In this episode, Vincent dives into Mario Draghi’s long-awaited report: “The Future of European Competitiveness’. 

Draghi argues that Europe’s productivity and competitiveness are seriously in danger, and he urges Europe to heavily invest in its high-tech sectors. Since I am no economist, I wanted to explore the basics: How do we measure productivity or competitiveness on a continental or global scale? What can policymakers do to increase it? To help me with these questions, I invited Sotiris Georgousis, an economist from the European University Institute in Florence. 

Sotiris quickly shifted the focus from Europe as a single, unified entity to highlighting the disparities within the European Monetary Union (EMU). Europe doesn’t have a common fiscal policy or a fully integrated market, and these challenges are leading to growing disparities between member states. Some parts might get technical, but I hope there’s something for everyone in the discussion. 

Meet the Guest 
Sotiris Georgousis, originally from Greece, shares how his personal experience during the economic crisis inspired him to pursue a career in economics. He holds a Bachelor's degree from Athens and a Master's degree from Bocconi University in Milan. Currently he is a PhD-researcher at the European University Institute in Florence, at the Economic Department. He has visited Universitat Pompeu Fabra (UPF), Sciences PO and the European Central Bank (ECB). He obtained his Bachelor's degree in Athens and his Master's degree in Economics and Social Sciences from Bocconi University in Milan. 

You can read more about his research, including research on rents in the digital economy, the effect of Monetary Policy on firm investment within the Eurozone on his personal website. 

Recommendations of the Week
Of course, the Draghi Report is a must-read. It is full of sharp analyses across almost all relevant sectors, and is spectacularly well-written. Beyond the report, Sotiris recommends two books: 

• ‘The Profit Paradox’, written by Jan Eeckhout (Professor at Pompeu Fabra University in Barcelona ). I paraphrase from his website: “wages are stagnant and prices are rising, so that everything from a bottle of beer to a prosthetic hip costs more. This is due to a small number of companies exploiting an unbridled rise in market power—the ability to set prices higher than they could in a properly functioning competitive marketplace” 
• ‘Why Nations Fail’  (by economists Daron Acemoglu and James A. Robinson) is a modern classic, many different disciplines, including my own (International Development & History). The fact that the book has its own (extensive) Wikipedia-page tells you something about the impact it has had, and still has.