asia Pacific region at NATIXIS, based in integration through flows of trade, finance, and migration. Hong Kong. Alicia is currently an adjunct professor at City He is a non-resident scholar at Bruegel, based in Washing- University of Hong Kong and Hong Kong University of Science ton, DC and a senior fellow at the Policy Center for the New and Technology. Alicia holds a PhD in economics from George South. He is also the principal of Economic Policy Interna- Washington University. Previous positions include Chief Econ- tional, LLC. He teaches at the School of Public Policy at the omist for Emerging Markets at BBVA, and senior positions at University of Maryland and at the École des Hautes Études the BIS, the Bank of Spain, the European Central Bank, and Commerciales and the Mohammed VI Polytechnic. He is a Economist at the International Monetary Fund. She has pub- co-chair of the Trade, Investment and Globalization Task- lished extensively in journals and books. Force of the T20. He was vice-chair of the Global Agenda Council on Trade and Investment at the World Economic Forum. Mark Hallerberg Zsolt Darvas Non-resident fellow Senior fellow Mark Hallerberg is a Professor of Public Management and Polit- Zsolt’s research interests include macroeconomics, interna- ical Economy at the Hertie School of Governance and is Director tional economics, central banking and time-series analysis. of Hertie’s Fiscal Governance Centre. He is the author of one He is also a research fellow at the Institute of Economics of book, co-author of a second, and co-editor of a third. He has pub- the Hungarian Academy of Sciences. From 2005 to 2008, he lished over twenty-five articles and book chapters on fiscal gover- was a research adviser to the Argenta Financial Research nance, tax competition, and exchange rate choice. He has previ- Group in Budapest. Zsolt holds a PhD in economics from ously held professorships at Emory University, the University of Corvinus University of Budapest. From 1994 to 2005, he Pittsburgh, and the Georgia Institute of Technology. He has done worked in the research department of the Central Bank of consulting work for the Dutch and German Ministries of Finance, Hungary, where he was deputy head. Ernst and Young Poland, the European Central Bank, the Ger- man Development Corporation, the Inter-American Develop- ment Bank, International Monetary Fund, and the World Bank.

12 GO TO TABLE OF CONTENTS Henrik Horn Michael Leigh Non-resident fellow Senior fellow

Henrik focuses on economic aspects of trade law and Michael is an expert on the future of Europe, Brexit, energy, competition law. He is a senior research fellow at the enlargement, Turkey, the Mediterranean, the Middle East and Research Institute of Industrial Economics, Stockholm, neighbourhood policy. He is Academic Director of the Masters and chief reporter for an American Law Institute project in European Public Policy programme at Johns Hopkins Uni- on the Principles of the World Trade Organisation Agree- versity, School of Advanced International Studies in Bologna, ment. Previously, he held positions as professor of Inter- Italy and a senior adviser on public policy and government national Economics at Stockholm University, as a judge affairs at Covington, Brussels. He worked for more than 30 year in the Swedish supreme court for competition law cases, in policy making, lastly as director general for EU enlargement and worked for four years at the Economic Research and in the European Commission. He holds a bachelor’s degree Analysis Division of the WTO. in Philosophy, Politics and Economics from Oxford University and a PhD in Political Science from MIT. Svend Erik Hougaard Jensen Annamaria Lusardi Non-resident fellow Non-resident fellow

Svend is a Non-Resident fellow at Bruegel. He is also a Annamaria is the Denit Trust Endowed Chair of Economics Professor of Economics at the Department of Economics and Accountancy at the George Washington University School at Copenhagen Business School, Director of the Pen- of Business. Moreover, she is the founder and academic direc- sion Research Centre and a Member of the Systemic Risk tor of GWSB’s Global Financial Literacy Excellence Center. Pre- Council in Denmark. From 2017-2021, Svend was Chair- viously, she was the Joel Z. and Susan Hyatt Professor of Eco- man of Bruegel’s Scientific Council. nomics at Dartmouth College. She has also taught at Princeton University, the University of Chicago Harris School of Public Policy, the University of Chicago Booth School of Business, and Columbia Business School. She was a visiting scholar at Harvard Business School. She holds a PhD in Economics from Princeton University.

Alexander Lehmann J. Scott Marcus Non-resident fellow Senior fellow

Alex is an expert in financial regulation, pension systems and Scott is an expert in policy and regulatory issues related to digi- trade policies. He was the lead economist with the European tal services and electronic communications. His recent Bruegel Bank for Reconstruction and Development (EBRD) in War- research has focused on the European Digital Single Market, saw. Previously, Alex was with the Policy Review Department with particular emphasis on cross-border e-commerce, privacy, of the International Monetary Fund in Washington, acted as and geo-blocking. He made contributions to the European consultant for the World Trade Organisation and the central Commission’s proposed European Electronic Communications Bank of Mexico, and worked in research and teaching posi- Code. He is a member of the Scientific Committee of the Com- tions at the Royal Institute of International Affairs (Chatham munications and Media Programme of the Florence School of House) and the London School of Economics. He holds a Regulation, European University Institute, in Fiesole, Italy. PhD in economics from Oxford University.

13 GO TO TABLE OF CONTENTS Dalia Marin Diane Mulcahy Non-resident fellow Visiting fellow

Dalia’s research interests are in international economics, cor- Diane is an expert on the gig economy and contributes to porate finance and the organisation of the firm, and emerg- Bruegel’s project on the Future of Work and Inclusive Growth. ing market economies. She holds the chair in international She is the author of The Gig Economy (Harper Collins, 2016), economics at the University of Munich. Dalia is a fellow of the a best-selling book that has been translated into five lan- Centre for Economic Policy Research London and a member guages, and an advisor to Fortune 500 and startup compa- of the International Trade and Organization Working Group nies about the future of work. Diane created the first MBA of the National Bureau of Economic Research in Cambridge. course in the US on the gig economy. Diane holds a Master She has been team leader at the Russian European Center for of Public Policy and degree from Harvard University. Economic Policy in Moscow and has acted as a consultant for international organisations.

Mario Mariniello Milena Nikolova Senior fellow Non-resident fellow

Mario is Senior fellow at Bruegel. He leads Bruegel’s project Milena is a Non-resident Fellow at Bruegel and a Rosalind Frank- on the Future of Work and Inclusive Growth which closely lin Assistant Professor at the University of Groningen. In addition analyses the impact of artificial intelligence (AI) on the nature, to her academic career, Nikolova has demonstrated research quantity and quality of work, welfare systems and inclusive experience in leading think tanks, such as the Urban Institute and growth at large. In particular, the role of technology in reshap- the Brookings Institution. Dr. Nikolova is a Co-Editor (Econom- ing society when subject to extreme stress (ie during a pan- ics) of the Journal of Happiness Studies and an Associate Editor demic). Mario holds a PhD in Industrial Organization from of the Journal of Population Economics and the International the European University Institute of Fiesole (Florence) and a Review of Economics. Milena holds a PhD in public policy from M.Sc. in Economics from CORIPE (Turin). the University of Maryland, College Park (2014).

Emmanuel Mourlon-Druol Laura Nurski Non-resident fellow Research fellow

Emmanuel’s research ranges across a variety of topics in Laura holds a PhD in Industrial Organization, an M.Sc. in Eco- European and international economic relations, including nomics and an MA in Business Engineering from KU Leuven European monetary integration, the development of West- (Belgium). She is working on the Future of Work and Inclusive ern European financial regulation in the 1960s-1980s, and Growth project which analyses the impact of artificial intelli- the rise of the European Council. He is Lord Kelvin Adam gence on the nature, quantity and quality of work, welfare sys- Smith fellow in the Adam Smith Business School, University tems and inclusive growth. Before joining Bruegel, she worked of Glasgow. Prior to this, he was Pinto Post-Doctoral fellow at as an organisation design researcher investigating the impact LSE IDEAS, the London School of Economics’ centre for the of job design on wellbeing and productivity at work. study of international affairs. He is also a visiting professor at the Université Libre de Bruxelles.

14 GO TO TABLE OF CONTENTS Francesco Papadia Niclas Poitiers Senior fellow Research fellow

Francesco is an expert on international economics and mone- Niclas’s research interests include international trade, interna- tary policy. Between 1998 and 2012, he was the director gen- tional macroeconomics and the digital economy. He is working eral for market operations at the European Central Bank. He on topics to do with e-commerce in trade as well as European worked previously at the Banca d´Italia, first as director of the trade policy in global trade wars. Furthermore he is interested in international section of the research department and then as topics around income inequality and welfare state policies. He deputy head of the foreign department. He is also the chair of holds a PhD in Economics from Universitat de Barcelona and a the selection panel of the Hellenic Financial Stability Fund. He MSc in economics from the Universität Bonn. During his PhD has a degree in law from the University of Rome and attended he was a visiting scholar at Northwestern University. postgraduate studies in economics and business at the Istituto Adriano Olivetti in Ancona and the London Business School.

Georgios Petropoulos André Sapir Research fellow Senior fellow

Georgios’ research at Bruegel focuses on the digital econ- André’s research focuses on international trade, European gov- omy, market definition in the digital era, the economic value ernance, and global and European macroeconomics. He is a of big data and their resultant privacy concerns, and the professor of economics at the Brussels Free University. He was welfare implications of the emergence of the sharing econ- previously an economic adviser to the President of the European omy. He holds a bachelor’s degree in Physics from Aristotle Commission, and a chair of the scientific council of the Euro- University of Thessaloniki and a master’s degree in econo- pean Systemic Risk Board. In 2004 he published An Agenda for a metrics and mathematical economics from Tilburg Univer- Growing Europe, a report for the President of the Commission by sity. He holds a PhD from Toulouse School of Economics a group of independent experts that is known as the Sapir report. and he is currently a Marie Curie fellow at MIT Digital Lab. André holds a PhD in economics from Johns Hopkins University. He is also a research fellow of the Centre for Economic Policy Research (CEPR).

Jean Pisani-Ferry Dirk Schoenmaker Senior fellow Non-resident fellow

Jean is an expert on European macroeconomics, governance and Dirk has published research on central banking, financial international economics. He is a professor at European University Institute (EUI), Sciences Po Paris and the Hertie School of Gover- supervision and stability, European financial integration and nance in Berlin. He was the director for programme and ideas of climate change. He is a professor of banking and finance at Emmanuel Macron’s successful presidential campaign in France. Rotterdam School of Management, Erasmus University Rot- From 2013 to 2017, he served as commissioner-general of France terdam. He is also a member of the Advisory Scientific Com- Stratégie, the ideas lab of the French government. From 2005 mittee of the European Systemic Risk Board at the ECB and a to 2013, he was the director of Bruegel, towards whose creation research fellow at the Centre for European Policy Research. he had contributed. Before founding Bruegel, he was executive Dirk was dean of the Duisenberg School of Finance from president of the French PM’s Council of Economic Analysis (2001- 2009 to 2015. From 1998 to 2008, he served at the Ministry of 2002), senior economic adviser to the French minister of finance Finance in the Netherlands. (1997-2000), director of CEPII, the French institute for interna- tional economics (1992-1997), and economic adviser with the European Commission (1989-92). 15 GO TO TABLE OF CONTENTS Simone Tagliapietra Stefanie Walter Research fellow Non-resident fellow

Simone’s research activity focuses on the EU climate and Stefanie is professor for international relations and political energy policy and on the political economy of decarbonisa- economy at the Department of Political Science at the Univer- tion. With a record of numerous scientific and policy publi- sity of Zurich and Director of the Center for Comparative and cations, he is also the author of Global energy fundamentals International Studies (CIS). She graduated from ETH Zurich in (Cambridge University Press, 2020). His columns and policy 2007 with a PhD in Political Science and a dissertation on the work are frequently published and cited in leading interna- political economy of currency crises in 2007. She concentrates tional media. He holds a PhD in Institutions and Policies on the fields of international and comparative political econ- from the Università Cattolica del Sacro Cuore. He is also omy, with a particular focus on how distributional conflicts, adjunct professor at the Università Cattolica del Sacro Cuore policy preferences and institutions affect economic policy and at The Johns Hopkins University – SAIS Europe. outcomes.

Thomas Wieser Nicolas Véron Non-resident fellow Senior fellow Thomas is an expert on EU economic policies, financial stability Nicolas’ research is about financial systems and financial and European governance. He joined Bruegel in February 2018, reform around the world, including global financial regulatory previously he was president of the Euro Working Group and of initiatives and current developments in the European Union, the European Financial Committee of the European Union. He banking supervision and crisis management, financial report- previously chaired the Committee between March 2009 and ing, the euro-area policy framework and economic nation- March 2011. Before becoming president of the EWG/EFC, he alism. He was a co-founder of Bruegel in 2002. He joined the was director general for Economic Policy and Financial Markets Peterson Institute as a visiting fellow in 2009 and divides his in the Ministry of Finance, Vienna. He is currently also chairing time between the US and Europe. He is a board member of the a Wise Persons Group mandated by the Council to review the derivatives arm (Global Trade Repository) of the Depository European Financial Architecture for Development. Trust and Clearing Corporation, a financial infrastructure com- pany that operates globally on a non-profit basis. Guntram Wolff Reinhilde Veugelers Director Senior fellow Guntram is the director of Bruegel. His research focuses on the European economy and governance, fiscal and monetary policy Reinhilde’s research focuses on industrial organisation, and global finance. He regularly testifies to the European finance international economics and strategy, innovation, and sci- ministers’ informal ECOFIN meeting, the European Parliament, ence. She is a full-time professor at the University of Leuven and national parliaments. During 2012-16, he was a member of in the Department of Management, Strategy and Innovation. the French prime minister’s economic advisory council. Cur- She has been a senior fellow at Bruegel since 2009. She is also rently, he serves on the G20 high-level independent panel on a CEPR research fellow and a member of the Royal Flemish financing for pandemic prevention, preparedness and response. Academy of Belgium for Sciences. From 2004-2008, she was He joined Bruegel from the European Commission, where he an adviser for the European Commission’s Bureau of Euro- worked on the macroeconomics and governance of the euro area pean Policy Analysis. She was the president-elect of EARIE and the Deutsche Bundesbank. He is also a CEPR research fellow. (European Association for Research in Industrial Economics) Guntram holds a PhD in economics from the University of Bonn and she also served on the ERC Scientific Council. and has taught in Pittsburgh and Brussels.

16 GO TO TABLE OF CONTENTS Jianwei Xu Stavros Zenios Non-resident fellow Non-resident fellow

Jianwei’s research mainly focuses on international Stavros’ research focuses on sovereign debt issues. During economics and labour economics. He is particularly 2013-2014 he was vice-chairman of the Cyprus Council of Eco- interested in topics related to China’s economic trans- nomic Advisors and served on the Board of the Central Bank formation and foreign relationship. He is an associate of Cyprus (2014-2015). He served as president of UNICA-Uni- professor at Beijing Normal University, and also works versities of European Capitals (2004-2012) and as rector of the as an affiliate fellow at China Academy of Social Science University of Cyprus (2002-2010). He is a professor of finance and a youth member of the China Finance Forum 40. and management science at University of Cyprus. He received Prior to this, he completed an internship at the Devel- a PhD in engineering management systems from Prince- opment Research Center of the State Council in China ton University. He also studied mathematics at University of as a research assistant. He holds a PhD from Peking London and electrical engineering with the Higher Technical University. Institute in Cyprus.

Georg Zachmann Senior fellow

Georg’s work at Bruegel focuses on energy and cli- mate-change issues. He is also an expert on Ukraine. He is a member of the German Advisory Group in Ukraine and the German Economic Team in Belarus and Mol- dova. Previously, he worked at the German Ministry of Finance and the German Institute for Economic Research in Berlin. He has worked on the EU emissions trading system, the European electricity market and European renewables policy. In addition, he covers fuel and commodity markets. Georg holds a PhD from the Technical University of Dresden, and a diploma in eco- nomics from Humboldt University, Berlin.

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Staff list as of April 2021 DIRECTOR Jianwei Xu, Non-resident fellow Matilda Sevón, Deputy head of outreach Guntram Wolff, Director Georg Zachmann, Senior fellow Léna Vavrik, Human resources assistant Stavros Zenios, Non-resident fellow Yuyun Zhan, Press and communications assistant

DEPUTY DIRECTOR Bruegel is also grateful to Maria Demertzis, Deputy director DATA SCIENTIST Michal Krystyanczuk, Data scientist others who worked at Bruegel in 2020: SCHOLARS RESEARCH ASSISTANTS Carlo Altomonte, Non-resident fellow Julia Anderson, Research analyst Visiting fellows Suman Bery, Non-resident fellow Martin Kahanec Marta Domínguez-Jiménez, Research analyst Gerard Masllorens Fuentes Anne Bucher, Visiting fellow Monika Grzegorczyk, Research intern Joris Melman Rebecca Christie, Non-resident fellow Mia Hoffmann, Research intern Grégory Claeys, Senior fellow Lionel Jeanrenaud, Research assistant Non-research staff Marek Dabrowski, Non-resident fellow Klaas Lenaerts, Research intern Tiago Almeida, Communications and outreach intern Uri Dadush, Non-resident fellow Ben Mcwilliams, Research assistant Everaert Emmeline, Visual communication officer Zsolt Darvas, Senior fellow Tom Schraepen, Research intern Alexandra Fernandez Manas, Executive assistant Solenn Honorine, Press & communications officer Alicia García-Herrero, Senior fellow Alkiviadis Tzaras, Research assistant Paola Maniga, Head of development Henrik Horn, Non-resident fellow Pauline Weil, Research assistant Non-resident fellow Svend Erik Hougaard Jensen, Non-research interns Alexander Lehmann, Non-resident fellow MANAGEMENT TEAM Lars Halverson, Operations and finance intern Michael Leigh, Senior fellow Guntram Wolff, Director Naina Mangtani, Development intern Annamaria Lusardi, Non-resident fellow Maria Demertzis, Deputy director Anna Rakova, Operations intern J. Scott Marcus, Senior fellow Giuseppe Porcaro, Head of outreach and governance Dalia Marin, Non-resident fellow Scarlett Varga, Head of development Research assistants Mario Mariniello, Senior fellow Catarina Midoes, Research analyst Emmanuel Mourlon-Druol, Non-resident fellow NON-RESEARCH STAFF Diane Mulcahy, Visiting fellow Research interns Makfire Alija, Human resources manager Raffaella Meninno Milena Nikolova, Non-resident fellow Stéphane Asse’e, Finance and administration manager Youseff Salib Research fellow Laura Nurski, Hèctor Badenes, Visual communications assisttant Paco Viry Francesco Papadia, Senior fellow Laura Carlos, Junior accounting assistant Georgios Petropoulos, Research fellow Pauline Chetail, Development consultant Jean Pisani-Ferry, Senior fellow Emanuela Dimonte, Public funding manager Niclas Poitiers, Research fellow Stephen Gardner, Editor André Sapir, Senior fellow Chloé Genicot, Operations assistant Dirk Schoenmaker, Non-resident fellow Katja Knezevic, Events and governance manager Simone Tagliapietra, Research fellow Alma Kurtovic, Partnerships and project manager Bruno van Pottelsberghe, Non-resident fellow Daniel Mayer, Project coordinator Nicolas Véron, Senior fellow Matthieu Metivier, Communications intern Reinhilde Veugelers, Senior fellow Siobhán Mulvey, Executive assistant Stefanie Walter, Non-resident fellow Henry Naylor, Press and communications assistant Thomas Wieser, Non-resident fellow Harini Ravi, Development intern

18 POLICY IMPACT 2

Editorial output

Media outreach Bruegel’s mission is to improve economic policy. This means persuading policymakers to consider and adopt the research Events and recommendations of Bruegel scholars. Being present in public debates is fundamental to our Public funded projects strategy. Through our publications, social media, blog, podcasts, events and press outreach, Bruegel has carved out Testimonies a discussion space for economic policy. GO TO TABLE OF CONTENTS

The 2020 Global Go To Think Tank Index BEST QUALITY ASSURANCE AND INTEGRITY POLICIES AND PROCEDURES Report, published by the University of #2 Pennsylvania, ranked Bruegel as: BEST INSTITUTIONAL COLLABORATION #2 INVOLVING TWO OR MORE THINK TANKS THINK TANKS WITH THE MOST SIGNIFICANT IMPACT ON PUBLIC POLICY TOP THINK TANKS IN WESTERN EUROPE #4 #1 BEST MANAGED THINK TANKS TOP INTERNATIONAL ECONOMICS #5 POLICY THINK TANKS #1 THINK TANKS WITH THE BEST USE OF THE INTERNET TOP THINK TANKS WORLDWIDE #5 (US AND NON-US) #2 BEST USE OF MEDIA (PRINT OR ELECTRONIC) THINK TANKS WITH OUTSTANDING #5 #2 POLICY-ORIENTED RESEARCH PROGRAMS

20 GO TO TABLE OF CONTENTS Editorial output Our diverse editorial output is tailored to reach different audiences:

Timely analysis on the latest developments in economic policy. The Bruegel Blog has become a 135 point of reference for policymakers, influencers Blog posts and journalists.

From Policy Briefs and Policy The Sound of Economics brings our scholars’ Contributions aimed primarily at a policy research to a wider audience by contributing 42 audience to academic working papers, 57 to topical economic policy debates. In 2020 Publications and books. Podcasts our podcasts were played 270,000 times.

21 GO TO TABLE OF CONTENTS Media outreach

Through press work Bruegel has carved out a discussion space for those interested in improving economic policy and those who make it. Our Top news topics press outreach allows our scholars to spread their research in national Bruegel research was mentioned for: debates beyond the EU policy circles. Media mentions and opinion pieces published across the world also translate their research in a variety of languages, contributing to Bruegel’s outreach. Coronavirus

European Council

Brexit 9,814 70.7% Bruegel Annual Meetings (BAM) Media mentions increase relative to 2019

European Green Deal

22 GO TO TABLE OF CONTENTS Media outreach Media mentions globally (2020)

Click to explore the media mentions

23 GO TO TABLE OF CONTENTS Our events Where policies continued to meet fact-based research in the emergency situation

Bruegel’s ability to bring together understood we needed to make means that our events achieve our events relevant to a global 86 225K several strategic goals: helping to audience. Only with top speakers set the policy agenda, exploring would we be able stay a leading Events People reached pragmatic solutions to political voice in shaping the policy debate. impasses, and analysing the This outreach was made policy relevance of current eco- Initially, we dedicated the events to possible not only by the nomic research. the economic impact of COVID-19. quick response in the early We successfully completed a series days of the pandemic, but Our different event formats co-organised with the Financial also by knowledge accu- address different needs. Smaller Times where we hosted a number mulated over years. Even meetings help inform our research of Commissioners; each spoke though our focus in the and shape the thinking of influ- about the impact of the pandemic past was primarily on the ential invitees, while larger con- from a different angle. We man- onsite audience, we have ferences offer space for debate aged to provide a comprehensive live streamed events since and the chance to hold officials to analysis conducted on top level. 2014. Therefore, we had the account. equipment and a proficient events team, both crucial We kicked off the 2020 events pro- “The pandemic to make this transition and Matilda Sevón and Katja Knezevic from the events team gramme by hosting Sundar Pichai, audience growth a success. the CEO of Alphabet and Google. made us global” We were working on an exciting yearly agenda when the pandemic hit, upending all our plans and pushing us to become more flexi- ble and creative.

In early March, within the span of a week, we switched to online-only events.That allowed us to reach an audience beyond Brussels, but it also put us into competi- tion with the whole world. With that in mind, the management

Charles Michel and Guntram Wolff discuss the importance of Europe’s Sundar Pichai during his talk about Partnering with Europe on strategic autonomy Responsible AI 24 Click on the pictures A glimpse of the decision-makers to watch their talks joining Bruegel’s talks in 2020

Ylva Johansson Frans Timmermans Paolo Gentiloni Elisa Ferreira Kadri Simson

Ellen Johnson Sirleaf Margaritis Schinas

Esther Duflo Kristalina Georgieva Tadeusz Kościński

Sundar Pichai Margrethe Vestager

Mario Centeno

Tharman Olaf Scholz Věra Jourová Shanmugaratnam

Thierry Breton Philippe Donnet Johannes Hahn Janet Yellen Simon Birmingham Olivér Várhelyi Charles Michel GO TO TABLE OF CONTENTS Bruegel Annual Meetings By September 2020, Bruegel had established itself as a trustworthy voice on topical issues in the new online-only dialogue. With that foun- Janet Yellen dation, we seized the opportunity to shape Bruegel Annual Meetings 2020 into a three-day “Even if there is no understanding of the online festival of economics, with a truly global tools of monetary policy, the public has audience. Tuning in from 83 countries, 8,311 to trust that the central bank is not purely viewers watched the various sessions. After the event, thanks to the available recordings, the pursuing the goals and objectives of the viewership increased to more than 31,000. The financial community, but is out to make total outreach, with impressions on Twitter and ordinary citizens’ lives better off.” Facebook, amounted to around 50,000 people.

We hosted a stellar line-up of 64 individuals, among whom were two Nobel laureates, heads Bruegel Annual Meetings - Day 1 of states and institutional leaders, renowned academics, and corporate leaders. The speak- ers joined us from four continents to contrib- ute to topical and urgent discussions: many debates were under the inevitable influence of COVID-19 and how the recovery would look. However, we also engaged in conversations on the European Green deal, digitalisation, mone- tary policy and the new face of globalisation.

Guntram Wolff in conversation with Esther Duflo (on the screen) during one of the talks at the Bruegel Annual Meetings

26 GO TO TABLE OF CONTENTS Bruegel Annual Meetings Global outreach

Click to explore the global outreach

Olaf Scholz Ellen Johnson Sirleaf

“Our goal is a strong Europe. Let us emerge “A new partnership of Africa and Europe from this crisis more politically united than has far reaching potential and ought to be we went into it.” explored for the betterment of the world and the advancement of mutual interests.”

Bruegel Annual Meetings - Day 3 Bruegel Annual Meetings - Day 3

27 GO TO TABLE OF CONTENTS Bruegel Annual Meetings 2020

DAY 1 DAY 3 Frans Timmermans WORLD ECONOMY AFTER COVID-19: PREPARING FOR RECOVERY AND GROWTH THE ROLE OF THE STATE IN THE ECONOMY “The money we use now is borrowed from the next generations. Spending MONETARY POLICY AFTER THE PANDEMIC A NEW SURGE IN INEQUALITY IN it on their future instead of our past THE AFTERMATH OF COVID-19 is a moral imperative and a matter of economic sense. We have no choice.” THE GREEN DEAL: EUROPE’S GROWTH STRATEGY TOGETHER FOR EUROPE’S RECOVERY AND FOR A BETTER, MORE SOVEREIGN EUROPE

LECTURE: THE FUTURE OF GLOBALISATION ASSESSING EUROPEAN AND INTERNATIONAL FINANCIAL SYSTEMS

AFRICA AFTER COVID-19: CAN THE ECONOMY RECOVER? DAY 2 CLOSING LECTURE - GOOD ECONOMICS FOR HARDER TIMES ROADMAP TO RECOVERY Bruegel Annual Meetings - Day 1

EQUITY, CORPORATE DEBT, AND EUROPE’S CAPITAL MARKETS

GREENING THE RECOVERY

BUILDING AN INCLUSIVE FUTURE FOR WORKERS IN EUROPE

EU DIGITAL STRATEGY AT A TIME OF GEOPOLITICAL STRESS

THE INTERCONNECTEDNESS BETWEEN ECONOMICS AND GEOPOLITICS

DEBT RESTRUCTURING? DEALING WITH THE DEBT OVERHANG IN EMERGING ECONOMIES

REOPENING: EXPERIENCES ACROSS EUROPE OF THE LOCKDOWN AND THE OPENING

Maria Demertzis and Guntram Wolff at the 2020 Bruegel Annual Meetings 28 GO TO TABLE OF CONTENTS Conversations with the EU leadership

Between March and May 2020, when the pandemic brought many European countries The role of cohesion policy in the fight against COVID-19 to a standstill, Bruegel and the Financial Times invited European Commissioners to With Elisa Ferreira discuss the challenges that COVID-19 and the resulting lockdowns posed for their respective areas. Jim Brunsden, Europe correspondent, Financial Times Elisa Ferreira, European commissioner for cohesion and reforms

European industrial policy in times of coronavirus With Thierry Breton

Sam Fleming, Brussels bureau chief, Financial Times Guntram B. Wolff, Director, Bruegel

Maria Demertzis, Deputy director, Bruegel

Thierry Breton, European commissioner for internal market Click to watch March 21, 2020 the event

Democracy in the times of COVID-19 With Vera Jourová Click to watch March 19, 2020 the event Michael Leigh, Senior fellow, Bruegel Věra Jourová, VP for values and transparency, European Commission

A European response to the coronavirus crisis With Paolo Gentiloni

Guntram B. Wolff, Director, Bruegel Mehreen Khan, Brussels correspondent, Financial Times

Michael Peel, European diplomatic correspondent, Financial Times

Paolo Gentiloni, European commissioner for the economy Click to watch May 14, 2020 the event

Click to watch April 6, 2020 the event

29 GO TO TABLE OF CONTENTS From global to local

Reopening Europe

In spring 2020, the COVID-19 pandemic led to the closure of several borders across the European Union, halting the free circulation of citizens 35 years after the signing of the Schengen Treaty. During June 2020 they started to reopen, though since then free travel has remained susceptible to restrictions due to the pandemic. Between 12-27 June, 2020, Giuseppe Porcaro, our head of outreach and governance, travelled across 10 borders to take a snapshot of how this transitory moment affected the life of citizens, governance and economy in the continent, in the first documentary ever published by Bruegel.

BELGIUM NETHERLANDS LUXEMBOURG FRANCE GERMANY SWITZERLAND AUSTRIA SLOVENIA ITALY

Tettnang, Germany, Reopening Europe met with Antje von Dewitz, CEO At the border between Slovenia and Italy, Giuseppe Porcaro met the Naples, Italy, Nives Monda, owner of the small restaurant Tav- of Vaude Sport, to discuss sustainable consumption and manufacturing mayors of the border cities, Gorizia/Nova-Goriza, Klemen Miklavic and erna Santa Chiara, explains the challenges of her sector during in a post-pandemic world Rodolfo Ziberna and talked about the challenges of the closure of the the pandemic. border and what they learned during the pandemic.

30 GO TO TABLE OF CONTENTS (ECON), as an input to the Monetary Dialogue of 8 June between ECON Testimonies and the President of the European Central Bank, 20 May A Just Transition Fund – How the EU budget can help with the transition, Aliénor Cameron, Grégory Claeys, Catarina Midões and Simone Bruegel scholars spoke at the European Tagliapietra, study prepared for the European Parliament’s Committee on Parliament and at numerous national Budgets, 26 May parliaments during the year. They also gave Study on the differences between bank insolvency laws and on their potential harmonisation, Svetlana Atanasova, Sophie Buckingham, evidence to informal meetings of EU finance Simona Frazzani and Nicolas Véron, material originally published in a ministers. study commissioned by the European Commission’s Directorate-General for Financial Stability, Financial Services and Capital Markets Union (FISMA), 2 June LIST OF TESTIMONIES EU priorities and the recovery during COVID-19, Guntram B. Wolff, From climate change to cyber-attacks: Incipient financial-stability risks testimony to the Committee on EU Policies of the Italian Chamber of for the euro area, Zsolt Darvas, Marta Domínguez-Jiménez and Guntram Deputies, 18 June B. Wolff, Policy Contribution prepared for the European Parliament’s Committee on Economic and Monetary Affairs (ECON) as part of the Political Assessment of Possible Reactions of EU Main Trading Partners Monetary Dialogue between ECON and the President of the European to EU Border Carbon Measures, Henrik Horn and André Sapir, briefing Central Bank, 6 February prepared for the European Parliament’s Committee on International Trade (INTA), 23 June How good is the European Commission’s Just Transition Fund proposal?, Aliénor Cameron, Grégory Claeys, Catarina Midões and Employment and COVID-19, Guntram B. Wolff, testimony to the Simone Tagliapietra, Policy Contribution prepared for the European Economic Affairs Committee of the House of Lords, British Parliament, 9 Parliament’s Committee on Regional Development (REGI) as an input to a September REGI workshop on the Just Transition Fund, 26 February Strengthening the international role of the euro, Guntram B. Wolff, An effective economic response to the Coronavirus in Europe, Maria testimony before the Economic and Monetary Affairs (ECON) Committee Demertzis, André Sapir, Simone Tagliapietra and Guntram B. Wolff, Policy of the European Parliament, 1 October Contribution prepared at the request of the Croatian presidency of the EU for the meeting of EU finance ministers on the 17 March, 12 March What role for the European Semester in the recovery plan?, Thomas Wieser, study prepared for the Economic and Monetary Affairs (ECON) Promoting product longevity, J. Scott Marcus, external publication Committee of the European Parliament, 12 October prepared for the European Parliament’s Committee on the Internal Market and Consumer Protection (IMCO), 9 April New life for an old framework: redesigning the European Union’s expenditure and golden fiscal rules, Zsolt Darvas and Julia Anderson, The European Central Bank in the COVID-19 crisis: whatever it takes, study prepared for the Economic and Monetary Affairs (ECON) within its mandate, Grégory Claeys, Policy Contribution prepared for the Committee of the European Parliament, 14 October European Parliament’s Committee on Economic and Monetary Affairs

31 Monetary policy in the time of COVID-19, or how uncertainty is here to China-EU economic relations in the era of US-China economic stay, Maria Demertzis and Marta Domínguez-Jiménez, paper prepared for competition, Alicia García-Herrero, testimony before the Committee for the Economic and Monetary Affairs (ECON) Committee of the European International Trade (INTA) of the European Parliament, 17 November Parliament as part of a series on ‘Effects of Pandemic-Induced Uncertainty on Monetary Policy’, 12 November Euro area accession countries in the context of the pandemic, Zsolt Darvas, presentation to the Euro Accession Countries Working Group of the European Political assessment of possible future positive (cooperation) or Parliament’s Committee on Economic and Monetary Affairs (ECON), 19 negative (restrictive) attitudes of main trade partners of the EU, Dennis November Görlich and Niclas Poitiers, testimony to the Committee for International Trade (INTA) of the European Parliament as part of a webinar entitled Legal obstacles in Member States to Single Market rules, Erik Dahlberg, ‘Data flows, artificial intelligence and international trade: impacts and Mattia Di Salvo, Katarina Kubovicova, J. Scott Marcus, Sigurd Næss-Schmidt, prospects for the value chains of the future’, 16 November Jaques Pelkmans, Virginia Dalla Pozza and Laura Virtanen, document provided by the Policy Department for Economic, Scientific and Quality Socio-economic effects of digital trade and artificial intelligence on EU of Life Policies at the request of the Committee on Internal Market and industries including their value chains and EU imports and exports with Consumer Protection (IMCO) of the European Parliament, 24 November major trade partners, Georgios Petropoulos and André Sapir, testimony to the Committee for International Trade (INTA) of the European Monetary Policy in the times of corona: many unknown unknowns, Maria Parliament as part of a webinar entitled ‘Data flows, artificial intelligence Demertzis and Marta Domínguez-Jiménez, testimony before the Committee and international trade: impacts and prospects for the value chains of the on Economic and Monetary Affairs (ECON) of the European Parliament, 21 future’, 16 November December

New life for an old framework: redesigning the European Union’s expenditure and golden fiscal rules, Zsolt Darvas, testimony to the Economic and Monetary Affairs (ECON) Committee of the European Parliament, 17 November RESEARCH 3

European governance Macroeconomic policies Global economy and trade

Banking and capital markets Bruegel scholars regularly publish in top academic Green economy outlets. And while not every fellow has to publish every year in top journals, we are convinced that high Digital economy and innovation academic standards are conducive to high-quality policy recommendations. All significant Bruegel Inclusive economy policy papers therefore undergo a collective feedback process within the research team. All significant Bruegel policy papers therefore undergo a collective feedback process within the research team

Selected academic publications by Bruegel scholars are listed below Ahlquist, J., M. Copelovitch, and Claeys, G., A. Cameron, M. Demertzis, M. and M. Domínguez- Leigh, M. (2020) ‘Europe’s S. Walter (2020) ‘The Political Demertzis (2020) ‘Facing the Lower Jiménez (2021) ‘Fundamental Response to Challenges from China Consequences of External Bound: What will the ECB do in uncertainty and climate: two issues and Russia’, in Stefano Bianchini Economic Shocks. Evidence from the Next Recession?’, in Fernando to guide the ECB’s strategy review’, and Antonio Fiori (eds) Rekindling Poland’, in American Journal of Fernández Méndez de Andés (ed) in F. Fernández Méndez de Andés the Strong State in Russia and Political Science, 64(4): 904-920 The Euro in 2020, A Yearbook on the (ed) The Euro in 2021 - Moving China: Domestic Dynamics and European Monetary Union, 118-144 Forward: Monetary Union after Foreign Policy projections, Leiden; Anderson, J., S. Tagliapietra, and COVID-19 Boston, Brill G.W. Wolff (2020) ‘A framework Claeys, G. (2020) ‘Building a Euro- for a European economic recovery area Budget inside the EU budget: De Haan, J., D. Schoenmaker and Leonard, M., J. Pisani-Ferry, J. after Covid 19’, in Intereconomics, Squaring the Circle?’, in B. Laffan P. Wierts (2020) Financial Markets Shapiro, S. Tagliapietra, and G.B. 55(4): 209-215 and A. De Feo (eds) EU financing and Institutions: A European Wolff (2021) ‘The EU can’t separate for next decade: beyond the MFF Perspective, Cambridge University climate policy from foreign policy’, Arts, S. and R. Veugelers (2020) 2021-2027 and the next generation Press in Foreign Affairs, February ‘Taste for Science, Academic EU, European University Institute, Boundary Spanning and Inventive Florence, 219-230 Domínguez-Jiménez, M. and N. F. Mourlon-Druol, E. (2020) ‘The role Performance of Scientists and Poitiers (2020) ‘An analysis of EU of a creditor in the making of a debt Engineers in Industry’, in Industrial Christie, R. (2020) ‘Non-Performing FDI inflow into Russia’, in Russian crisis: the French government’s and Corporate Change, 29(4): 917- Loans: Stumbling Block or Journal of Economics, 6(2): 144-165 financial support for Poland, 933 Scapegoat? NPLs and how they between cold war interests and stand between European Banks García-Herrero, A. (2020) ‘Europe economic constraints, 1958-1981’ Bergamini, E., G. Zachmann (2020) and better Deposit Insurance’, in in the Midst of China-US Strategic in Financial History Review, 27(1): ‘Exploring EU’s Regional Potential EDIS, NPLs, Sovereign Debt and Economic Competition: What are 73-94 in Low-Carbon Technologies’, in Safe Assets, Institute of Law and the European Union’s Options?’ in Sustainability, MDPI, Open Access Finance at Goethe University, Journal of Chinese Economic and Mourlon-Druol, E. (2020) Journal, 13(1): 1-28 Frankfurt, De Gruyter Business Studies, January, 403-423 ‘Adjusting an institutional framework to a globalising world: Claeys, G. and A. Camous (2020) Dabrowski, M. (2020) ‘Transition to Hougaard J., S.E. and D. the creation of new institutions ‘The evolution of European a market economy: A retrospective Schoenmaker (2020) ‘Should in the EEC, 1957-1992’, Journal of economic institutions during the comparison of China with Denmark and Sweden join the Economic Policy Reform, 23(3): 273- COVID-19 crisis’, in European countries of the former Soviet bloc’, Banking Union?’, Journal of 289 Policy Analysis Journal, 6(2): 328- in Acta Oeconomica, 70(S): 15-45, Financial Regulation, 6(2): 317-326 341 16 October 34 Pisani-Ferry, J. (2020) ‘A new policy Schoenmaker, D. (2021) ‘Greening Tagliapietra, S., M. Hafner and Walter, S. (2020) ‘EU-27 Public toolkit is needed as countries exit Monetary Policy’ in Climate Policy, G. Falchetta (2020) ‘Least- Opinion on Brexit’, in Journal COVID-19 lockdowns’, with Olivier 21 cost pathways towards 100% of Common Market Studies, 8 Blanchard and Thomas Philippon, electrification in East Africa by September in Policy Brief, 20(8), PIIE Schoenmaker, D. (2020) ‘Trans- 2030’, in The Energy Journal, 41(3): Tasman Cooperation in Banking 255-292 Zachmann G. (2019) ‘The EU– Poitiers, N. (2020) Supervision and Resolution’, in Russia–China energy triangle’, ‘Institutionelle Aspekte einer Journal of Banking Regulation, Topaloglou N., H. Vladimirou in Russian Journal of Economics, neuen Handelsordnung’, in 21(1): 15-25 and S.A. Zenios (2020) ‘Dynamic ARPHA Platform, 5(4): 400-411. Wirtschaftsdienst, 100 (5): 328-332 Integrated dynamic models for Tagliapietra, S. and G.B. Wolff hedging international portfolio Zenios, S.A., A. Consiglio, M. Sarsenbayev, M. and N. Véron (2021) ‘The US, EU and China risks’ in European Journal of Athanasopoulou, E. Moshammer, (2020) ‘European versus American should form a climate club’, in Operational Research, 285: 48–65 A. Gavilan, A. Erce (2020) ‘Risk Perspectives on the Belt and Road Nature, 591, March, 526-528. management for sustainable Initiative’, in China and World Véron, N. (2020) ‘The Economic sovereign debt financing’ in Economy, 28:2, John Wiley and Tagliapietra, S. (2020) Global Consequences of Europe’s Banking Operations Research Sons Energy Fundamentals, Cambridge Union’ in Busch D., G. Ferrarini University Press (eds) European Banking Union, Sapir, A. (2020), ‘High Public Debt Oxford University Press in the Euro Area: A Tale of Belgium Tagliapietra, S. and M. Noussan and Italy’, in Journal of Common (2020) ‘The effect of digitalisation Walter, S., R. Ari, and N. Redeker Market Studies, 58 (3): 672-87 in the energy consumption of (2020) The Politics of Bad Options: passenger transport: an analysis Why the Eurozone’s problem have of future scenarios for Europe’, in been so hard to resolve, Oxford Journal of Cleaner Production, 258 University Press

35 GO TO TABLE OF CONTENTS European governance

EUROPEAN GOVERNANCE The past year has been undoubtedly on the value of real-time data and the turbulent, with COVID-19 affecting all flaws of popular economic indicators. aspects of our lives and by extension the economy. This has resulted in a rapid Our scholars have argued that Euro- succession of policy measures both at pean governance needed to evolve to the EU and national level that warranted cope with the major challenge that the policy debate and additional assess- pandemic created for the EU economy. ment. In particular, they argued that a joint EU borrowing response was necessary to The year further included the negoti- avoid fragmentation of the EU’s single ation of both the new EU seven-years market and ensure sufficient fiscal sup- multiannual financial framework (2021- port even in the weaker countries. 27) and the construction of the Next Moreover, our scholars became involved Generation EU recovery instrument. in questions of the EU’s health gover- This has also reinvigorated debates over nance and the implications of the health the future of the European Union, as response for the EU’s single market and well as more methodological questions the Schengen area.

An EU recovery fund “We don’t become a federal Europe, however the proposal is a big deal in terms of the architecture of Guntram Wolff the European Union. [...] If Europe is considering issuing common debt and raising taxes to back this The EU decided to embark on a major become particularly important after the debt up, then we’re talking about a big deal.” recovery fund in which the EU would controversial ruling of the German con- borrow and pass on funds to EU member stitutional court on the European Central Maria Demertzis, on the EU’s recovery plan states as grants. I argued that such a step Bank’s quantitative easing programme, is desirable to give all countries sufficient which was threatening to fiscal space to respond to the pandemic, undermine the indepen- prevent different sizes of state aid to com- dence of the central bank panies from distorting the single market and more broadly the and, yes, also as a sign of joint capacity legal and political integ- to act Germany’s commitment to the EU rity of the EU. fund was crucial for its realisation. It had

36 GO TO TABLE OF CONTENTS European governance Where should the EU find its own resources? Jean Pisani-Ferry

The old debate over the financing of the EU budget was “It is impossible to say how things would have gone if rekindled after the European Council decided to introduce there had not been joint EU action.. Europe was not new own resources to contribute to the repayment of the prepared for the pandemic, but it must now learn lessons NGEU programme. But what should these resources be? and use all its financial and political resources. It needs Fuest and Pisani-Ferry argued that proceeds from the auc- institutions comparable with those of the US to deal with tioning off of emission permits would be the best candidate. such situations.” Guntram Wolff, ‘Why has the EU been so As these proceeds are currently allocated to the member slow to roll out a Covid vaccination programme?’ states, they proposed a scheme to preserve current national revenues but allocate the marginal revenue from emission sales to the EU.

37 GO TO TABLE OF CONTENTS Macroeconomic policies

MACROECONOMIC POLICIES Grégory Claeys, Simone Tagliapietra and The effects of the pandemic created and industries. This differentiation had Guntram Wolff major uncertainties about the depth of important implications for economic the recession, as well as the speed and policies. Important questions also structure of the subsequent recovery. concerned the extent to which the “It is now time to The severe economic shock depresses shocks have primarily been on the output and weakens the recovery via supply or on the demand side and to debate the future various supply and demand effects, such what extent the consequences are long- shape of our as corporate bankruptcies, disrupted term or short-term. economies. A bold supply chains, reduced investments, increased unemployment and inactivity, Bruegel scholar Zsolt Darvas and a COVID-19 recovery weakened productivity due to enhanced team of research assistants compiled programme to boost hygiene and social distancing measures, a comprehensive database to track in Europe’s economy is increased household savings and real time the fiscal responses of national reduced external demand. governments across the EU and the needed. It should be US and UK. The database became a the focal point of the The economic shock has also been reference for many policy debates. differentiated across countries, regions debate on the future.”

Monetary policy and the COVID-19 crisis

Grégory Claeys “We are at a moment where companies are not going to invest because there is a lot of uncertainty,” said To keep the euro-area economy sures and the resulting increase in Grégory Claeys, a research fellow at Bruegel, the afloat, the European Central Bank the size of its balance sheet should think-tank. What economies needed was direct public has put in place a number of new not restrict its ability to achieve its spending, he added. measures since the beginning of the price-stability mandate, within its COVID-19 crisis. This response has legal obliga- triggered concerns about whether tions. the ECB measures are compatible with its price stability mandate and with the limits set by the EU Treaties. However, given the tools at its disposal, the ECB’s new mea-

38 GO TO TABLE OF CONTENTS Macroeconomic policies

National fiscal responses to the pandemic Zsolt Darvas

The extraordinary health crisis and the resulting economic The researchers Julia Anderson, Francesco Papadia and depression triggered extraordinary fiscal responses. Vari- Nicolas Véron tallied the amounts each of Europe’s big ous measures aimed to support the healthcare system, pro- economies had actually committed by the end of June. tect employment, support businesses small and large alike, In Germany, it was only €36bn. In Italy it was €51bn; increase public investment, or promote bank lending. How- Spain €85bn and France €108bn. Bruegel’s credit ever, the size of those measures that required upfront fiscal support dataset. resources (more spending and cancellation of tax liabilities) varied: countries having higher debt levels adopted relatively smaller measures than countries with lower debt, possibly due to perceived fiscal constraints.

Emmanuel Macron speaks from the Elysee Palace during a televised address to the nation on the 28th day of a lockdown on 13 April 2020 in Paris, France. Photo by Marc Piasecki/Getty Images 39 GO TO TABLE OF CONTENTS Global economics and trade

Economist Alicia Garcia-Herrero from the GLOBAL ECONOMICS AND TRADE Brussels think tank Bruegel also analyzed higher debts for an already heavily The pandemic may well have accelerated geopolitical trends that preceded it. This indebted country like China could lead is very much more evident than ever to lower economic growth in the future. when looking at the global landscape. Total Chinese debt exceeded 300 percent of economic output last year. The debt In this work-stream Bruegel scholars analysed Europe’s strategic position, was piled up, especially in state-owned how the pandemic is affecting it, the companies, by the stimulus package of 4 options and the necessary trade-offs. trillion yuan (520 billion euros) that the The work built on previous work on economic sovereignty, autonomy Chinese government launched in 2008. and/or independence, trade policy and investment screening as well as analysis of EU-China relations, and the transatlantic relations in a year that has seen a very complex US presidential election.

Trade in 2020

André Sapir

The year 2020 was obviously domi- ship (RCEP) free trade agreement The best way to stop others from using secondary nated by the COVID-19 pandemic, between 15 Asia-Pacific nations, sanctions would be to retaliate in kind, said Guntram with major effects on global value including China. From the view- chains. The pandemic created point of the world trading system, Wolff, director of Bruegel, an economic research worldwide shortages of protective the election of Joe Biden was a cru- institution. “To be credible you need reciprocity, and personal equipment face masks, cial moment to relaunch multilater- retaliation is the only way to do it,’’ he said. whichled many countries, the EU, alism. to introduce export restrictions. The other two major trade events of the year were the Phase One managed trade deal between the US and China, and the Regional Comprehensive Economic Partner- 40 GO TO TABLE OF CONTENTS Global economics and trade China in 2020 Alicia Garcia Herrero

China was the first in and the first out in the horrible year of the pandemic. Worst months at the beginning of the year also the fast recovery there after surprising EU-India in the spotlight and, all together, still hard to fully grasp. China moved from a collapse in production and logistical capacity to Originally planned to take place physically in a huge increase in exports and barely any increase in New Delhi in March 2020, Bruegel,under the imports notwithstanding its fast recovery in the second leadership of André Sapir and Suman Bery, half of 2020. Whether this is related to its new economic organised an online workshop on 15/16 December strategy of dual circulation and self-reliance is still too in partnership with the Centre for Policy Research soon to tell. By the same token, the EU signed a land- and the India International Centre, for Indian mark investment agreement with China as the year and European scholars to share perspectives on came to a close while the Biden administration was get- challenges in global governance: trade; digital; ting ready to roar with its “extreme competition” mantra climate; finance and sustainable infrastructure. towards China.

A new Asian trade mega-deal Uri Dadush Although the economic implications of the Regional Comprehensive Economic Partnership (RCEP) for the EU are modest, the geopolitical and strategic impli- cations are not. With the arrival of a new US admin- istration and the central role of China in the bloc, the EU needs to outline an Asian commercial strategy that reconciles the importance of China and the transatlan- tic relationship.

41 GO TO TABLE OF CONTENTS Global economics and trade A tumultuous year for Belarus Marek Dabrowski

The rigged presidential elections of 9 August G20 High Level Independent Panel 2020 triggered an unprecedented Bruegel director Guntram Wolff joined the High wave of popular pro-democracy protests in Level Independent Panel (HLIP) on financ- Belarus. However, alongside political change, ing the pandemic preparedness and response, Belarus also requires deep economic reform. endorsed by the G20 Italian Presidency and The economy of Belarus remains the least chaired by Senior Minister of Singapore Thar- reformed in Central and Eastern Europe man Shanmugaratnam, Director-General of the Bruegel visiting fellow Anne Bucher, a former and has been stagnant since 2013. Belarus WTO Ngozi Okonjo-Iweala and Lawrence Sum- director general for health struggles with continuous macroeconomic mers. The panel will report to the G20 finance in the European Com- ministers meeting of July 2021 to propose ade- imbalances caused by, among other factors, mission, joined Bruegel quate financing and an appropriate governance in 2021 to work with the unreformed loss-making state-owned to ensure the world will be better prepared for Bruegel director on the G20 panel. enterprises. the next pandemic.

The EU’s response to COVID-19 in the Western Balkans “[To exit this crisis], a two-pronged approach is needed. On the one hand, we must act quickly, Michael Leigh locally and rigorously to control the virus immediately in cases of resurgence (...). On the The EU’s credibility was dented in 2020 by the slowing of its other hand, the risk of re-importing the virus enlargement process and its failure to extend its vaccines and should be minimised as much as possible; for economic recovery initiatives to this region of 17.5 million example, by requiring a green light and health people, who have been promised eventual EU membership. monitoring for access to green zones.” Anne China, and to a lesser extent Russia, moved adroitly to fill the Bucher from Bruegel. gap through the provision of personal protective equipment and vaccines and through infrastructure investments. China stepped up its investment in Serbia and overtook Russia to become the largest investor in Montenegro. Many of the resulting investment projects are likely to be unsustainable, in terms of both public debt and environmental protection. 42 GO TO TABLE OF CONTENTS Banking and capital markets

BANKING AND CAPITAL MARKETS

The pandemic has placed substan- even if some of its inherent weak- tial stress on the financial sys- nesses remain. Finally, sustain- tem. Major questions have arisen able finance has continued to gain about as regards possible systemic importance, both in the context banking system weaknesses, over- of the climate crisis but also more banking and restructuring, mar- broadly. Financial literacy has also ket-based financial intermediation become more relevant, as COVID- and the development of European 19 has exposed underlying house- capital markets post Brexit. Mean- hold fragility. while, the Chinese banking system continued to grow and is beginning to become a global competitor,

Stacked furniture on a closed restaurant terrace near Berlin’s concert hall on Gendarmenmarkt,on Wednesday, Jan. 27, 2021. Photographer: Liesa Johannssen-Koppitz/Bloomberg via Getty Images

Credit support in time of pandemic

Nicolas Veron, Francesco Papadia, Julia Anderson “We are seeing a lot of creativity going on to avoid resolutions,” said Nicolas Véron, a senior fellow at In 2020, national loan guarantee But that’s easier said than done. Bruegel, a Brussels-based think tank. Mr. Véron said programmes mitigated the The key question for 2021 is, how bailing out banks weighs on governments’ financials, impact of lockdown, and their much more debt can European which in turn can trigger a sovereign crisis that will hurt usage was largely proportionate firms stomach? with each country’s economic the banks, in an endless vicious cycle. loss. This is good news for the single-market: it was feared that differences in fiscal capacity would constrain support. As COVID-19 disruptions persist, many are calling for a shift to solvency support. 43 GO TO TABLE OF CONTENTS Banking and capital markets How central banks and regulators assess climate risks Rebecca Christie

European central bankers increasingly see a need to take “The increase in euro-denominated green bonds, action regarding the impact of climate change on financial including by non-eurozone residents, has been stability and risk to the banking sector. Improved disclosures, impressive. But as the fine people at the Brussels think- climate stress testing and possibly even adapted monetary pol- tank Bruegel point out, green bonds are likely to be icy operations are all under discussion. In contrast, US author- segmented from conventional public debt by tricky ities seek to monitor financial-sector risk while leaving climate governance issues needed to ensure they are genuinely financing new environmentally friendly investments.” strategy to scientists and lawmakers, saying that climate stress tests would assess exposure to new regulations rather than to the environment itself.

Building a framework for green finance Alexander Lehman

It is by now widely agreed that in the recession of 2020 banks “The discussion on some kind of asset management and capital markets were part of the solution, not part of the agency or bad bank [for distressed loans] is in full swing problem. Policymakers can rightly take comfort that post-crisis in Europe,” said Alexander Lehmann, a fellow with the regulatory reform appears to have paid off. Bruegel research influential Brussels think tank Bruegel Institute, during began to address some of the challenges that now loom in the the webinar. “Non-performing loans will be dealt with recovery, including from private debt and the need to make much more quickly than during the last crisis. Banks the capital market of the 27 more vibrant, while building the will have a greater opportunity to sell distressed loans framework for sustainable finance. As always, the research to the private sector.” team benefitted immensely from discussions with our mem- bers and networks in Brussels and many capitals.

44 GO TO TABLE OF CONTENTS Banking and capital markets Financial fragility of households in times of COVID-19 Maria Demertzis

Coming into the first pandemic lock-down, one in three “Countries should first direct emergency funds toward households in the EU self-assessed themselves to be finan- the coronavirus battle, though once the problem is cially fragile. In other words, many households are unable to contained officials must be aggressive to bolster the meet a medium-sized unexpected cost, like an emergency economy, said Maria Demertzis, deputy director of operation, or a home repair. For single-parent households with Bruegel, a Brussels-based think tank. “Everybody will dependent children, this percentage amounts to more than be affected”, Ms. Demertzis said. “Policy makers need to bring out big bazookas to provide a safety net.” one in two. Ten percent more single females are financially fragile than single men.

45 GO TO TABLE OF CONTENTS Green economy

“The time has come for GREEN ECONOMY Europe, the US and possibly Despite the pandemic, the Green Bruegel scholars continued to China to create a ‘Climate Deal remained a top priority for track the Green Deal’s evolution the European Commission, with and provided timely research Club’.” major economic, societal and analysis and insights. Partic- even geopolitical implications. ular attention was devoted to The recovery further provided the political economy aspects Guntram Wolff an opportunity to revitalise and related to the initiative, such green European industry with as the issues of just transition, an EU green industrial policy. Its distributional effects of climate success will be crucial to a tran- policy, green investments and sition that is socially accepted in carbon pricing. the long-run.

The 2050 Goal

Simone Tagliapietra “Without a sensible EU-level industry policy, it’s The EU’s goal of climate neutrality both actions to manage the direct difficult to see how Europe can turn the Green Deal into by 2050 is not only a revolutionary geopolitical repercussions of the an industrial opportunity,” said Simone Tagliapietra, exercise in shifting the continent’s Green Deal, and actions to foster energy, consumer and travel hab- EU global green leadership research fellow at Bruegel, an economic think tank. its. It also entails tectonic shifts in Europe’s foreign policy. The EU needs to wake up to the geopolitical risks of the Green Deal and prepare a foreign policy strategy to manage them. This strategy needs to include

46 GO TO TABLE OF CONTENTS Green economy Tracking electricity in time of COVID-19 Georg Zachmann

In 2020 we set up a tracker of working-hours electricity “We want disruptive change, we want new low-carbon demand in 50 countries/regions and were able to track accu- alternatives,” Georg Zachmann, senior fellow at Brussels rately the significant drop and recovery in industrial produc- think-tank Bruegel, said.“Therefore, we should really tion, almost in real time, during COVID-19 emergency. For shift away from any measure that protects investments example, we see that some countries such as Austria have not into dirty technology.” yet managed to reach pre-crisis levels, while the recovery in other countries such as India overcompensate the dramatic initial 30% drop.

47 GO TO TABLE OF CONTENTS Digital economy and innovation

DIGITAL ECONOMY AND INNOVATION

Technology adoption in the current crisis could play an important role in our recov- ery and the question of the right mix between industrial policies, single market policies and competition policy has taken on new significance in 2020. Meanwhile, long-standing issues such as geo-blocking within the digital single market and international data transfers continue to deserve an extended policy debate.

Against this backdrop, our scholars have focused their research on multiple areas, such as COVID-19 impacts on digital technology adoption; digital platforms, regu- lation and competition policy; the EU single (digital) market; data usage and inter- national data transfers.

An automated transport robot moves parts for an all-electric car. Photographer: Krisztian Bocsi/ Bloomberg via Getty Images

Platforms in the data economy Digital trade and data flows

Georgios Petropoulos Niclas Federic Poitiers

The emergence of few and data-sharing mechanisms Data flows are the lifeblood of China – finding the right policies super-platforms has brought that promote the welfare of con- the digital economy, and the free to address this challenge has numerous concerns about com- sumers and keep online ecosys- flow of data across borders is become even more important. petition, privacy and antitrust. It tems open for new firms with key to unlocking the potential of is important to carefully design a vision and innovative ideas. digital trade. Shaping its digital proper regulatory framework in future, Europe needs to strike order to maximise the benefits a balance between economic for consumers from online eco- opportunities and protecting its systems. Data is a valuable asset citizens’ rights. 2020 saw a rapid in this respect. Moving forward uptake of digital tools during towards a data-driven economy the pandemic and heightened we need to establish new rules tensions between the US and 48 GO TO TABLE OF CONTENTS Digital economy and innovation How much do we need the science and innovation machine? Reinhilde Veugelers

By delivering at such speed vaccines that are highly effective Reinhilde Veugelers, economics professor in Leuven against COVID-19, the science and innovation machine has and fellow at the Brussels think tank Bruegel, sees proven its power. But can we take this for granted? Or have we the EU cooperation as positive: “The joint purchase just been lucky? Did we have the right type of public sector strengthens the bargaining power, it also enables a driver steering the science and innovation machine? Together better diversification of vaccines, which reduces the with my colleague Georg Zachmann, I looked at how pub- risks.” However, she complains: “I don’t know how far lic support needs to be designed to ensure the science and the EU Commission actually uses its bargaining power, innovation machine can operate at full speed. We stressed the because it doesn’t communicate enough about it.” importance of a large enough public budget to fund a suffi- ciently large and diversified portfolio of projects, which are de-risked enough that open access can be tied to public sup- port, thus easing the supply of vaccines.

Visitors at an entrance to a COVID-19 vaccination center in Poland’s National Stadium on 12 March, 2021. Photographer: Lukasz Sokol/Bloomberg via Getty Images 49 GO TO TABLE OF CONTENTS Digital economy and innovation

The EU needs more activist use of digital technology for contact tracing Scott Marcus

Despite a generally strong response to the first wave of the J. Scott Marcus at Bruegel looks at the use of personal COVID-19 pandemic, the EU has wasted precious months by data by various countries in the fight against failing to place large, timely orders for the vaccines that have coronavirus and the legal implications for Europe’s actually been approved for use in Europe. In order to be bet- tough data protection laws. ter prepared for possible future health crises, the EU needs to set better planning in motion, including a more proactive and effective vaccine procurement strategy, more activist use of digital technology for contact tracing, and a more coherent strategy for permitting or prohibiting travel between EU coun- tries.

Barcelona, Spain. Photographer: Angel Garcia/Bloomberg via Getty Images 50 Inclusive economy

INCLUSIVE ECONOMY

The pandemic has wors- issues such as artificial ened inequality throughout intelligence and its distribu- Europe, and our researchers tional effects, the gig econ- have been exploring various omy, the data economy and aspects of this. Wealth, or the impact of ever-changing the lack of it, has had major technology, continued to be implications for opportuni- important elements of the ties. Less-educated workers wider challenge of an inclu- have suffered most from sive growth. job losses, and there was a significant increase in Euro- pean Union income inequal- ity in 2020. Also the digital divide was increasingly felt with the new remote work- ing environment, while

The impact of automation and artificial intelligence “People with lower levels of education tend to have lower have sparked fears of massive job destruction. Scott income and wealth, and are less able to telecommute Marcus, a senior fellow at Bruegel think tank, however, than people with tertiary degrees. A higher proportion was less worried as the job loss “doesn’t seem to of income comes from the wages of people with less happen so rapidly ”...“ A lot needs to be done” to education than of people with tertiary education and, progress toward a new social contract for this digital therefore, the loss of a job is a greater income impact for era, Marcus concluded. people with less education,” says Zsolt Darvas.

51 Inclusive economy

The changing nature of jobs Towards a hybrid work environment Mario Mariniello Laura Nurski The impact of technology on labour markets Hybrid work models will not only affect organ- has often been framed in quantitative terms: isations and the workers that adopt them. The “will AI destroy more jobs than it generates?”. effect of hybrid work will spill over on the rest Yet, an equally relevant question is how tech- of the economy and society by fostering work- nology is changing the nature of jobs and ers’ intra-national and, potentially, interna- whether this will lead to a fairer allocation of tional mobility. The end of the pandemic will value amongst the members of society. We offer a clear opportunity for EU policymakers address that question with a multi-dimen- and EU social parties to steer the development sional, solution-oriented approach, investi- of new working relationship to the benefit of gating the link between technological change everyone in Europe. and productivity, well-being and equality, as induced by its effect on market dynamics, organisational models and job design.

52 GOVERNANCE & 4 MEMBERSHIP

Governance model Board Members Management Funding Bruegel’s mission is to improve economic policy. This means Projects and partnerships persuading policymakers to consider and adopt the research and recommendations of Bruegel scholars. Financial statements Being present in public debates is fundamental to our strategy. Through our publications, social media, blog, Auditor’s report podcasts, events and press outreach, Bruegel has carved out a discussion space for economic policy. GO TO TABLE OF CONTENTS Governance model

Bruegel’s distinctive nature rests on a balanced partnership between private and public stakeholders.

Our membership is composed of EU governments, international corporations and independent institutions.

With membership fees constituting more than 82.5% of the annual budget, but no single member contrib- uting more than 3.6%, Bruegel is able to collaborate with a wide range of partners while protecting its principal assets: independence, professional integrity and objectivity.

Bruegel is committed to the highest levels of trans- parency, at the level of the institution and at the level of individual scholars. This level of disclosure rep- resents a unique standard in public transparency for think-thanks.

54 GO TO TABLE OF CONTENTS

Assembly of members Bruegel’s highest governing body meets three times every year

1. Ratifies the appointment of the board and of the director and deputy director.

2. Approves the budget and the accounts.

3. Participates in the design of the Research Programme through multilateral consultations, and bilateral exchanges involving each member individually.

STATE MEMBERS CORPORATE MEMBERS INSTITUTIONAL MEMBERS

ELECT 3 MEMBERS EACH Board Scientific council Bruegel’s general administrative body meets three times every Bruegel’s advisory body meets every year year 8 members 11 members (6 elected, 5 appointed) 1. Advises Bruegel’s board and management. 1. Works with the management team to guide the organisa- tion, holds director accountable. 2. Assesses the scientific quality of Bruegel’s output with a yearly report. 2. Approves the budget and the annual research programme, which is prepared on the basis of a wide consultation of mem- 3. Attends Bruegel’s board meetings through presence of bers. the chair.

3. Approves new members and senior staff.

Executive management Executive management • Research supervision • Bruegel’s executive body Editorial responsibility Preparation of research programme & board meeting Director: Guntram B. Wolff Deputy director: Maria Demertzis

55 GO TO TABLE OF CONTENTS The board The board reflects the diversity of Bruegel’s stakeholders. An 11-person group, six women, five men, it is made up of high-ranking individuals from government, industry, academia and civil society. Each member acts in a personal capacity, reflecting Bruegel’s nature as a public good.

The members of the board are: Rachel Lomax Former Deputy Governor of the Bank of England and a member of the Monetary Policy Erkki Liikanen (Chair) Committee Former Governor of the Central Bank of Finland Monika Marcinkowska Agnès Bénassy Quéré Professor of Banking & Finance, University of Lodz Chief economist of the French Treasury Isabelle Mateos y Lago Karolina Ekholm Managing Director, BlackRock Investment Institute Professor of Economics, Stocholm University Simone Mori José Manuel González-Páramo Group Head of European Affairs, Enel Executive Board member of BBVA Elena Pisonero Jörg Kukies Chairperson, Taldig State secretary of the German Federal Ministry of Finance Alessandro Rivera Director General of the Treasury, Italian Ministry of Finance

Scientific council Arnoud Boot (Chair), Professor of Corporate Finance Fernando Fernández, Full Professor of International and Financial Markets at the University of Amsterdam and Financial Economics at IE Business School The scientific council consists of internationally Justus Haucap, Director, Düsseldorf Institute for recognised economists appointed by the board for Elena Carletti, Professor of Finance at Bocconi Competition Economics at Heinrich-Heine-University of a three-year mandate. It advises Bruegel’s board, University Düsseldorf director and deputy director, and assesses the scientific quality of Bruegel’s output. The scientific council chair Meredith A. Crowley, Professor of Economics at Michael Pettis , Finance professor at the Guanghua School of Peking University attends board meetings. The new scientific council was Cambridge University appointed in January 2021. Laszlo Varro, Monica de Bolle, Senior fellow at the Peterson Institute Chief Economist at International Energy Agency

56 GO TO TABLE OF CONTENTS A changing of the guard

In 2020, Bruegel’s board elected a new chair. defence of intellectual independence, his wise Erkki Liikanen succeeded Jean-Claude advise and his guidance. Trichet, who served as chair of the board since 2012. Jean-Claude Trichet was appointed honorary chairman of Bruegel at the last Board meeting We express our gratitude towards Jean-Claude he chaired on 1 September 2020. Trichet for his intellectual curiosity, his strong

Jean-Claude Trichet, Chair Erkki Liikanen, Chair

I am very moved to pass the the chair of the board at its I am deeply honoured to the world needed a credible baton to Erkki Liikanen, to inception, Mario Monti and succeed Jean-Claude Trichet and independent voice more whom I wish full success, for my predecessor Leszek and would like to thank than now to tackle the many after 9 years of chairing the Balcerowicz. I would like Bruegel’s board for the trust economic challenges of our Board of Bruegel . It has been overall to thank the director they put in me. I look forward times. an extraordinary period Guntram Wolff for having to supporting the director for Europe and the world , preserved and enhanced an and the entire team in their filled with continuous new exceptional team spirit with mission to improve economic challenges , from the great his deputy and all the scholars policy. Never has Europe and financial crisis to the ongoing and members of Bruegel, COVID-19 pandemic. I am dedicated to shaping key proud to see how Bruegel economic policy debates. has established itself in the first rank of the important think tanks in the world. I have a particular thought for

57 GO TO TABLE OF CONTENTS Members Members are at the core of our organisational framework. They engage in Members are committed to Bruegel’s transparency and integrity standards. a partnership, an exchange of ideas and a commitment to Bruegel’s mis- sion. Their representation on the board, their contribution to the research They recognise Bruegel’s independence and agree to refrain from seeking agenda, their interactions with scholars and their participation in events to influence Bruegel’s research work or to obstruct publication. We are ensure that Bruegel remains accountable and relevant. grateful to all our members for their support.

STATES INSTITUTIONS CORPORATIONS

» Austria » Bank of England » Accenture » Iberdrola » Belgium » Banque Centrale du Luxembourg » Amazon » ING » Cyprus » Banque de France » Apple » Limak » Denmark » Banca d’Italia » Banco Santander » Mastercard » Finland » Caisse des Depots » BBVA » McKinsey » France » Central Bank of Ireland » Blackrock » MIcrosoft » Germany » Danmarks Nationalbank » Breakthrough » Moody’s Energy » Hungary » De Nederlandsche Bank » Morgan Stanley » Deloitte » Ireland » European Bank for Reconstruction and » Norinchukin Bank Development » EDF (Électricité » Italy de France) » Shell » European Investment Bank » Luxembourg » Element Capital » Société Générale » Fondacion ICO » Malta » Enel » Standard Life » Laudes Foundation Aberdeen » Netherlands » Eni » National Bank of Romania » S&P Global » Poland » Facebook » National Bank of Slovakia » Uni Credit Group » Slovakia » Generali » Oesterreichische Nationalbank (OeNB) » Vodafone » Spain » Google » Sveriges Riksbank » Sweden » HSBC » Finnish Pension Alliance (TELA) » United Kingdom » Huawei

58 GO TO TABLE OF CONTENTS Management

Guntram B. Wolff Maria Demertzis Director Deputy director

Guntram is responsible for Bruegel’s overall executive management, for Maria assists the director in leading the organisation, with a specific focus the preparation of the board meetings, the preparation of Bruegel’s strat- on shaping the research programme and ensuring its execution is of the egy, the research strategy and the hiring of staff. He exercises editorial highest quality, as well as the financial management of the organisation. oversight and quality control. Guntram was deputy director of Bruegel She has previously worked at the European Commission and the research before being appointed director in 2013. Before this, he worked on euro- department of the Dutch Central Bank. She has also held academic posi- area governance at the European Commission and fiscal policy at the tions at the Harvard Kennedy School of Government in the USA and the Bundesbank. He holds a PhD in economics from the University of Bonn University of Strathclyde in the UK, from where she holds a PhD in eco- and has published in leading academic journals. nomics.

Giuseppe Porcaro Scarlett Varga Head of outreach and governance Head of development

Giuseppe is responsible for organisational governance, for outreach to the Scarlett leads Bruegel’s development team and is in charge of developing membership and for communications through media relations, online and implementing Bruegel’s fundraising strategy and partnership efforts. channels and events. He was secretary general of the European Youth Prior to working at Bruegel, she worked for the renewable energy industry Forum and previously worked at the World Bank in Kosovo and Paris. (solar) on research and industry-led projects. She worked and travelled Giuseppe holds a master’s degree in international relations and a PhD in extensively in Latin America, setting up energy cooperatives in the Ata- geography of development from the University of Naples L’Orientale. He cama region and Patagonia. She is trained in Economics and Business also contributes to research related to European narratives and the impact (BSc) and the European Union’s Financing Schemes (MA). of technology on democracy and political communication.

59 GO TO TABLE OF CONTENTS Funding

Members are committed to Bruegel’s transparency and integrity standards. They recognise Bruegel’s independence and agree to refrain from seeking to influence Bruegel’s Corporations research work or to obstruct publication. We are grateful to all our members for their support.

Core funding 82.5% of funding comes from the membership programme: EU governments Central banks and autonomous institutions Non-core funding

Grants from European institutions for specific multi-annual research projects The financial statements fully detail our funding streams for both core and or papers. This also gives Bruegel an opportunity to interact with policymak- non-core funding. ing institutions and makes advocacy for Bruegel’s work more effective. Bruegel’s development is planned to be organic, with a gradual expansion Grants from private organisations, such as foundations and research insti- of the membership programme and the sustainable growth of other funding tutes. Bruegel adopts a flexible approach to cooperation. Joint activities with streams in harmony with Bruegel’s core values. Making Bruegel’s financial partners focus on intellectual dialogue through visiting fellowships, joint future sustainable also relies on constant innovation in operations: finding publications and policy debates with relevant decision-makers and practi- ways to cut costs whilst expanding output. tioners. Bruegel maintains reserves of just overover €2,250,000. These reserves make No member contributes more than a small percentage of the annual budget six months’ operating costs available and help maintain financial stability. (typically less than 4% for countries and less than 1% for companies), which Bruegel’s cash flows are carefully managed and Bruegel has never borrowed protects independence further. An arm’s-length relationship with members to finance operations or to make capital investments. is also guaranteed by Bruegel’s statutes and bylaws, which clearly define the role that members play in the organisation.

60 GO TO TABLE OF CONTENTS Managing financial risk during the pandemic

We started the year with a cautious reduce drastically: running costs of budget. Our caution however was by the building, travel and outreach-re- no means calibrated to the pandem- lated costs. This included the shift- ic-related risks that we would sub- ing of our annual meeting entirely In 2020, we were delighted to sequently face. As the shutdown was online, saving a substantial part of welcome a new finance manager, imposed in Belgium in early March, the outreach budget. we faced two unknowns: the extent to Stéphane Asse’e who works under which we would be able to collect the It is fair to say that with very small the supervision of Bruegel’s deputy income secured, and the extent of our investments in digital technology we director costs. What we did not know at the have managed to ensure continuity time is that there was as much upside of all our internal and external events as downside risk to both sides of our and written output. balance sheet. The favourable evolution of both On the income side, not only did sides of the balance sheet compound we manage to collect the income this year to a sizable surplus. This will raised, but we secured a number of be used to top up our reserves, neces- Stéphane Asse’e, Finance and additional grants to cover the very sary to sustain our level of ambitions Administration Manager high demand for COVID-19 related in an environment of substantive research. On the cost side, we saw risks that continue to persist. most of the variable non-salary costs

61 GO TO TABLE OF CONTENTS Projects and partnerships Public-funded projects

With a portfolio of 17 EU-funded research proj- Single Resolution Board’s chair. Periodically, of capital movements. Bruegel also contributed ects, Bruegel fellows regularly have the opportu- Bruegel also delivers longer studies to the Parlia- papers and organised two seminars with the EU nity to provide expertise and exchange views with ment or the Commission. For instance, in 2020, Delegation to Russia and the EU-Russia Expert EU institutions’ policymakers, and to engage in Bruegel fellows provided an in-depth analysis of Network on Foreign Policy, to discuss Russia’s academic networks across Europe. the impact of COVID-19 on the Internal Market, long-term growth prospects and Russian trade contributed in assessing the impacts of the exten- relations with the EU and China. Bruegel provides regular briefings to the Euro- sion of the scope of the Geoblocking Regulation pean Parliament, notably in the framework of to audiovisual and non-audiovisual services and Bruegel is a partner in three multiannual research the monetary dialogue with the European Cen- assisted DG FISMA to prepare its yearly reports projects funded under the highly competitive tral Bank and the parliamentary hearings of the and in-depth analyses of developments in the field Horizon 2020 programme.

Supported by the European Com- Decarbonisation pathways must be sci- By adopting a holistic approach, the Recent developments have exposed mission under the European Union’s ence-based, technically feasible, finan- overarching goal of MICROPROD the EU’s vulnerability to volatile Rights, Equality and Citizenship cially viable and socially acceptable. This is to contribute to a greater under- markets, geopolitical changes, and Programme, Brussels Binder Beyond requires a transdisciplinary approach and standing of the challenges brought domestic opposition. U3D’s main (BBBeyond) aims to build a pan-EU the deep involvement of relevant stake- about in Europe by the fourth indus- objective is to develop and apply to network of women expert databases, holders in co-designing robust national, trial revolution and the associated the EU and beyond a theory of dif- think-tanks and like-minded organi- regional, and global climate pathways “productivity puzzle” in a context of ferentiation that specifies the con- sations to raise awareness of the issue together with modellers. PARIS REIN- globalisation and digitisation. Brue- ditions under which differentiation of underrepresentation of women FORCE, a Horizon 2020 project, provides gel contributes to better understand is politically acceptable, institution- while creating a synergy and collab- a unique science-policy interface that the microeconomic drivers behind ally sustainable and democratically orative space to promote women’s actively involves stakeholders in mul- it, as well as its macroeconomic legitimate, and singles out those visibility. The project also aims to tiple aspects of the scientific processes, implications for growth and cohe- forms of differentiation that engen- improve the usage of existing data- from the formulation of relevant policy sion in the European Union with der dominance. Being responsible bases, share best practices and build questions to the definition of modelling the aim to provide alternative pol- for the “Policy and Polity Recom- an online repository to gather women assumptions and the interpretation of icy options to better address these mendations” work package, Bruegel experts in one single platform. Last the results. PARIS REINFORCE ensures challenges. contributes to engaging with policy but not least, BBBeyond co-creates that the stakeholder process is integrated stakeholders and informing public practical tools for diverse and inno- in an authoritative scientific process that debates. vative convening which includes the calls upon the modelling capabilities of development of various toolkits to an ensemble of Integrated Assessment allow and boost knowledge transfer Models (IAMs) as well as other energy and best practice exchange. system and sectoral models. 62 GO TO TABLE OF CONTENTS Projects and partnerships Private-funded projects Grants from private organisations, such as foundations and research institutes.

Health governance and finance Future of work and inclusive growth

As a response to the pandemic, Bruegel has developed a Future of work and inclusive growth in Europe closely work stream on Governance and Financing of Global Heath. analyses the impact of technology on nature, quan- Some of the key aspects tackled in this line of research are i/ tity and quality of work, welfare systems and inclusive international governance and cooperation, ii/international growth at large. That includes exploring the role of tech- value chains in medical goods and iii/international nology and AI in reshaping society, particularly when coordination of research and innovation. In a joint initiative subject to extreme stress (e.g. during a pandemic), and with other partners, Bruegel is also conducting research that considering those who have been most affected by these focuses on identifying the gaps in the financing system for the forces in the short and long term. It builds a cross-na- global common goods and proposing actionable solutions tional and cross-sectorial community of stakeholders to meet these gaps on a systematic and sustainable basis, (academia, business sector, employers’ organiza- and to optimally leverage resources from the public, private tions, employees organisations and trade unions, and philanthropic sectors and the International Financial government bodies, experts, etc.) to allow Institutions. The initiative is financially supported by the exchange of insights and enhance a stronger Wellcome Trust. collaboration between different social and economic actors. The project is financially supported by the Mastercard Center for Inclusive Growth. European Green Deal

Since 2020, Bruegel has developed a comprehensive work stream on the European Green Deal, positioning itself as a leading center of excellence on macroeconomic aspects of decarbonisation and green recovery. The mutually complementary projects being delivered in this line of work include i/ a study on Green Industrial Policy, ii/ Green Recovery Club – monthly webinars with experts from national ministries of finance, EU and other international institutions, iii/ Think Tank Network on the EGD – network of senior experts of leading think tanks at national and EU level, iv/ Green Macro Group – workshops with experts from selected EU departments, EU national ministries of finance and economy, and climate and environment, as well as independent international environmental agencies. This stream of work is financially supported by the European Climate Foundation. 63 Financial statements BALANCE SHEET 2020-2019 INCOME STATEMENT 2020-2019 2020 2019 REVENUE 2020 2019 FIXED ASSETS 129,827.18 163,081.61 FURNITURE AND OFFICE EQUIPMENT 75,362.20 52,942.66 SUBSCRIPTIONS - STATE MEMBERS 2,191,398.00 2,124,992.00 IT DEVELOPMENT 43,147.35 9,431.38 SUBSCRIPTIONS - CORPORATE MEMBERS 1,745,833.33 1,766,666.00 NEW OFFICE DEVELOPMENT 11,317.63 100,707.57 SUBSCRIPTIONS - INSTITUTIONAL MEMBERS 616,666.67 500,000.00 OTHER REVENUES 964.478,98 823.504,76 CURRENT ASSETS 456,290.11 698,243.27 HONORARIA 2.490,85 FURNITURE AND OFFICE EQUIPMENT 450,090.80 698,243.27 PRIVATE INST. GRANTS 112,827.60 204.503,15 IT DEVELOPMENT 6,199.31 PUBLIC INST. GRANTS 702,561.94 637.057,26 NEW OFFICE DEVELOPMENT INTL. ORG GRANTS 23,873.00 CASH AND FINANCIAL ASSETS 4,139,020.80 3,337,671.82 FINANCIAL INCOME (GROSS) 312,65 OTHER INCOME 39,096.44* -20.859,15** DEFERRALS AND ACCRUALS 233,360.74 205,991.81 RESEARCH AND NETWORK MASTERCARD CFIG 86,120.00 DEFERRED CHARGES 207,607.34 197,741.81 TOTAL REVENUE 5,518,376.98 5,215,162.76 ACCRUED INCOME 25,753.40 8,250.00 EXPENSES TOTAL ASSETS 4,958,498.83 4,404,988.51 WAGES AND COMPENSATION -3,714,884.41 -4,037,473.81 OPERATING EXPENSES -998,246.37 -1,280,079.24 CURRENT LIABILITIES 2,076,073.20 2,151,993.18 STAFF TRAVEL COSTS -32,177.01 -126,876.71 TRADE PAYABLES 381,759.37 525,402.59 EXTERNAL RESEARCH COSTS -73,588.48 REMUNERATION AND SOCIAL SECURITY PAYABLES 294,921.83 320,365.79 DOCUMENTATION COSTS -183,682.42 -176,110.42 FUNDED PROJECT CREDITORS 906,921.94 722,990.98 PREPAID INCOME 411,285.94 546,812.00 OUTREACH RELATED COSTS -116,167.42 -302,186.94 VAT PAYABLE 81,184.12 36,421.82 OFFICE RENT AND RUNNING COSTS -433,012.42 -494,021.80 ACCRUED CHARGES EXTERNAL PROFESSIONAL SERVICES -223,206.62 -101,392.70 PROVISIONS FINANCIAL CHARGES -10,000.48 -5,902.19 DEPRECIATION EXPENSES -163,375.56 -159,774.44 NET ASSETS 2,882,425.63 2,252,995.33 ACCOUNTING CORRECTIONS -12,440.04 SURPLUS/LOSS OF THE YEAR 629,430.30 -262,164.06 ACCUMULATED RESERVES 2,252,829.30 2,515,159.39 TOTAL EXPENSES -4,888,946.38 -5,477,327. 49

TOTAL LIABILITIES AND NET ASSETS 4,958,498.83 4,404,988.51 FINAL RESULT 629,430.30 -262,164.73

(*) Honoraria and financial adjustments including joint event correction (**) Joint event provisionning 64 GO TO TABLE OF CONTENTS CORE FUNDING ANNEX REVENUE 2020 2019 2020 2019 SUBSCRIPTIONS - STATES MEMBERS 2,191,398.00 2,124,992.00 SUBSCRIPTIONS - CORPORATE MEMBERS 1,745,833.33 1,766,666.00 CATEGORY 1 99,609.00 99,609.00 AMAZON EU 50,000.00 50,000.00 APPLE 50,000.00 16,666.00 CYPRUS 33,203.00 33,203.00 BALYASNY - 50,000.00 LUXEMBOURG 33,203.00 33,203.00 BBVA 50,000.00 50,000.00 MALTA 33,203.00 33,203.00 BLACKROCK 50,000.00 50,000.00 CATEGORY 2 66,406.00 132,812.00 CREDIT AGRICOLE 50,000.00 50,000.00 DELOITTE 50,000.00 SLOVAKIA 66,406.00 66,406.00 DEUTSCHE BORSE AG 50,000.00 50,000.00 IRELAND 66,406.00 EDP 20,833.33 50,000.00 CATEGORY 3 498,045.00 498,045.00 ENEL 50,000.00 50,000.00 AUSTRIA 99,609.00 99,609.00 ENI 50,000.00 50,000.00 DENMARK 99,609.00 99,609.00 FACEBOOK 50,000.00 50,000.00 GENERALI 50,000.00 FINLAND 99,609.00 99,609.00 GOOGLE 50,000.00 50,000.00 HUNGARY 99,609.00 99,609.00 HSBC 50,000.00 50,000.00 IRELAND 99,609.00 HUAWEI 50,000.00 50,000.00 SWEDEN 99,609.00 IBERDROLA 50,000.00 50,000.00 CATEGORY 4 531,248.00 398,436.00 IIES 50,000.00 50,000.00 ING 50,000.00 50,000.00 BELGIUM 132,812.00 132,812.00 MC EUROPE 50,000.00 50,000.00 NETHERLANDS 132,812.00 132,812.00 MCKINSEY 50.000.00 50,000.00 POLAND 132,812.00 132,812.00 MICROSOFT 50,000.00 50,000.00 SWEDEN 132,812.00 MOODY'S 50,000.00 50,000.00 CATEGORY 5 996,090.00 996,090.00 MORGAN STANLEY 50,000.00 50,000.00 NORINCHUKI 50,000.00 50,000.00 FRANCE 199,218.00 199,218.00 NOVARTIS - 50,000.00 GERMANY 199,218.00 199,218.00 PFIZER - 50,000.00 ITALY 199,218.00 199,218.00 S&P 50,000.00 50,000.00 SPAIN 199,218.00 199,218.00 SANOFI - 50,000.00 UNITED KINGDOM 199,218.00 199,218.00 SANTANDER 50,000.00 50,000.00 SCHNEIDER ELECTRIC 50,000.00 50,000.00 SCHRODERS 50,000.00 50,000.00 SHELL 50,000.00 50,000.00 SOCIETE GENERAL 50,000.00 50,000.00 STANDARD LIFE ABERDEEN 50,000.00 50,000.00 UBER - 50,000.00 UNICREDIT 50,000.00 50,000.00 VODAFONE 50,000.00 50,000.00 ACCENTURE 25,000.00 GATES- BREAKTHOUGH ENERGY 50,000.00 LIMAK 50,000.00

65 GO TO TABLE OF CONTENTS 2020 2019 OTHER REVENUES 2020 2019 SUBSCRIPTIONS - CORPORATE MEMBERS 616,666.67 500,000.00 INCOME FOR RESEARCH ACTIVITIES FROM PUBLIC ORGANIZATIONS 702,562.24 2,124,992.00 BANCA D'ITALIA 25,000.00 25,000.00 INDIAN EMBASSY 12,000 33,203.00 NATIONAL BANK OF ROMANIA 50,000.00 50,000.00 EP_IPOL_A MONETARY DIALOGUE 6,000 33,203.00 BANK OF ENGLAND 25,000.00 25,000.00 EP_IPOL_A (VARIOUS) 21,300 33,203.00 CENTRAL BANK OF LUXEMBOURG 25,000.00 25,000.00 BANK OF FRANCE 25,000.00 25,000.00 COP21 RIPPLS 2,880 66,406.00 CAISSE DES DEPOTS 50,000.00 50,000.00 EU3D, HORIZON 2020 47,525 66,406.00 DENMARK NATIONAL BANK 25,000.00 25,000.00 MICROPOD, HORIZON 2020 106,306 DE NEDERLANDSCH BANK (NNB) 25,000.00 25,000.00 PARIS REINFORCE, HORIZON 2020, 128,467 EBRD 50,000.00 50,000.00 BRUSSELS BINDER AND BEYOND 81,518 EIB 50,000.00 50,000.00 FUNDACION ICO 50,000.00 50,000.00 DIGITALCOMP - (MIT MARIE CURIE) 80,065 50,000.00 BANK OF POLAND 25,000.00 25,000.00 VVA BRUSSELS (VARIOUS) 47,025 54,656.81 RIKSBANK 25,000.00 25,000.00 EUROPEAN PARLIAMENT (VARIOUS) 104,627 16,194.34 THE FINNISH PENSION ALLIANCE TELA 50,000.00 50,000.00 EUROFUND 37,600 8,652.00 BANK OF SLOVAKIA 25,000.00 "UNIVERSTETET I OSLO (PHD POLICY AND MEDIA TRAINING)" 10,767 10,000.00 AUSTRIA BANK 25,000.00 REPUBLIC OF CROATIA (STRENGTHENING THE INTERNATIONAL ROLE OF THE EURO) 12,197 65,000.00 CENTRAL BANK OF IRELAND 25,000.00 ADIA 37,500.00 INSTITUT FÜR WELTWIRTSCHAFT 4,285 LAUDES FOUNDATION 4,166.67 ASIAN DEVELOPMENT BANK INSTITUTE, INCLUSIVE GROWTH PROJECT 44,646.00 BRUSSELS BINDER AND BEYOND 61,129.64 EUROPEAN COMMISSION (HORIZON 2020), COP21 RIPPLES PROJECT 54,778.56 OTHER REVENUES EUROPEAN COMMISSION (DG FISMA), HARMONISATION OF BANK INSOLVENCY 21,200.00 INCOME FOR RESEARCH ACTIVITIES FROM PRIVATE ORGANIZATIONS 198,947.60 2,124,992.00 EUROPEAN COMMISSION (DG FISMA), EU CAPITAL FLOWS IN THE GLOBAL CONTEXT 45,868.75 UBER ( FINANCIAL AND DIGITAL LITERACY) 25,000 33,203.00 EUROPEAN COMMISSION (DG CNECT), GEOBLOCKING EXTENSION 18,000.00 HYBRID COE 8,000 33,203.00 EU3D, HORIZON 2020 49,784.33 WELLCOME TRUST 935 33,203.00 EUROPEAN PARLIAMENT ECON COMMITTEE 4,000.00 TOSHIBA FOUNDATION 923 66,406.00 EUROPEAN PARLIAMENT EXPO_A (TRADE AND RUSSIA) 69,683.33 FUNDATION ICO 1,000 66,406.00 EUROPEAN PARLIAMENT EXPO_B (TRADE PAPER AND EVENT) 7,000.00 EUROPEAN CLIMATE FOUNDATION 68,240 EUROPEAN PARLIAMENT IPOL_A (VARIOUS) 47,200.00 MASTERCARD MCIG 86,120 EUROPEAN PARLIAMENT IPOL_D 16,552.30 MASTERCARD ( 2020 GLOBAL ECONOMY FELLOW HONORARIUM) 8,730 MIT MARIE CURIE 70,724.26 FONDAZIONE CARIPLO 50,000.00 MICROPROD HORIZON 2020 68,827.40 MASTERCARD CENTER FOR INCLUSIVE GROWTH PARIS REINFORCE 57,662.70 54,656.81 (DIGITALISATION AND THE WELFARE STATE) NOMURA FOUNDATION (PIECE WRITTEN FOR CONFERENCE) 16,194.34 THE JAPAN FOUNDATION (EXPENSES FOR JOINT EVENT) 8,652.00 TOSHIBA INTERNATIONAL FOUNDATION (EXPENSES FOR JOINT EVENT) 10,000.00 WELLCOME TRUST 65,000.00

66 GO TO TABLE OF CONTENTS 2020 2019 INCOME FOR RESEARCH ACTIVITIES INTERNATIONAL ORGANIZATIONS 702,562.24 AUSTRALIAN EMBASSY 6,000 ASIAN DEVELOPMENT BANK 7,873 G20 10,000 OTHER INCOME 39,096 ACCOUNTING CORRECTIONS (POSITIVE) 32,225.00 DNB: ZSOLT DARVAS PARTICIPATION 113 GEORG ZACHMANN VISIT 523 STUDY LEAVE 2019 2,266 IMF LUNCH MARCH 4 2020 93 REIMBURSEMENT F OR GUNTRAM WOLFF TICKET 99 LIGHTNING SOURCE UK LTD 26 EUROPEAN UNIVERSITY INSTITUTE 500 TWEEDE KAMER 3,000 EUROPEAN LIBERAL FORUM ASBL 250 4,285 HONORARIA, FOR CONFERENCES, WRITTEN PIECES ETC. 2,491.00 BLOOMBERG 450.00 EL PAIS 432.00 GET ABSTRACT 596.00 MASTERCARD 908.00 WDR 105.00

67 GO TO TABLE OF CONTENTS Auditor’s report

68 GO TO TABLE OF CONTENTS

69 ANNEXES

Publications Blogs Podcasts Events GO TO TABLE OF CONTENTS Facing the lower bound: what will the COVID-19’s reality shock for external- ECB do in the next recession?, Aliénor funding dependent emerging Cameron, Grégory Claeys and Maria economies, Alicia García-Herrero and Annexes Demertzis, External Publication, 27 Elina Ribakova, Policy Contribution, 28 March May

Publications Forecasting exchange rates of major Study on the differences between bank currencies with long maturity forward insolvency laws and on their potential Market versus policy Europeanisation: How good is the European rates, Zsolt Darvas and Zoltán Schepp, harmonisation, Svetlana Atanasova, has an imbalance grown over time?, Commission’s Just Transition Fund Working Paper, 2 April Sophie Buckingham, Simona Frazzani Leonardo Cadamuro and Francesco proposal?, Aliénor Cameron, Grégory and Nicolas Véron, External Publication, Papadia, Policy Contribution, 9 January Claeys, Catarina Midões and Simone Promoting product longevity, J. Scott 2 June Tagliapietra, Policy Contribution, 26 Marcus, External Publication, 9 April Factors determining Russia’s long-term February EU-China trade and investment growth rate, Marek Dabrowski, External Racing against COVID-19: a vaccines relations in challenging times, Alicia Publication, 16 January A European carbon border tax: much strategy for Europe, Reinhilde García-Herrero, Guntram B. Wolff, pain, little gain, Ben McWilliams and Veugelers and Georg Zachmann, Policy Jianwei Xu, Niclas Poitiers, Gabriel A post-Brexit agreement for research Georg Zachmann, Policy Contribution, 5 Contribution, 21 April Felbermayr, Rolf J. Langhammer, Wan- and innovation, Michael Leigh, Beth March Hsin Liu and Alexander Sandkamp, Thompson and Reinhilde Veugelers, The European Union’s post-Brexit External Publication, 4 June Book/Special Report, 28 January An effective economic response to reckoning with financial markets, the Coronavirus in Europe, Maria Rebecca Christie and Thomas Wieser, Is the COVID-19 crisis an opportunity Megatrends: Key Forces Forging Our Demertzis, André Sapir, Simone Policy Contribution, 13 May to boost the euro as a global currency?, Future, Rebecca Christie and Guntram B. Tagliapietra and Guntram B. Wolff, Policy Grégory Claeys and Guntram B. Wolff, Wolff, Book/Special Report, 3 February Contribution, 12 March COVID-19 and emerging economies, Policy Contribution, 5 June Alicia García-Herrero, External From globalization to deglobalization: The effect of digitalization in the energy Publication, 13 May Occupational change, artificial Zooming into trade, Alicia García- consumption of passenger transport: intelligence and the geography of EU Herrero, External Publication, 3 February An analysis of future scenarios for Rebooting Europe: a framework for labour markets, Sybrand Brekelmans, Europe, Simone Tagliapietra and Michel a post COVID-19 economic recovery, Working Paper, 15 June Resisting deglobalisation: the case of Noussan, External Publication, 16 March Julia Anderson, Simone Tagliapietra and Europe, Zsolt Darvas, Working Paper, 4 Guntram B. Wolff, Policy Brief, 13 May Long-term transmission rights February Analysis of developments in EU and dynamic efficiency, Georgios capital flows in the global context, The Euro pean Central Bank in the Petropoulos and Bert Willems, External From climate change to cyber-attacks: Grégory Claeys, Maria Demertzis, Marta COVID-19 crisis: whatever it takes, Publication, 16 June Incipient financial-stability risks for Domínguez-Jiménez, Konstantinos within its mandate, Grégory Claeys, the euro area, Zsolt Darvas, Marta Efstathiou and Tanja Linta, External Policy Contribution, 20 May A new policy toolkit is needed as Domínguez-Jiménez and Guntram B. Publication, 16 March countries exit COVID-19 lockdowns, Wolff, Policy Contribution, 6 February A Just Transition Fund – How the EU Olivier Blanchard, Thomas Philippon and How has the macroeconomic budget can help with the transition, Jean-Pisani Ferry, Policy Contribution, FDI another day: Russian reliance imbalances procedure worked in Aliénor Cameron, Grégory Claeys, 22 June on European investment, Marta practice to improve the resilience of the Catarina Midões and Simone Domínguez-Jiménez and Niclas Poitiers, euro area?, Agnès Bénassy-Quéré and Tagliapietra, External Publication, 26 May Political Assessment of Possible Policy Contribution, 17 February Guntram B. Wolff, External Publication, Reactions of EU Main Trading Partners 24 March to EU Border Carbon Measures, Henrik Horn and André Sapir, External Publication, 23 June

71 GO TO TABLE OF CONTENTS Should Denmark and Sweden join the From globalization to deglobalization: Analysis of developments in EU What role for the European Semester banking Union?, Dirk Schoenmaker Zooming into trade, Alicia García- capital flows in the global context, in the recovery plan?, Thomas Wieser, and Svend E. Hougaard Jensen, Policy Herrero, External Publication, 3 February Grégory Claeys, Maria Demertzis, Marta External Publication, 12 October Contribution, 24 June Domínguez-Jiménez, Konstantinos Resisting deglobalisation: the case of Efstathiou and Tanja Linta, External New life for an old framework: Six years after Ukraine’s Euromaidan: Europe, Zsolt Darvas, Working Paper, 4 Publication, 16 March redesigning the European Union’s reforms and challenges ahead, February expenditure and golden fiscal rules, Marek Dabrowski, Marta Domínguez- How has the macroeconomic Zsolt Darvas and Julia Anderson, Jiménez and Georg Zachmann, Policy From climate change to cyber-attacks: imbalances procedure worked in External Publication, 14 October Contribution, 30 June Incipient financial-stability risks for practice to improve the resilience of the the euro area, Zsolt Darvas, Marta euro area?, Agnès Bénassy-Quéré and The Economic growth and income The financial fragility of European Domínguez-Jiménez and Guntram B. Guntram B. Wolff, External Publication, distribution implications of public households in the time of COVID-19, Wolff, Policy Contribution, 6 February 24 March spending and tax decisions, Zsolt Maria Demertzis, Marta Domínguez- Darvas, Working Paper, 19 October Jiménez and Annamaria Lusardi, Policy FDI another day: Russian reliance Facing the lower bound: what will the Contribution, 2 July on European investment, Marta ECB do in the next recession?, Aliénor European Union recovery funds: strings Domínguez-Jiménez and Niclas Poitiers, Cameron, Grégory Claeys and Maria attached, but not tied up in knots, Jean The impact economy: balancing profit Policy Contribution, 17 February Demertzis, External Publication, 27 Pisani-Ferry, Policy Contribution, 27 and impact, Dirk Schoenmaker, Working March October Paper, 7 July How good is the European Commission’s Just Transition Fund Forecasting exchange rates of major Hong Kong’s Intermediary Role on Greening the recovery by greening the proposal?, Aliénor Cameron, Grégory currencies with long maturity forward Funding the BRI: How does it fare fiscal consolidation, Ben McWilliams, Claeys, Catarina Midões and Simone rates, Zsolt Darvas and Zoltán Schepp, against Singapore?, Alicia García- Simone Tagliapietra and Georg Tagliapietra, Policy Contribution, 26 Working Paper, 2 April Herrero, Gary Ng and Hanrui Li, External Zachmann, Policy Brief, 8 July February Publication, 4 November Promoting product longevity, J. Scott Financing the European Union: New A European carbon border tax: much Marcus, External Publication, 9 April Perspective of comprehensive and Context, New Responses, Clemens pain, little gain, Ben McWilliams and comprehensible multi-model energy Fuest and Jean Pisani-Ferry, Policy Georg Zachmann, Policy Contribution, 5 Racing against COVID-19: a vaccines and climate science in Europe, Contribution, 11 September March strategy for Europe, Reinhilde Alexandros, Ajay Gambhir, Evelina Veugelers and Georg Zachmann, Policy Trutnevyte, Konstantinos Koasidis, Market versus policy Europeanisation: An effective economic response to Contribution, 21 April Henrik Lund, Jakob Zinck Thellufsen, has an imbalance grown over time?, the Coronavirus in Europe, Maria Didier Mayer, Georg Zachmann, Luis Leonardo Cadamuro and Francesco Demertzis, André Sapir, Simone The European Union’s post-Brexit Javier Miguel, Noelia Ferreras Alonso, Ida Papadia, Policy Contribution, 9 January Tagliapietra and Guntram B. Wolff, Policy reckoning with financial markets, Sognnæs, Glen Peters, Enzo Colombo, Contribution, 12 March Rebecca Christie and Thomas Wieser, Mark Howells, Adam D. Hawkes, Factors determining Russia’s long-term Policy Contribution, 13 May Machteld Van Der Broek, Dirk-Jan Van De growth rate, Marek Dabrowski, External The effect of digitalization in the energy Ven, Mikel Gonzalez-Eguino, Alexandros Publication, 16 January consumption of passenger transport: Global Energy Fundamentals, Simone Flamos and Haris Doukas An analysis of future scenarios for Tagliapietra, External Publications, 16 A post-Brexit agreement for research Europe, Simone Tagliapietra and Michel September Monetary policy in the time of COVID- and innovation, Michael Leigh, Beth Noussan, External Publication, 16 March 19, or how uncertainty is here to stay, Thompson and Reinhilde Veugelers, How Can the European Parliament Maria Demertzis and Marta Domínguez- Book/Special Report, 28 January Better Oversee the European Jiménez, External Publication, 12 Central Bank?, Grégory Claeys and November Megatrends: Key Forces Forging Our Marta Domínguez-Jiménez, External Future, Rebecca Christie and Guntram B. Publication, 23 September Wolff, Book/Special Report, 3 February

72 GO TO TABLE OF CONTENTS The evolution of European economic Legal obstacles in Member States to Data flows, artificial intelligence and Building a Euro-area Budget Inside institutions during the COVID-19 crisis, Single Market rules, Erik Dahlberg, international trade: impacts and the EU Budget: Squaring the Circle?, Antoine Camous and Grégory Claeys, Mattia Di Salvo, Katarina Kubovicova, prospects for the value chains of the Grégory Claeys, External Publication, 1 External Publication, 19 November J. Scott Marcus, Sigurd Næss-Schmidt, future, Dennis Görlich, Michèle Finck, December Jacques Pelkmans, Virginia Dalla Pozza Georgios Petropoulos, Niclas Poitiers Digital platforms and antitrust, Geoffrey and Laura Virtanen, External Publication, and André Sapir, External Publication, 26 A green industrial policy for Europe, Parker, Georgios Petropoulos and 24 November November Simone Tagliapietra and Reinhilde Marshall Van Alstyne, Working Paper, 23 Veugelers, Blueprint, 17 December November Green certificates: a better version of Understanding the European Union’s green bonds, Dion Bongaerts and Dirk regional potential in low-carbon Deglobalisation in the context of United Schoenmaker, Policy Contribution, 26 technologies, Enrico Bergamini and States-China decoupling, Alicia García- November Georg Zachmann, Working Paper, 26 Herrero and Junyun Tan, 21 December November

73 GO TO TABLE OF CONTENTS Libra as a currency board: are the risks Recent euro-area house price increases Europeans take the Euro for granted, Blogs Posts too great? Julia Anderson and Francesco are dissimilar to earlier housing booms, Joris Melman and Giuseppe Porcaro, 2 Papadia, 27 January Zsolt Darvas, Marta Domínguez-Jiménez March and Guntram B. Wolff, 17 February Explaining the triumph of Trump’s To save the Italian economy from Understanding populism, Jean Pisani- economic recklessness, Jean Pisani- Epidemic tests China’s supply chain the Coronavirus, Rome prescribes a Ferry, 2 January Ferry, 29 January dominance, Alicia García-Herrero, 17 stimulus, Simone Tagliapietra, 3 March February The Green Deal is not just one of many Europe’s banking union must be What can the EU learn from the China- EU projects, it is the new defining cyberproofed, Guntram B. Wolff, 30 The EU’s poverty reduction efforts Switzerland free trade agreement? Uri mission, Jean Pisani-Ferry, 3 January January should not aim at the wrong target, Zsolt Dadush, Marta Domínguez-Jiménez, 3 Darvas, 18 February March Could the U.S. economy be experiencing Britain faces a triple contradiction, Jean a hidden tech-driven productivity Pisani-Ferry, 30 January Europe may be the world’s AI referee, Downsides to Hong Kong’s untargeted revolution? Marek Dabrowski, 6 January but referees don’t win, Guntram B. Wolff, cash handout, Alicia García-Herrero, 4 Realpolitik of the day after Brexit, Maria 19 February March Stability remains key to China, Alicia Demertzis, 31 January García-Herrero and Jianwei Xu, 15 What is fuelling the Dutch house price The European Green Deal must cut January The US-China trade agreement will not boom? Sybrand Brekelmans, 19 February hidden fossil fuel subsidies, Simone put an end to geopolitical risks, Alicia Tagliapietra, 4 March A trillion reasons to scrutinise the Green García-Herrero, 31 January Why the US Trade Agreement will slow Deal Investment Plan, Grégory Claeys Our two cents on Belgium’s two cents, China’s economy, Alicia García-Herrero, The cost of coronavirus in terms of and Simone Tagliapietra, 15 January Aliénor Camero, 31 January 20 February interrupted global value chains, Maria Demertzis, Gerard Masllorens, 9 March European green finance is expanding, India navigates a new global order, Inflation targets: revising the European a discount on bank capital would Suman Bery, 3 February Central Bank’s monetary framework, Uncoordinated policies behind market discredit it, Alexander Lehmann, 15 Aria Demertzis and Nicola Viegi, 20 collapse, Alicia García-Herrero, 10 March January Berlin will make or break the European February Green Deal, Grégory Claeys, Simone Three macroeconomic issues and Incorporating political risks into debt Tagliapietra, 3 February Eastern Mediterranean Gas: What Covid-19, Leonardo Cadamuro, sustainability analysis, Andrea Consiglio Prospects for the New Decade? Simone Francesco Papadia, 10 March and Stavros Zenios, 22 January Climate risks to European banks: a new Tagliapietra, 25 February era of stress tests, Alexander Lehmann, What if the rest of Europe follows Italy’s European capital markets union, by 4 February A Radical Way Out of the EU Budget coronavirus fate? Simone Tagliapietra, rule and by choice, Rebecca Christie, 23 Maze, Jean Pisani-Ferry, 26 February 11 March January Europe’s Green Deal must reach beyond its borders, Simone Tagliapietra and Can the EU overcome its enlargement Only the coronavirus can convince How could net balances change in the Georg Zachmann, 4 February impasse? Marek Dabrowski, 27 Trump of the virtues of international next EU budget? Zsolt Darvas, 23 January February cooperation, Alicia García-Herrero, 13 China’s Coronavirus will not lead to March Do AI markets create competition policy recession but to stimulus and even more As the Coronavirus spreads, can the EU concerns? Julia Anderson, 23 January debt, Alicia García-Herrero, 6 February afford to close its borders? Raffaella Why OMT is not the solution for Italy Meninno and Guntram B. Wolff, 27 right now, Maria Demertzis, 16 March A European anti-money laundering The dynamics of data accumulation, February supervisor: From vision to legislation, Julia Anderson, 11 February A letter to Santa, the G7, Sybrand Joshua Kirschenbaum, Nicolas Véron, 24 Companies must move supply chains Brekelmans, Francesco Papadia, 17 January Europe Needs a DARPA, Dalia Marin, 14 further from China, Alicia García- March February Herrero, 28 February

74 GO TO TABLE OF CONTENTS Be bold now: coronavirus, the From G7 to G20: passing three hot Disease, like poverty, does not stay at The impact of COVID-19 restrictions Eurogroup and fiscal safety nets, potatoes, Alicia García-Herrero, 26 home, Yonas Adeto, Karim El Aynaoui, on individual mobilityThe impact of Guntram B. Wolff, 17 March March Thomas Gomart, Paolo Magri, Greg Mills, COVID-19 restrictions on individual Karin Von Hippel, Guntram B. Wolff, 8 mobility, Martin Kahanec, Lukáš Lafférs The case for a derivative market Europe needs a Covid-19 Recovery April and J. Scott Marcus, 5 May programme, Sybrand Brekelmans, Programme, Grégory Claeys, Simone Francesco Papadia, 18 March Tagliapietra, Guntram B. Wolff, 27 March COVID-19: The self-employed are Banking regulation in the Euro Area: hardest hit and least supported, Julia Germany is different, Nicolas Véron, 7 The European coronavirus response Is COVID-19 triggering a new emerging- Anderson, 8 April May must be a solution, not more stigma, market crisis? Marek Dabrowski and Rebecca Christie, 18 March Marta Domínguez-Jiménez, 30 March The perils of more debt, Maria Risking their health to pay the bills: Demertzis, Nicola Viegi, 10 April 100 million Europeans cannot afford What should be done to reduce euro- The fiscal consequences of the two months without income, Catarina area spreads? Grégory Claeys, 18 March pandemic, Zsolt Darvas, 30 March Monetisation: do not panic, Jean Pisani- Midões, 7 May Ferry, 14 April COVID-19 and broken Collusion: the How COVID-19 is laying bare inequality, The message in the ruling, Jean Pisani- oil price collapse is one more warning Enrico Bergamini, 31 March EU trade in medical goods: why self- Ferry, 12 May for Russia, Niclas Poitiers and Marta sufficiency is the wrong approach, Domínguez-Jiménez, 19 March Why are some stock markets in Asia less Sybrand Brekelmans and Niclas Poitiers, Navigieren auf Sicht ist für einen affected by coronavirus? Alicia García- 14 April grünen Wiederaufschwung nicht genug, Big data versus COVID-19: opportunities Herrero, Gary Ng, 31 March Guntram B. Wolff, 12 May and privacy challenges, J. Scott Marcus, Is the United States reneging on 23 March Will the economic strategy work? Jean international financial standards? Save markets to save the single market, Pisani-Ferry, 1 April Nicolas Véron, 16 April Maria Demertzis, 15 May Artificial intelligence in the fight against COVID-19, Georgios Petropoulos, 23 A temporary, common fiscal stimulus Depression, and not stagflation, could How will COVID-19 impact Brexit? The March to answer the mayhem of COVID-19, haunt China in 2020, Alicia García- collision of two giant policy imperatives, Francesco Papadia, 2 April Herrero, 17 April Rebecca Christie, 19 May Banks in pandemic turmoil, Nicolas Véron, 24 March A European approach to fund the EU debt as insurance against The European Union’s SURE plan to Coronavirus and the politics of a coronavirus cost is in the interest of catastrophic events in the euro area: safeguard employment: a small step common fiscal instrument, Mark all, Agnès Bénassy-Quéré, Arnoud the key questions and some answers, forward, Grégory Claeys, 20 May Hallerberg and Stavros Zenios, 25 March Boot, Elena Carletti, Jan Pieter Krahnen, Guntram B. Wolff, 22 April Miguel Otero-Iglesias, Lucrezia Reichlin, Reading tea leaves from China’s two What the EU should do and not do on Dirk Schoenmaker, Guntram B. Wolff, 6 Facts, not words: the EU role in the sessions: Large monetary and fiscal trade in medical equipment, André April de-confinement phase, Jean Pisani- stimulus and still no growth guarantee, Sapir, 25 March Ferry, 22 April Alicia García-Herrero, 25 May A green recovery, Dirk Schoenmaker, 6 Covid-19 crisis: electricity demand as a April COVID-19 is causing the collapse of An equity fund for a zombie-free and real-time indicator, Ben Mcwilliams and oil markets: when will they recover? EU-wide recovery, Julia Anderson, Georg Zachmann, 25 March Social distancing: did individuals act Simone Tagliapietra, 23 April Simone Tagliapietra and Guntram B. before governments? Catarina Midões, 7 Wolff, 26 May COVID-19 Fiscal response: What are April The revived centrality of the G20, Suman the options for the EU Council? Grégory Bery and Sybrand Brekelmans, 28 April COVID-19 and India: economic impact Claeys and Guntram B. Wolff, 26 March and response, Suman Bery, 27 May Building a Post-Pandemic World Will Not Be Easy, Jean Pisani-Ferry, 30 April An uncompromising budget, Zsolt Darvas, 29 May

75 GO TO TABLE OF CONTENTS The Independence of the Central Bank Europe’s China problem: investment China’s targeted corporate shopping Emerging market central banks and at Risk, Peter Bofinger, Martin Hellwig, screening and state aid, Marta spree to continue, especially in Europe, quantitative easing: high-risk advice, Michael Hüther, Monika Schnitzer, Domínguez-Jiménez and Niclas Poitiers, Alicia García-Herrero and Jianwei Xu, 17 Marek Dabrowski and Marta Domínguez- Moritz Schularick and Guntram B. Wolff, 2 July July Jiménez, 26 August 2 June EU recovery plans should fund the Boosting the resilience of Europe’s Europe has an artificial-intelligence Covid-19 and emerging economies: COVID-19 battles to come; not be used financial system in the coronavirus skills shortage, Julia Anderson, Paco What to expect in the short- and to nurse old wounds, Carlo Altomonte, crisis, Joost Bats, Aerdt Houben and Dirk Viry and Guntram B. Wolff, 27 August medium-term, Alicia García-Herrero, 3 Andrea Coali and Gianmarco Ottaviano, Schoenmaker, 17 July June 6 July An appropriate European Union New challenges to transfers of personal response to tensions in the Eastern Three-quarters of Next Generation EU Credible emerging market central data from the EU to the United States, J. Mediterranean, Michael Leigh, 28 payments will have to wait until 2023, banks could embrace quantitative Scott Marcus, 20 July August Zsolt Darvas, 10 June easing to fight COVID-19, Gianluca Benigno, Jon Hartley, Alicia García- The impact of the crisis on smaller Climate finance: an agenda for EU One last push is needed to improve the Herrero, Alessandro Rebucci and Elina companies and new mechanisms for coordination with emerging markets, Just Transition Fund proposal, Aliénor Ribakova, 6 July non-performing loans, Alexander Alexander Lehmann and Mark Plant, 9 Cameron, Grégory Claeys, Catarina Lehmann, 22 July September Midões and Simone Tagliapietra, 11 June The impacts of electrification on labour market outcomes: the case of Nigeria, Having the cake, but slicing it Without good governance, the EU Has COVID-19 dented the EU’s Giovanni Occhiali, Robert Kalcik, differently: how is the grand EU borrowing mechanism to boost the credibility in the Balkans?, Aliénor Enrico Nano and Simone Tagliapietra, 8 recovery fund allocated?, Zsolt Darvas, recovery could fail, Guntram B. Wolff, 15 Cameron and Michael Leigh, 15 June July 23 July September

The EU’s recovery fund proposals: crisis Ukraine: trade reorientation from Is the EU Council agreement aligned China’s ‘dual circulation’ plan is bad relief with massive redistribution, Zsolt Russia to the EU, Marek Dabrowski, with the Green Deal ambitions?, Grégory news for others’ exports, Alicia García- Darvas, 17 June Marta Domínguez-Jiménez and Georg Claeys and Simone Tagliapietra, 23 July Herrero, 15 September Zachmann, 13 July Lessons learned from the electricity Can households in the European Union Non-summit shows EU-China ties tracker, Ben McWilliams and Georg Government-guaranteed bank lending: make ends meet?, Maria Demertzis, at new low, Alicia García-Herrero, 16 Zachmann beyond the headline numbers, Julia Marta Domínguez-Jiménez and September Anderson, Francesco Papadia and Annamaria Lusardi, 24 July Toward a smart Indian response to Nicolas Véron, 14 July Unpacking President von der Leyen’s China, Suman Bery and Alicia García- The Challenges of the Post-Pandemic new climate plan, Simone Tagliapietra, Herrero, 23 June Debt relief for Sub-Saharan Africa: what Agenda, Jean Pisani-Ferry, 28 July 16 September now?, Suman Bery, Sybrand Brekelmans A tale of two pandemics, Michael Leigh, and Alicia García-Herrero, 14 July China Has an Unfair Advantage in the Private equity and Europe’s 23 June EU Market. What Can Be Done to Level re-capitalisation challenge, Alexander Can the global recovery be sustained the Playing Field?, Alicia García-Herrero Lehmann, 17 September Artificial intelligence’s great impact on even as the pandemic rages?, Uri and Guntram B. Wolff, 28 July low and middle-skilled jobs, Sybrand Dadush, 16 July Redefining European Union green Brekelmans and Georgios Petropoulos, Coronavirus recovery: invest rainy day bonds: from greening projects to 29 June The EU’s Opportunity to Turn Its savings to boost Hong Kong’s economy, greening policies, Georg Zachmann, 21 Markets Toward the Future, Rebecca Alicia García-Herrero, 6 August September The Wirecard debacle calls for a rethink Christie, 16 July of EU, not just German, financial Relocating production from China reporting supervision, Nicolas Véron, 30 to Central Europe? Not so fast!, Zsolt June Darvas, 20 August

76 GO TO TABLE OF CONTENTS Will European Union countries be able Understanding the world of tomorrow COVID-19 could leave another Thinking big: debt management to absorb and spend well the bloc’s through the great challenges of generation of young people on the considerations for the EU’s pandemic recovery funding?, Zsolt Darvas, 24 energy and climate change, Simone scrapheap, Guntram B. Wolff, 12 borrowing plan, Rebecca Christie, 9 September Tagliapietra, 26 October November December

Europe’s recovery gamble, Jean Pisani- Growth uncertainty, European Central RCEP might not stop reshuffling of Europe should promote a Climate Club Ferry, 25 September Bank intervention and the Italian debt, Asian value chains, Alicia García- after the US elections, Guntram B. Wolff, Andrea Consiglo and Stavros Zenios, 28 Herrero, 17 November 10 December Common eurobonds should become October Europe’s safe asset – but they don’t need The impact of the new Asian trade Brussels’ Digital Plan Leaves the Key to be green, Alexander Lehmann, 28 Politics, not economics, demands a mega-deal on the European Union, Uri Issue Unaddressed, Mario Mariniello, 14 September strengthened international role for the Dadush, 19 November December euro, Alicia García-Herrero and Federico Trump’s International Economic Steinberg, 28 October Targeted horizontal industrial policy: Are we out of the woods yet?, Maria Legacy, Jean Pisani-Ferry, 29 September green, regional and European, Enrico Demertzis, 14 December Europe’s banking union should learn Bergamini and Georg Zachmann, 23 Government-guaranteed bank the right lessons from the US, Anna November Economic recovery after COVID-19 lending six months on, Julia Anderson, Gelpern and Nicolas Véron, 29 October requires a clear vision for a healthy Francesco Papadia and Nicolas Véron, 29 A timid start for European Union data banking sector, Alexander Lehamann September Globalisation needs rebuilding, not just governance, Mario Mariniello, 26 and Reiner Martin, 16 December repair, Jean Pisani-Ferry, 29 October November L’IA a besoin d’humains qualifiés, Julia When and how should the European Anderson and Guntram B. Wolff, 5 China’s yuan nowhere near cracking US Europe is losing competitiveness Union conclude an investment October dollar hegemony, Alicia García-Herrero, in global value chains while China agreement with China?, Alicia García- 30 October surges, Alicia García-Herrero and David Herrero, 17 December The European climate law needs a Martínez Turégano, 27 November strong just transition fund, Simone Fifth Plenum maps China’s response The Biden promise, Maria Demertzis, 23 Tagliapietra, 6 October to a more hostile world, Alicia García- Grading the big pandemic test, Jean December Herrero, 3 November Pisani-Ferry, 27 November Eastern Germany’s New Growth Engine, Happy New Year?, Uri Dadush, 23 Dalia Martin, 7 October Job polarisation and the Great The scarring effect of COVID-19: youth December Recession, Sybrand Brekelmans and unemployment in Europe, Monika What should Europe expect from Georgios Petropoulos, 3 November Grzegorczyk and Guntram B. Wolff, 28 American trade policy after the November election?, Uri Dadush and Guntram B. 2021 can be a climate breakthrough, but Wolff, 8 October Biden and Europe need to talk, Simone How to minimise the impact of the Tagliapietra, 9 November coronavirus on the economy, Rebecca For the euro there is no shortcut to Christie, 2 December becoming a dominant currency, Grégory Not all foreign investment is Claeys and Guntram B. Wolff, 13 October welcome in Europe, Julia Anderson, 10 COVID-19 has widened the income gap November in Europe, Zsolt Darvas, 3 December The pandemic will structurally change the global economy more than we think, Next Generation EU payments across Can the gap in the Europe’s internal Alicia García-Herrero, 20 October countries and years, Zsolt Darvas, 12 market for banking services be November bridged?, Thomas Wieser, 7 December

A silver lining for ageing Asia, Alicia García-Herrero, 8 December

77 GO TO TABLE OF CONTENTS How can the EU prevent our economies Redefining Europe’s role after the A tale of two presidencies, 28 October Podcasts from shutting down? 18 March Covid-19 Pandemic, 25 June A European common tax space, 3 Banks and loan losses in the pandemic Financial fragility after #COVID19, 2 July November turmoil, 25 March Will Iran disrupt the global economy? 6 Apps without borders? How COVID-19 The big brother is back? 13 November January The macroeconomic policy response to apps show the limits of the EU digital the COVID-19 crisis, 31 March single market, 9 July Sizing up the world’s largest trade deal, Paying for the European Green Deal, 15 18 November January Mythbusters: debunking economic The benefits of the single market - the myths, 3 April case of last enlargement, 15 July Steering the boat towards an unknown Banking after Brexit, 16 January destination, 25 November Did the Eurogroup save the day? 10 April REOPENING EUROPE - Reopening AI in Europe: a conversation with Governance? 23 July The political economy of climate Google’s CEO, 20 January Exiting the great lockdown? 17 April transition, 2 December REOPENING EUROPE - Reopening The science of Brexit, 29 January Post-Council commentary, 24 April Borders? 29 July The geopolitics of money, 9 December

Industrial revolutions might not be as The impact of Covid-19 on emerging REOPENING EUROPE - Reopening The new EU digital regulations: fun as they look, 5 February markets with Barry Eichengreen, 29 Tourism? 5 August Explained, 16 December April The EU’s plan to catch up on artificial REOPENING EUROPE - Reopening The year that tested us all, 21 December intelligence, 14 February An analysis of the German Common Good? 12 August Constitutional Court ruling on the ECB Can hybrid threats disrupt the financial QE programme, 5 May REOPENING EUROPE - Reopening system? 17 February Future? 19 August China’s economy after COVID-19, 6 May From Brussels with love? Russia’s For a better, more sovereign Europe, 9 economic dependence on the EU, 19 Rebooting Europe: a framework for post September February COVID-19 economic recovery, 15 May The State of the Union going forward, 16 Can the European Green Deal kill the Singapore’s experience in dealing with September single market? 25 February COVID-19, 19 May Global Energy Fundamentals, 23 Will globalisation survive the China’s financial system: opening up September Coronavirus? 28 February and system risk, 22 May The Future of Globalisation, 30 Is the EU a superpower? 3 March COVID-19’s shock for emerging September economies, 29 May The European Green Deal rules, 5 March Without good governance EU recovery Will COVID-19 boost the euro as a global could fail, 7 October Coronavirus: the economic prognosis,6 currency? 5 June March The future of EU-UK relations (again!), Reopening: Europe, 11 June 13 October Where are the women in economics? 8 March One rule to ring them all? Europe’s Demography and globalisation: financial markets after Brexit, 19 June reversing trends, 21 October

78 GO TO TABLE OF CONTENTS Global competition and digital change: The Sound of Economics Live: The The Covid Crisis and European State Events How should we update European impact of Covid-19 on emerging Aid Rules: The Case for a Rational competition policy? 9 March markets with Barry Eichengreen, 28 Approach, 27 May April ONLINE ROUND TABLE: Future of the (Em)powering the recovery, 28 May Partnering with Europe on responsible EU-UK science cooperation, 17 March An alternative mobile operating AI: a conversation with Sundar Pichai, environment? 29 April The new EU budget: from COVID-19 CEO Google and Alphabet, 20 January European Industrial Policy in times remedies to green goals, 29 May of coronavirus with Thierry Breton, 19 Keeping trade open during and after The European AI policy: writing the first March Covid-19, 30 April Insuring for pandemic-related losses, in lines of the code, 21 January this crisis and future ones, 10 June The Sound of Economics Live: Banks Corporate credit in Europe: How bad is The state of health in the EU and the and Loan Losses in the Pandemic the outlook? 30 April Reopening: Brussels, 12 June digitalisation of health promotion, 22 Turmoil, 25 March January The Sound of Economics Live: An The role of the IMF in the post- The Sound of Economics Live: The analysis of the German Constitutional COVID-19 fiscal stabilization and A post-Brexit agreement for research macroeconomic policy response to the Court ruling on the ECB QE programme, recovery, 15 June and innovation, 28 January COVID-19 crisis, 31 March 5 May Reopening: Upper Rhine, 16 June Take a chance on me: Sweden considers Find my virus: Mobilising AI and big The Sound of Economics Live: China’s the Banking Union, 29 January data to fight COVID-19, 2 April economy after COVID-19, 6 May Biological threats and EU preparedness: How can we make the system more The future of think tanks and policy A European response to the coronavirus Tackling the rise of cybercrime amid resilient? 16 June advice, 30 January crisis with Paolo Gentiloni, 6 April COVID-19 with Ylva Johansson, 7 May The role of AI in healthcare, 23 June The quality and quantity of work in the The Sound of Economics Live: Can the What help is needed for the EU age of AI, 5 February Eurogroup save the day? 10 April neighbourhood to come through the COVID-19 in CEE and Europe’s COVID-19 crisis? 12 May neighbourhood: Do we need a Vienna Hybrid threats in the financial system, Look but don’t touch: (how) will social Initiative 3.0?, 24 June 12 February distancing work against COVID-19? 16 Democracy in the times of COVID-19 April with Vera Jourová, 14 May Redefining Europe’s role after the The future of taxation in the EU: tax COVID-19 pandemic, 25 June solidarity, 17 February The Sound of Economics Live: Exiting The Sound of Economics Live: the great lockdown? 17 April Rebooting Europe – a framework for The need for market-based finance after What next for the financial services post COVID-19 economic recovery, 15 COVID-19, 29 June industry? A conversation with Philippe The role of Cohesion policy in the fight May Donnet, Group CEO of Generali, 18 against COVID-19 with Elisa Ferreira, 21 Impact and additionality assessment in February April Rationale and limitations of SURE, 15 the time of COVID-19, 20 June May The resurrection of the European Technology, data, privacy, and the fight The euro area after COVID-19 – a Banking Union, 20 February against disease, 22 April The Sound of Economics Live: China’s conversation with Mario Centeno, 1 July financial system: opening up and system The Sound of Economics Live – The The Sound of Economics Live: Post- risk, 19 May An EU budget for Europe’s future with Brussels effect: How the European Council commentary, 24 April Johannes Hahn, 7 July Union rules the world, 3 March The Sound of Economics Live: Singapore’s experience in dealing with Tackling too-big-to-fail banks: have the On gains, losses, and trade-offs: the case COVID-19, 19 May reforms been effective?, 9 July of Border Carbon Adjustment, 5 March

79 GO TO TABLE OF CONTENTS Bruegel Annual Meetings, 1-3 Economic reform in Belarus: how What will the EU’s new migration policy September can we overcome old legacies and do differently?, 10 December dependency and what can Europe do?, The Sound of Economics Live: The 13 November Europe and India: Comparing State of the Union going forward, 16 Approaches to Global Economic September Green recovery spending: how, when Challenges, 15-16 December and where?, 19 November From playing field to player: Europe’s A green industrial policy for Europe, 17 strategic autonomy as our generation’s How to keep a competitive environment December goal, 28 September while engaging with non-market economies?, 19 November Health: Crisis governance for vital Evaluating the European Commission’s global public good, 17 December control of state aid in the banking Future of data economy: a conversation sector, 8 October with Thierry Breton and Maximilian Schrems, 24 November The Sound of Economics Live: The future of EU-UK relations (again!), 13 October Free movement of data: how to maintain necessary sharing among the How can the EU and Japan boost EU, UK and USA?, 25 November collaboration and multilateralism around the globe?, 22 October Digital Platforms, Regulation and Competition: What’s next for Europe?, Next Generation EU debt: how is it 26 November structured?, 22 October The state strikes back, 1 December The future of EU-US trade relations after the US election, 26 October The forthcoming reform of EU Anti- Money Laundering Policy, 2 December Completing the banking union in the age of Next Generation EU, 27 October What’s the hype all about: the future of social media, 7 December Disrupted medical supply chains: symptoms, side-effects and treatment?, Innovative approaches to monitoring 29 October the risks and impact of COVID-19, 8 December Paris Reinforce workshop on India’s mitigation pathways, 3 November Paris Reinforce: Central Asia and Caspian region Stakeholder Discussion Conference on European Economic Series, 9 December Integration, 5 November The Silencing effect: digital gender- Can Europe build a Capital Markets based violence against women in Union without a strong European leadership, 9 December markets supervisor?, 9 November Towards post-pandemic green Reforming the ETS: what to make of multilateralism?, 10 December revenues?, 12 November

80 Bruegel is the independent European think tank that specialises in economics. Established in 2005, Bruegel’s mission is to improve the quality of economic policy with open and fact-based research, analysis and debate, while adhering to principles of impartiality, openness and excellence.

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