Archive for category Economic and financial crisis

National champions in times of crisis

Política de Competencia, Política Industrial y Campeones Nacionales en Tiempos de Crisis (Competition Policy, Industrial Policy and National Champions in Times of Crisis), by Juan Delgado and Eva Ferraz

Published in El Derecho de la Competencia en Tiempos de Crisis (S. Martínez Lage and A. Petitbò, eds). Fundación Rafael del Pino y Marcial Pons. Colección Derecho no 34, 2010

The economic crisis has revived the debate on public policies to support the so-called “national champions”. There are multiple examples in which different governments have been accused of protecting domestic firms against a variety of potential risks. This chapter reviews the (in)efficiency of various public interventions aiming to protect specific firms and industries. The chapter advocates for a pro-competitive industrial policy compatible with antitrust rules.


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What have we learnt from the real state bubble?

Lecciones de la burbuja

La Vanguardia

In a monetary union, governments have limited instruments to address real state bubbles. A common monetary policy does not respond to national bubbles. National governments must rely on bank regulation and fiscal policy.

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Pricking bubbles

How to prick local housing bubbles in a monetary union: regulation and countercyclical taxes, by Alan Ahearne, Juan Delgado and Jakob von Weizsäcker.

VOX. Research-based policy analysis and commentary from leading economists

Housing booms associated with credit booms are particularly damaging, but the ECB’s one-size-fits-all monetary policy is useless in pricking national bubbles. Euro area governments should use national banking regulations to dampen national bubbles and countercyclical housing taxes to prick bubbles that arise.

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The end of the housing bubble

A tail of two countries, by Alan Ahearne, Juan Delgado and Jakob von Weizsäcker.

Bruegel Policy Brief. Issue 2008/04, 2008.

pb200804-cover_publication_main-housingThe outlook for two of the euro area’s best performing economies to date, Ireland and Spain, has darkened dramatically recently amid severe downturns in housing markets. What do these countries’ experiences tell us about the functioning of EMU? Bruegel’s new policy brief ‘A Tail of Two Countries’ examines the behaviour of housing markets in Ireland and Spain during EMU and considers what features and policies may have facilitated the overheating of housing markets in these countries. It also discusses the role of large migration flows in spurring growth in housing.

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What if the bubble bursts?

Y si estalla la burbuja, ¿qué hacemos? (What if the bubble bursts?), by Alan Ahearne and Juan Delgado.

Cinco Días

There is no agreement among central banks on how to respond to the escalation of housing prices. The authors analyze the relation between monetary policy and the housing market. They foresee that the ECB is unlikely to respond to a possible burst of the housing bubble in Spain.

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