The Joint Research Centre is the European Commission's in-house science service and provides EU policies with independent, evidence-based scientific and technical support throughout the whole policy cycle. Working in close cooperation with policy Directorates-General, the JRC addresses key societal challenges while stimulating innovation through developing new methods, tools and standards, and sharing its know-how with the Member States, the scientific community and international partners. For instance, the JRC contributes to the goals of the Europe 2020 Strategy by providing integrated socio-economic and policy support on macro-economic policies, structural reform, employment, education and skills, research and innovation.
The Unit Financial and Economic Analysis at the JRC develops mathematical models and computational tools in support to the EU policies in the domains of economics and finance. Its activities focus on basic and applied research on statistics and econometrics, macroeconomic and financial modelling. The unit supports the DG Economic and Financial Affairs (ECFIN) in the development of QUEST III, the DSGE model used by the Commission for macroeconomic policy analysis and research. The unit has also developed and maintains the Program GAP, which is the software used by ECFIN and Member States to estimate the Output Gap in the context of the Stability and Growth Pact. The JRC has developed toolboxes for the sensitivity and identification analysis of DSGE models and to parallelize DSGE model estimation that were funded by the FP7 MONFISPOL project. The unit also contributes to Commission efforts on addressing financial risk, mostly by using the model SYMBOL (the Systemic Model of Banking Originated Losses).
JRC will lead and be the main contributor to WP8.