Martens Centre
  • Home
  • About
    • Who we are
    • Team
    • Bodies and Experts
    • Network
  • Publications
  • Events
  • News
  • Blog
  • Contact
back

Publications

  • Home
  • About
    • Who we are
    • Team
    • Bodies and Experts
    • Network
  • Publications
  • Events
  • News
  • Blog
  • Contact
Share on Facebook
Facebook
Tweet about this on Twitter
Twitter
Share on LinkedIn
Linkedin
Print this page
Print
Email this to someone
email

Creating a decentralised Eurozone

29 November 2019

A decade after the crisis that came close to destroying it, the Eurozone remains fragile. Fiscal indiscipline, a key cause of the crisis, remains a relevant issue. Progress has been made to make the banking system safer, but much more is required to contain risk. Eurozone governance remains weak. This paper argues that six key steps are required to refashion the Eurozone into a robust monetary union capable of dealing with unexpected shocks in the future. These steps are:

  • Subsidiarity should be rigorously applied to straighten the existing muddled governance structures
  • Banking Union needs to be completed to break the doom loop between banks and governments
  • Pan-European banks and fully integrated financial markets offer the best solution to absorb national disturbances. Implicit protectionism – through regulations and support for national champions – should not be accepted
  • The responsibility for fiscal discipline must lie where the budget authority is exercised: at the national level
  • The no-bailout clause is the best protection against fiscal indiscipline. It should be formally restored
  • Some countries with large public debts remain vulnerable to market sentiment fluctuations. However, there are ways to reduce these debts without any transfer or mutual guarantees

Download the publication

Future of Europe

Charles Wyplosz

Edited by

Eoin Drea

Research Team

Federico Ottavio Reho

Research Team

  • EU Institutions
  • EU Member States
  • Eurozone
  • Macroeconomics

Related publications

  • The Potential Outcome of the Conference on the Future of Europe in a COVID-19 World: Strengthening European Democracy

    IN FOCUS

    The Potential Outcome of the Conference on the Future of Europe in a COVID-19 World: Strengthening European Democracy

  • The Strategic Compass: Charting a New Course for the EU’s Security and Defence Policy

    Policy Briefs

    The Strategic Compass: Charting a New Course for the EU’s Security and Defence Policy

  • The Chinese Nightmare: Debt Risks Along the Silk Road

    IN BRIEF

    The Chinese Nightmare: Debt Risks Along the Silk Road

  • The New Pact on Migration: A Set of Innovative Proposals with an Uncertain Outcome

    IN FOCUS

    The New Pact on Migration: A Set of Innovative Proposals with an Uncertain Outcome

  • IN BRIEF

    A Marathon, not a Sprint: A Six Point Plan to Build Confidence, Create Jobs and Repair Public Finances

  • IN BRIEF

    The Constitutional Basis for Sweden’s Exceptional COVID-19 Policy

  • A Europe That Protects Its Heritage

    Policy Briefs

    A Europe That Protects Its Heritage

  • Towards a Sovereign Europe – A Centre-Right Approach

    Policy Briefs

    Towards a Sovereign Europe – A Centre-Right Approach

You might also be interested by

  • [Europe Out Loud] A Threatened European Cultural Heritage?

    Europe out Loud - Multimedia

    22 Dec 2020

  • The Budget, Recovery Fund and Implications for the Future of EU Decision Making

    Live-streams - Multimedia

    17 Dec 2020

  • From Goliath to David?

    Blog

    14 Dec 2020

  • The Week in 7 Questions with Siegfried Mureșan

    Multimedia - The Week in 7 Questions

    27 Nov 2020

  • NET@WORK Day 1 – Welcoming Remarks

    Live-streams - Multimedia

    25 Nov 2020

  • The Week in 7 Questions with Małgorzata Durska

    Multimedia - The Week in 7 Questions

    13 Nov 2020

  • Europe risks crumbling from within

    Blog

    29 Oct 2020

  • EIF 2020 – Panel 2: Global Trade

    Live-streams - Multimedia

    27 Oct 2020

  • EIF 2020 – Panel 1: Europe’s Green Deal

    Live-streams - Multimedia

    27 Oct 2020

  • The Week in 7 Questions with Petri Sarvamaa

    Multimedia - The Week in 7 Questions

    16 Oct 2020

Stay updated on Martens Centre Activities, Events and Publications

  • Navigate

    • Home
    • About
      • Who we are
      • Team
      • Bodies and Experts
      • Network
    • Publications
    • Events
    • News
    • Blog
    • Contact
  • More

    • A word from Wilfried Martens
    • European People’s Party
    • Join the team
    • Privacy Policy, Cookie policy & Legal
  • Contact us

    0032 (0)2 300 80 04
    20 Rue du Commerce
    1000 Brussels, Belgium

Copyright © 2021 | Martens Centre ALYS

This website uses cookies to improve your experience, click here for more info. ACCEPT
Privacy & Cookies Policy

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may have an effect on your browsing experience.
Necessary
Always Enabled

Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.

Non-necessary

Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.