Research
Qualified workers | Labour Market | Elderly workforce | Highly skilled labour | Skills shortage
From 2010 onwards, there has been an emerging trend of companies offering increased support to older employees.

When companies struggle to fill their vacancies with skilled workers, this can have a considerable negative impact on overall economic development. The economic consequences of such skills shortages are largely dependent on how the companies affected choose to react. According to the results of a study carried out by the Mannheim-based Centre for European Economic Research (ZEW), on behalf of the German Federal Ministry for Economic Affairs and Energy, the vast majority of firms in Germany are still able to fill all of the skilled positions they need. There are, however, some firms finding it increasingly difficult to recruit enough skilled workers.

Research
Japan | Australia | Globalization | United States | World economy | Economic crisis | Europe
An increase in inequality remains visible in the US for years after the crisis.

One of the central goals of the G20 is to improve the resilience of its members against the negative effects of economic crises. A study conducted by the Mannheim-based Centre for European Economic Research (ZEW), in collaboration with the Bertelsmann Stiftung, compared how eight OECD countries have coped with crisis-related slumps in exports since the 1970s. While Germany, Japan and Australia proved to be particularly robust countries which cope with export-sector crises comparatively well, France and Italy are particularly vulnerable in this respect. The United States are a case apart as US GDP tends to stabilise fairly quickly, while inequality increases in the aftermath of a crisis.

China Economic Barometer
ZEW-PwC Indicator of Economic Sentiment China | China | Greater China | Short-term forecast | Business survey | Business cycle research

Executives at German companies operating in China have given an overwhelmingly positive assessment of both the current economic situation and future economic development in China. In the most recently conducted survey, the indicator for expected economic development over the next twelve months jumped from minus 3.5 points in the second quarter to 17.1 points. This is the highest result since the fourth quarter of 2013. These are the findings of the current ZEW-PwC China Economic Barometer, a survey carried out by the Centre for European Economic Research (ZEW), Mannheim, together with the accounting and consulting firm PricewaterhouseCoopers (PwC).

Dates and News
Europe | Government department | Baden-Württemberg | Digitisation
Minister Thomas Strobl (centre) is greeted by ZEW President Professor Achim Wambach (left) and ZEW Director of Business and Administration Thomas Kohl (right).

Digitalisation and its political and social ramifications as well as potential reform measures to ensure increased cooperation in Europe were the main topics up for discussion during a recent fact-finding visit from the Deputy Minister President and Minister of the Interior, Digitalisation and Migration for Baden-Württemberg, Thomas Strobl, to the Centre for European Economic Research (ZEW) in Mannheim. The minister was greeted by ZEW President Professor Achim Wambach as well as the institute’s Director of Business and Administration, Thomas Kohl, who both gave him an overview of the research being conducted at ZEW as well as the institute’s achievements in the field of policy advice and in supporting the careers of talented young researchers.

Research
Agricultural subsidy | Common agricultural policy | EU agricultural market regulations
The Bertelsmann-ZEW study finds that the costs of agricultural subsidies from EU funds outweigh the potential benefits.

Subsidies for European farmers from EU resources should be reduced after 2020. A total of more than 400 billion euros – over one third of the EU budget – is allocated to the agricultural sector within the current Multiannual Financial Framework. This allocation of the budget is no longer adequate to meet current challenges. Instead, the EU should devote more resources to new policy areas which actually provide European added value, such as defence, migration and foreign policy. These are the results of a study carried out by the Centre for European Economic Research (ZEW), Mannheim, at the initiative and on behalf of the Bertelsmann Foundation.

China Economic Panel
China Economic Panel | Business survey | Greater China | Short-term forecast | Cyclical indicator | China
In June, the CEP Indicator has increased substantially and is now at 9.7 points.

According to the current survey for June (6–21 June 2017), the economic outlook for China has once again improved significantly, rising by 9.8 points compared to the previous month. The CEP Indicator, which reflects the expectations of international financial market experts regarding China’s macroeconomic development over the coming twelve months, is currently at 9.7 points (May 2017: minus 0.1 points), thus once again rising above the long-term average of 5.3 points.

Research
| ZEW Financial Market Survey | United States | Financial market experts
Instead of benefiting the US economy, Donald Trump’s presidency seems to have a positive impact on growth in the EU.

Instead of boosting economic growth in the US, Donald Trump’s presidency rather seems to be having a positive impact on growth in the European Union. This is the result of a special question in the ZEW Financial Market Survey, a survey conducted regularly by the Centre for European Economic Research (ZEW) in Mannheim. According to the results, 32 per cent of the respondents expect Trump’s presidency to have a positive impact on economic growth in the EU.

Comment
Parliament | France | Election | Elections
Victory for French President Emmanuel Macron: His party “La République En Marche!” won a strong majority in the parliamentary elections.

With his party “La République En Marche!”, French President Emmanuel Macron secured the parliament’s backing, emerging as a clear winner in the French parliamentary elections. Professor Achim Wambach, President of the Centre for European Economic Research (ZEW) in Mannheim, comments:

Comment
Interest Rate | United States | Interest rate policy | Federal Reserve Bank

The Federal Reserve has raised the Federal Funds Rate for the second time this year, increasing the interest rate level to a range between 1.0 and 1.25 per cent. The Fed is also planning to initiate a gradual reduction of its $4.5 trillion balance sheet before the end of the year. Professor Friedrich Heinemann, head of the Research Department “Corporate Taxation and Public Finance” at the Centre for European Economic Research (ZEW) in Mannheim, offers his view on the Fed’s actions:

Events
Student competition | ZEW | Germany | Pupils | YES! - Young Economic Summit
YES! is a joint project of the German National Library of Economics (ZBW) – Leibniz Information Centre for Economics and the Joachim Herz Stiftung.

The qualification round for the Germany-wide high school competition Young Economic Summit (YES!) will be held on 23 June 2017 at the Centre for European Economic Research (ZEW) in Mannheim. A total of 100 high school students from Baden-Württemberg, Hesse, Rhineland-Palatinate and Saarland will take part in the event. They will present their solutions for global economic issues and discuss them with expert economists. The winning teams will go forward to the YES! final in Kiel on 28 and 29 September 2017. The winners will be decided by the participants themselves. The qualification round will be opened by ZEW President Professor Achim Wambach.

Contact

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