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Economic principles for European rearmament

Author

Listed:
  • Quinet, Alain
  • Jaravel, Xavier
  • Schularick, Moritz
  • Zettelmeyer, Jeromin

Abstract

• We present five guiding principles for European rearmament. Europe's rearmament should be (i) innovation-driven to support European technological capabilities, competitiveness, and productivity growth; (ii) aim for a rapid increase in production capacities for a high-low mix of military capabilities; (iii) rely on quantitative goalpost for R&D expenditures and an unmanned autonomous systems; (iv) build on independent European capabilities alongside NATO to reduce dependence on increasingly unreliable American assets; (v) substantially increase military support for Ukraine as the cost-efficient way towards European security in the short-run. • The central steps are the creation of a European defense single market, the reduction of national fragmentation, and the development of joint European defense capabilities.

Suggested Citation

  • Quinet, Alain & Jaravel, Xavier & Schularick, Moritz & Zettelmeyer, Jeromin, 2025. "Economic principles for European rearmament," Kiel Policy Briefs 195, Kiel Institute for the World Economy (IfW Kiel).
    • Handle: RePEc:zbw:ifwkpb:328252
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    File URL: https://www.econstor.eu/bitstream/10419/328252/1/1937971562.pdf
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    References listed on IDEAS

    as
    1. Wolff Guntram B. & Steinbach Armin & Zettelmeyer Jeromin, 2025. "The Governance and Funding of European Rearmament," Intereconomics: Review of European Economic Policy, Sciendo, vol. 60(4), pages 210-214.
    2. Enders Thomas & Fürstenberg Jeannette zu & Obermann René & Schularick Moritz, 2025. "Abhängigkeit oder Selbstbehauptung: Deutschlands und Europas Rolle im 21. Jahrhundert entscheidet sich jetzt," Wirtschaftsdienst, Sciendo, vol. 105(4), pages 261-266.
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    Cited by:

    1. Jean, Sebastian & Méjean, Isabelle & Schularick, Moritz, 2025. "Guidelines for a European economic policy towards China," Kiel Policy Briefs 197, Kiel Institute for the World Economy (IfW Kiel).

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