Understanding local government debt in China

In this episode of the Sound of Economics, we look at Germany’s budget outlook under new Chancellor Friedric Merz and whether much-needed reforms to the so-called debt brake put Berlin on a collision course with Brussels. Host Rebecca Christie is joined by Bruegel's director, Jeromin Zettelmeyer, and Bruegel non-resident fellow, Armin Steinbach, to discuss the legal and economic implications. How can the EU encourage Germany to spend more on defence and security without unraveling the new fiscal rules? Does the EU need to redo its debt safeguards again? Relevant research: Germany's fiscal rules dilemma, Bruegel Analysis, Armin Steinbach and Jeromin Zettelmeyer, 24 April 2025 Will EU fiscal rules prevent Germany from using its new national borrowing space? Bruegel newsletter, Armin Steinbach, 28 April 2025

*We released the original podcast on 23 April 2025. As the blackout in Iberian Peninsula happened soon after, we decided to record an update on what happened there. In this episode of The Sound of Economics, Rebecca Christie talks to Bruegel energy experts Conall Heussaff and Georg Zachmann about the urgent need to upgrade and connect Europe's electricity grids. They discuss their recent paper outlining the challenges, opportunities, and necessary policy responses to modernise Europe's energy infrastructure. Relevant publications: Heussaff, C. and G. Zachmann (2025) ‘Upgrading Europe’s electricity grid is about more than just money’, Policy Brief 04/2025, Bruegel McWilliams, B., S. Tagliapietra and G. Zachmann (2025) ‘Europe’s energy information problem’, Policy Brief 07/2025, Bruegel

In this episode of The Sound of Economics, Yuyun Zhan sits down with Bruegel’s own Alicia García-Herrero and Finbarr Bermingham, EU correspondent of South China Morning Post to unpack the latest developments in the US-China trade war and what they mean for the European Union. With Trump’s volatile approach to tariffs, China’s charm offensive toward Brussels, and the EU’s own strategic uncertainty, the conversation dives deep into the geopolitical triangulation reshaping global trade order. Can the EU defend its interests and values without being drawn into binary alignments? This episode is part of the ZhōngHuá Mundus series of The Sound of Economics. ZhōngHuá Mundus is a newsletter by Bruegel, bringing you monthly analysis of China in the world, as seen from Europe. Sign up now to receive it in your mailbox!

In this extra episode of The Sound of Economics, Bruegel’s Bertin Martens and Fiona M. Scott Morton explain the EU’s first fines under the Digital Markets Act, in conversation with Rebecca Christie. Apple and Meta were hit with the penalties on 23 April 2025 in what will be a test case for the European Commission’s new mandate to rein in digital gatekeepers. This podcast walks through why the fines were assessed, whether they will be big enough to change the companies’ behaviour, and how the EU must manage its regulatory agenda in the middle of a trade war. This podcast was recorded on 25 April 2025. Relevant research: Scott Morton, F. (2024) ‘It’s time for the European Union to rethink personal social networking’, Policy Brief 34/2024, Bruegel Bertin Martens, ‘EU targeting of digital services in tariff retaliation would present challenges’, Bruegel First Glance, 11 April 2025 Scott Morton, F. (2024) ‘Entry and competition in mobile app stores’, Working Paper 03/2024, Bruegel ‘The state of play on global tax’, The Sound of Economics, Bruegel podcast with Rebecca Christie, Benjamin Angel and Pascal Saint-Amans, 6 December 2023 * Music is excerpted from Lake Danse by Roy Hargrove, courtesy of Red Brick Songs and Universal Music

The Western Balkans are often seen as Europe’s periphery, but they are in fact embedded within the continent’s history and future ambitions. Despite close economic ties with the EU, these six countries—Albania, Bosnia and Herzegovina, Kosovo, Montenegro, North Macedonia, and Serbia—remain outside the Union, navigating a complex path toward accession. In this episode of The Sound of Economics, Rebecca Christie is joined by Simonida Kacarska, Nina Vujanović and Anna Fiore to explore the economic realities, trade dynamics, and political hurdles facing the region. How integrated are these economies already? What barriers remain, and can the new EU growth plan bring about meaningful progress? This podcast was produced with financial support from The Open Society Foundations Western Balkans. 

In this episode of The Sound of Economics, we mark a decade since the Greek debt crisis, reflecting past hardships and the progress made and the challenges that lie ahead. Host Rebecca Christie is joined by George Papaconstantinou, former Greek Minister of Finance, and Eleni Varvitsioti, journalist and expert on European affairs. Together, they explore Greece’s recovery journey, from the turbulence of the crisis to its recovery and economic growth. They discuss the cautious optimism in Greece today and the resilience of the Greek people, as well as continuing fiscal and political challenges.  The episode mentions the following books:  ‘Game Over: The Inside Story of the Greek Crisis’ by George Papaconstantinou  ‘The Last Bluff: How Greece came face-to-face with financial catastrophe & the secret plan for its euro exit’ by Viktoria Dendrinou and Eleni Varvitsioti  Safeguarding the Euro in Times of Crisis: The Inside Story of the ESM, by the European Stability Mechanism, lead author Rebecca Christie

How should Europe respond to the new US administration’s aggressive rhetoric on trade? Bruegel’s Uri Dadush, Niclas Poitiers and Ignacio Garcia Bercero join a conversation with Rebecca Christie for a special live edition of The Sound of Economics podcast.

Russia’s invasion of Ukraine has forced the EU to reassess its ties with both Moscow and Beijing. As the EU navigates its dependencies on Russian energy, Chinese markets, and US security, how is its long-term strategy evolving? Can Europe maintain a unified stance on China? And what does this mean for global power dynamics? In this episode of The Sound of Economics, Yuyun Zhan is joined by Alicia García-Herrero, Elina Ribakova, and Ivana Karásková to discuss the shifting landscape of China-EU relations in the wake of the war in Ukraine. Check out Bruegel's research on China and on defence. Ivana recently founded The Women Insight on China (WiCH), a new initiative aimed at addressing the underrepresentation of women in the field of China studies across Europe. Alicia is a Co-chair for Spain. This episode is part of the ZhōngHuá Mundus series of The Sound of Economics. ZhōngHuá Mundus is a newsletter by Bruegel, bringing you monthly analysis of China in the world, as seen from Europe. Sign up now to receive it in your mailbox!

In this episode of The Sound of Economics, host Rebecca Christie discusses Ireland's economy with Eamon Gilmore, former Foreign Minister, and Patrick Honohan, former Governor of the Irish Central Bank. They explore Ireland’s recovery from the global financial crisis and current political outlook, alongside issues such as public debt, low interest rates, and rebuilding national confidence. The conversation also covers support for Ukraine, the Irish housing crisis, Ireland’s role in Europe, and evolving relations with the UK in the aftermath of Brexit and the peace process. The episode concludes with the speakers sharing their hopes and concerns for the country’s future.    The episode mentions the book “Europe and the Transformation of the Irish Economy (Elements in Economics of European Integration)” by Patric Honohan and John FitzGerald. Music: McFarley’s Reel, after the playing of John Doherty. 

In this episode of The Sound of Economics, Rebecca Christie is joined by Jeromin Zettelmeyer and Peter Praet to discuss the economic outlook for Europe and the United States, the impact of prospective tariffs, and the role of monetary and fiscal policies. The conversation touches on the impact of geopolitical uncertainties, structural reforms, and the ongoing debate around defence spending in Europe. *This podcast was recorded in mid February 2025.