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Coronavirus Recovery Plan: Test of Cohesion in the EU?

Author

Listed:
  • Florian Dorn
  • Clemens Fuest
  • Friedrich Heinemann
  • Margit Schratzenstaller
  • Michael Thöne
  • Peter Becker
  • Christian Waldhoff
  • Christian Neumeier
  • Katarina Barley
  • Daniel Freund
  • Florian Neumeier

Abstract

The coronavirus pandemic is leaving deep marks on the economy and society. In view of the economic recession, the EU has launched the largest aid program in its history. The NextGenerationEU package – a EUR 750 billion fund – aims to cushion the economic impact of the coronavirus crisis and support economic recovery. The initiative includes grants and credit facilities for member states financed by EU bonds. Can the program stabilize the economies of EU countries and strengthen social cohesion within the EU? Or does it undermine the financial discipline of EU countries and create the conditions for a transfer union? What opportunities and risks for Europe’s future lie in the Recovery Plan for Europe?

Suggested Citation

  • Florian Dorn & Clemens Fuest & Friedrich Heinemann & Margit Schratzenstaller & Michael Thöne & Peter Becker & Christian Waldhoff & Christian Neumeier & Katarina Barley & Daniel Freund & Florian Neumei, 2021. "Coronavirus Recovery Plan: Test of Cohesion in the EU?," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 74(02), pages 03-30, February.
    • Handle: RePEc:ces:ifosdt:v:74:y:2021:i:02:p:03-30
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    References listed on IDEAS

    as
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