World

Its rescue fund will bail out the poorer states. It will fuel a rapid economic recovery. And perhaps most of all, it will finally turn the European Union into a fiscal union, raising its own money, and distributing it based on which region needs its most. The EU’s new €750 billion (£680 billion) rescue fund has been hailed as a huge step forward for the Union. Perhaps it will be. There is a problem, however. Some analysts are starting to argue the new shiny new EU bonds should be rated as junk – or something close to it. On the surface, you might think an EU bond should be completely solid.

He doesn’t know much about how to control a virus. Nor does he show much sign of being able to run an administration with any semblance of competence. But there is one thing that Donald Trump does know how to do. Hit a raw nerve. And in his decision to attack Germany, and its increasingly destabilising role in world affairs, he looks to have done that again. The president’s latest campaign speech in Tulsa mainly attracted attention for its reckless approach to Covid-19 and its inflammatory racial remarks on the Chinese origins of what, with his typical playground humour, he referred to as the ‘kung flu’.  But Trump also took

Brits are still waiting for their coronavirus track and trace app. Meanwhile, Germany’s version is up and running. But although Germany appears to have beaten Britain again when it comes to tackling the threat of coronavirus, not all Germans are happy with the new app. The app’s launch coincides with the further easing of lockdown restrictions in Germany, so its success is critical to Merkel’s hopes of keeping her country’s coronavirus death toll relatively low in comparison with elsewhere. It operates by issuing a warning to those who have come into contact with someone who subsequently tests positive for the virus. If a person spent more than 15 minutes within two

Anders Tegnell is either a hero or villain, depending on whether you think Sweden’s approach to Covid-19 has saved the economy and respected individual freedom or whether you think it has needlessly cost lives. But is the country’s refusal to impose a lockdown a result of his wisdom and judgement – or was the Swedish government tied down by its constitution? The latter is the conclusion of Lars Jonung, an economist at Lund University, who has published a paper explaining why he thinks that Prime Minister Stefan Löfven and his government did not have the option of following other European countries along the route of lockdown. He cites three relevant

The car workers would pay a heavy price. The City would be muscled out of crucial markets. The Treasury would be sinking in red ink as tax receipts went into freefall, and farmers would lose their subsidies. During the long, painful debate about the UK’s departure from the EU there were lots of different groups which, we heard repeatedly, would pay a price for that. But now that we are out, we are finally getting a definitive answer. There will be a price to be paid. But it will be German tax-payers who will be picking up the tab, not anyone in Britain. And that could hardly come at a

America can often look, to outsiders, like a country of two warring tribes: the Trumpish anti-PC brigade vs the woke Twitterati. Such divisions certainly exist. Our broadcasters are party political and partisanship is deeply entrenched in America’s two-party system. It’s tempting to see the scenes in recent weeks as the continuation of tribal warfare by other means —but the truth is far more complicated. America has the most militarised and aggressive police force in the western world. The country’s legacy of rapid expansion, combined with vast geography and open landscapes, engendered a sense of lawlessness early on — and a need to be protected from it. This has led to