Shifts in global economic dominance are by nature tectonic and never precipitated by single events. The Great Recession of 2008–09, however, has presented the European Union, its common currency the euro, and the United States with new global challenges. The transatlantic partnership has dominated the world economy since the early 20th century and, based upon US and European values and interests, has designed and sustained all its principal global political and economic institutions.
But countries outside the European Union and United States now account for about half of the world economy, and in the aftermath of the Great Recession their share is growing rapidly. Hence their increasing role and concomitant demands for greater influence over global economic governance pose a series of challenges and opportunities to the European Union and the United States, as illustrated by the eclipse of the G-8 by the G-20.
The contributions in this volume by subject area experts from the Peterson Institute for International Economics and Bruegel ponder how or whether the rise of outside actors of potentially equal, or even greater, economic weight will invariably force a rethinking of not only how the European Union and the United States should conduct policy externally towards the new rising economic poles, but also of the substantive contents of the EU-US bilateral economic and political relationship.
Selected chapters and sections are provided for preview only.
Introduction: The Transatlantic Relationship in an Era of Growing Economic Multipolarity
Jacob Funk Kirkegaard, Nicolas Véron, and Guntram B. Wolff
I. 2010 Policy Conference, Washington, DC
1. Postcrisis EU Governance
2. From Convoy to Parting Ways? Postcrisis Divergence Between European and US Macroeconomic Policies
Jean Pisani-Ferry and Adam S. Posen
3. US Climate Change Policy: Implementing the Copenhagen Accord and Beyond
William R. Cline
4. EU Climate Change Policy: Can It Mobilize Innovations for Clean Energy Technologies?
5. The Transatlantic Relationship in an Era of Growing Economic Multipolarity
6. Too Big to Fail: The Transatlantic Debate
Morris Goldstein and Nicolas Véron
7. Reform of the Global Financial Architecture
Garry J. Schinasi and Edwin M. Truman
II. 2011 Policy Conference, Berlin
8. Transatlantic Relations and Globalization in Time of Crisis?
9. The International Monetary System at a Crossroads: Opportunities and Risks for the Euro
Ignazio Angeloni and André Sapir
10. European Monetary Unification: Precocious or Premature?
Joseph E. Gagnon
11. Europe's Growth Emergency
Zsolt Darvas and Jean Pisani-Ferry
12. Challenges to Economic Recovery in the United States and Europe
13. The Euro Area Crisis and Future Global Implications
14. The Debt Challenge in Europe
Alan Ahearne and Guntram B. Wolff
15. General Government Net Indebtedness: Is There a Role for the Asset Side?
Jacob Funk Kirkegaard
About the Contributors