European Union

This paper briefly describes how international trade has been transformed in recent years and what has determined its increasing politicisation. It argues that the two main pillars of the global trading system—international trade regulation and the dispute settlement mechanism—are being put under strain due to various developments.

The whole system is being challenged by opposing tendencies: on the one hand, the multiplication of global risks and opportunities demands common action and multilateral rule-making; on the other, we are witnessing increasing fragmentation and regionalisation. The realistic objective that can now be set for the future development of world trade is the preservation of as much as possible of the present system and its improvement in specific areas.

This paper sets out ways to reform European education systems to ensure that they equip Europeans with a forward-looking set of key competences that prepares them for the workplace, but also helps to create a European identity. It argues that education and training—enhanced through mobility, transnational cooperation and structural reforms—are critical to boosting individual, economic and societal resilience; providing both basic and high-level skills and competences; reducing inequalities; promoting entrepreneurial mindsets; fostering inclusive, stable and democratic societies; and making a success of migration and globalisation. Furthermore, education should help to empower young people to engage with and shape the future of a Europe of democracy, solidarity and inclusion. The ultimate goal is to build a true European Education Area by 2025, which would, inter alia, improve students’ mobility, prepare the ground for the mutual recognition of diplomas and boost language learning.

The rapid technological progress in automation, robotisation and artificial intelligence is raising fears, but also hopes, that in the future the nature of work will change significantly. There will be changes in what we do, how we form workplace relations, how we find work and the role of work in a society. Some believe that these changes will be for the better: we will need to work less and thus will have more free time. Others think that the changes will be for the worse: there will be fewer ways to earn a living. The central question of this paper is this: will adages such as ‘By the sweat of your brow you will eat your food’ and ‘No bees, no honey, no work, no money’ become obsolete? Will work disappear and with it the societal relations and inequalities that result from differing success in work? If this is going to happen, what policy options do we have to address the issue?

Enthusiasts of strategic studies will be familiar with the tripartite, quasi-mathematical equation of ends, ways and means. Over a period of 18 months or so – beginning in June 2016 with the publication of the EU Global Strategy (EUGS) and culminating with Permanent Structured Cooperation (PESCO) in December 2017 – the European Union has made strides on both ends and ways for greater cooperation in the area of defence. On ends, the EUGS has made clear that while Europeans ‘live in times of existential crisis’ the EU aims to improve security, democracy and prosperity and to invest in the resilience of states and societies in its wider neighbourhood in an integrated manner, while also supporting cooperative regional orders and a rules-based global order. On ways, the EUGS indicates that the Union must develop full spectrum capabilities as part of its overall approach to foreign and security policy and it must ‘systematically encourage defence cooperation and strive to create a solid European defence industry’. On means, however, there is still some way to go before the EU has the defence capabilities required to meet its strategic objectives. Despite the publication of an Implementation Plan on Security and Defence (IPSD), the development of a Coordinated Annual Review on Defence (CARD), a European Defence Fund (EDF) and PESCO, there are challenges related to defence capability development in a Union of 28 – soon to be 27 – member states.

International migration and geographic mobility have major implications for societies and economies. This is true at global level, and, perhaps even more so, at European level. The special impact on Europe is partly down to its history. Until just two generations ago, most European countries recorded much more emigration than immigration. In fact, some EU Member States and neighbouring countries still do which implies a potential loss of talent and skills. As a result, there are no ‘classical’ immigration countries on the European continent, comparable to the US, Canada or Australia. This goes some way towards explaining why Europe’s migration policies often lack coherence, selectivity and a focus on socio-economic outcomes. Since the 1990s temporary or permanent admission granted by EU Member States is dominated more by rights-based and humanitarian considerations (family reunion, asylum, humanitarian protection) than by economic interests.

Digital technologies have opened up ways of discovering the world, creating an unprecedented access to knowledge and information. Fostering vast communication and connection opportunities, they came with the promise of furthering free and open democratic deliberation. And they have initially delivered: facilitating freedom of expression, enabling easier and faster access to information and greater transparency, boosting media diversity, and creating broader opportunities for civic engagement and political participation. Social media in particular now allow for unparalleled connectivity of a truly interactive nature. They help people stay in touch with friends and family, and find people who share the same passions, interests or beliefs across borders, facilitating new groups and communities of interest to form and grow.

In some ways, the future of work is here; in others, it is shrouded in uncertainty or heralded with great expectations. Of course, throughout human history, work has changed, as have societies. Transformations in how and where work is conducted, by whom it is performed and under what conditions, as well as how it is remunerated and valued, have come hand in hand with changes in individual and family life, social cohesion and wellbeing, and civic and political life. Today, a number of observed mega-trends are again shifting the tectonics of work: Pervasive digital technology is opening up boundless new opportunities while at the same time blurring workplace boundaries and impacting human behaviours and expectations in ways that may still be unknown. Continuing population growth will create the biggest – but potentially most precarious and polarised – global workforce to date, with sustainability implications of an existential scale.

What will the Western Balkans look like in 2025? Will we witness Republika Srpska declare independence, a worsening of relations between Kosovo* and Serbia, and the rise of ethnic tensions across the region – or will we celebrate Montenegro and Serbia joining the EU, with good reason to hope that the rest of the region will soon follow? This Chaillot Paper presents three contrasting scenarios for the horizon of 2025 – best-case, medium-case, and worst-case. Each scenario takes account of the impact of underlying megatrends (trends that are unlikely to change by 2025) on the future trajectory of the region: the scenarios do not just spell out what 2025 could look like, they also explain how decisions with far-reaching consequences taken at critical junctures (called game-changers) will shape this future between today and then. They therefore serve not merely as a description, but also as a roadmap outlining the different options available.

Although there is little argument about the fact that climate change and the digitalisation of the economy are the two main trends that will matter most over the coming decades, to date they have predominantly been considered separately rather than together. The first step towards shaping our future is being able to think about it, however, and the compartmentalisation of research efforts (climate change on the one hand and digitalisation on the other) is unhelpful in this respect. Yet cross-cutting investigations present a challenge since the academic communities and social dynamics underlying both fields of research are entirely distinct. The aim of this Foresight Brief is therefore merely to initiate a debate by analysing the different versions of these two narratives. The author then examines the potential interrelation and ranking of these narratives and explores the emergence of digital and green capitalism and its consequences. The publication concludes by proposing a scenario involving a two-step approach to change.

‘Whoever becomes the ruler of AI will become the ruler of the world,’ said Vladimir Putin in September 2017. The USA, Russia and China are all adamant that artificial intelligence (AI) will be the key technology underpinning their national power in the future.What place, then, is there for Europe in this context? The European Commission has recently set out a European initiative on AI which focuses on boosting the EU's technological and industrial capacity, developing an innovation ecosystem, ensuring the establishment of an appropriate legal and ethical framework, and preparing for socio-economic changes. This edition of the Foresight Brief presents the results of a mapping exercise on AI’s impact on the world of work. It looks at the issues of work organisation and infrastructure, introduces the idea of ‘AI literacy’ for the workforce (as a necessary complement to technical reskilling), and details several AI risks for companies and workers. It also looks at aspects related to algorithmic decision making and the necessary establishment of an ethical and legal framework.