Press releases

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Economic Researchers Advocate Greater Energy Cooperation in Europe

Economic researchers from various countries have called on the EU to view the energy crisis following the Russian attack on Ukraine as a wake-up call and to strive for better cooperation in Europe. “Not only can switching to non-fossil energy sources reduce strategic dependency: if done correctly, it can also lower electricity prices and help the EU and its member states achieve their climate targets.

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More Poverty Risk Leads to More Votes for Right-Wing Extremists

Right-wing extremists gain votes in regions where the risk of poverty is growing, according to recent ifo Institute calculations. In Germany, if the proportion of households below the poverty line increases by 1 percentage point, the share of votes for far-right parties in federal elections increases by 0.5 percentage points. “This is statistically and politically significant,” says ifo researcher Florian Dorn. Between 1998 and 2017, the proportion of poorer households rose by 1.9 percentage points. The poverty line is defined as 60 percent of the median income.  

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The EU Should Consider the Economic Impact of Climate Action

The ifo Institute, EconPol Europe, and the European Roundtable on Climate Change and Sustainable Transition (ERCST) have urged the future European Commission to consider climate action also as a matter of economic, industrial, and competition policy. “This is due to the cost implications of CO2 restrictions as well as the economic opportunities created by emerging industries,” they wrote in a report published in Brussels on Friday.

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Russia Circumventing Sanctions via CIS Countries and Turkey

Russia is circumventing sanctions to obtain Western goods primarily via the CIS countries in Central Asia and Turkey, according to a study by the ifo Institute on trade data for sanctioned goods. The study examined goods that are critical to the Russian economy or important for the military industry, such as vehicles and ball and roller bearings.

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ifo President Fuest: “EU Should Provide for Geopolitical Risks without Sacrificing the Benefits of International Trade”

President of the ifo Institute Clemens Fuest advocates greater strategic independence for the EU. “Since Germany’s and Europe’s prosperity is based firmly on international trade, it is particularly important here to develop the right geoeconomic strategy for potential crises,” he said at the Munich Security Conference.

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