We must be doing something right in Spain, Janah Ganesh FT Opinion version. Two teasers: "The trophies don’t capture Spain’s intellectual hold on the sport." "On several fronts, Spain is the demoted European power from which Britain could learn most" ft.com/content/8368cf…

Eric is right here

Listen to Soumaya Keynes and Adam Posen, always well worth your time

El desempleo sigue sorprendiendo a la baja, en un contexto de moderación salarial - evidencia en tiempo real de que la tasa de desempleo de equilibro ha caído Juan F Jimeno

And during that period, debt/gdp has declined, maybe a reason for the lackluster growth performance? Maybe Germans don’t like savings and fiscal discipline, and may instead prefer investment and growth? cc Robin Brooks

Cuando esto sucede, el error es la infraestimacion del crecimiento potential: “este relato detallado ilustra que los analistas del sector privado y las instituciones nacionales e internacionales llevan dos años equivocándose a la baja con el crecimiento de la economía española”

La notable diferencia en la evolución del PIB entre Espana y Alemania post COVID, a pesar de la ventaja alemana en el diferencial de tipos de interés: ventaja española en estructura económica, políticas económicas y, si, también reformas.

Sería muy útil que think tanks como Fedea, ademas de criticar el acuerdo, contribuyeran con criterios y opciones constructivas de reforma, federales y confederales, del sistema actual de federalismo fiscal, que parece no satisfacer a nadie.

A weak Europe is bad for global stability. This is what Citadel's Angel Ubide tells Sonali Basak on Next Big Risk. bloomberg.com/news/videos/20…

Great interview with Angel Ubide on importance of Europe coming together to keep global projects on the table.

Hilo para el debate. Falta solo un punto: el anclaje de las expectativas de inflación es clave para el aplanamiento de la curva. Por tanto no se puede determinar que las subidas de tipos no hayan sido necesarias. La clave es ahora anclar la inflación en el 2, no por debajo.

Great chart Martin Chorzempa 马永哲 @piie - well designed subsidies work, incentives/regulation aren't enough. The EU must learn from this and put its money - yes, including raising it via joint issuance - where its objectives are. The tech/climate/natsec race can't be won on the cheap.

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This shift in emphasis away from savings and towards investments is very good news if it happens, so that the EU can catch up with the US and China. But an "investment commission" must also be a "borrowing commission" to fund it. Will it be?

I spoke with Sonali Basak a couple of weeks ago about the risks arising from Europe's lack of focus on investment and scale to face the tech, nat sec and climate challenges and the growing competition from US and China Bloomberg

A key sentence in European Central Bank Philip Lane's speech: "the “re-anchoring from below” of medium-term inflation expectations and the associated pricing-out of low-for-long rate scenarios". Inflation was too low pre-Covid, policy must ensure it doesn't happen again. ecb.europa.eu/press/key/date…

Q for Isabel Schnabel 🇪🇺🇺🇦: the baseline scenario projects 2% inflation & the scenario analysis only has upside risks. Does this mean that undershooting 2% is a more acceptable outcome than overshooting 2%? If so, why, since inflation expectations are anchored at 2%? Danke shon!

This book, edited by Adam Posen and Jean Pisani-Ferry is a must read on the macroeconomics of climate change. Energy/climate policy is macro policy, and it will influence macro outcomes for years to come. Peterson Institute

A perfect example of German reaction: avoid the hard questions in Draghi's report. The issue is the investment needs to meet the EU objectives, not the funding. All Draghi says is it's unlikely these investment needs will be met without new sources of funding. Prove him wrong.

Esta seria una reforma muy positiva para España, reducir de manera drástica las barreras al mercado interior elpais.com/economia/2024-…