Report on the State of the European Union Volume 3: Crisis in the EU
The Report on the State of the European Union examines the progress of European integration and focuses on economic aspects of the process. This third volume in the series explores the EU in light of the current crisis.
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Report on the State of the European Union Volume 3
Crisis in the EU Economic Governance Edited by
Jean-Paul Fitoussi and
Jacques Le Cacheux
© OFCE 2010 Softcover reprint of the hardcover 1st edition 2010 978-0-230-24156-5
All rights reserved. No reproduction, copy or transmission of this publication may be made without written permission. No portion of this publication may be reproduced, copied or transmitted save with written permission or in accordance with the provisions of the Copyright, Designs and Patents Act 1988, or under the terms of any licence permitting limited copying issued by the Copyright Licensing Agency, Saffron House, 6-10 Kirby Street, London EC1N 8TS. Any person who does any unauthorized act in relation to this publication may be liable to criminal prosecution and civil claims for damages. The authors have asserted their rights to be identified as the authors of this work in accordance with the Copyright, Designs and Patents Act 1988. First published 2010 by PALGRAVE MACMILLAN Palgrave Macmillan in the UK is an imprint of Macmillan Publishers Limited, registered in England, company number 785998, of Houndmills, Basingstoke, Hampshire RG21 6XS. Palgrave Macmillan in the US is a division of St Martin’s Press LLC, 175 Fifth Avenue, New York, NY 10010. Palgrave Macmillan is the global academic imprint of the above companies and has companies and representatives throughout the world. Palgrave® and Macmillan® are registered trademarks in the United States, the United Kingdom, Europe and other countries. ISBN 978-1-349-31731-8 DOI 10.1057/9780230276130
ISBN 978-0-230-27613-0 (eBook)
This book is printed on paper suitable for recycling and made from fully managed and sustained forest sources. Logging, pulping and manufacturing processes are expected to conform to the environmental regulations of the country of origin. A catalogue record for this book is available from the British Library. A catalog record for this book is available from the Library of Congress. 10 9 8 7 6 5 4 3 2 1 19 18 17 16 15 14 13 12 11 10
Contents List of Tables and Figures
vi
Notes on Contributors
ix
1 Europe’s Economic Problem Is Political After All! Jean-Paul Fitoussi and Jacques Le Cacheux 2 Globalization and the Twin Protections Jean-Paul Fitoussi 3 Euro Area Policies and Macro Economic Performance, Ten Years On: Institutions, Incentives and Strategies Jérôme Creel, Éloi Laurent and Jacques Le Cacheux 4 Peer Pressure and Fiscal Rules Jean-Paul Fitoussi and Francesco Saraceno 5 The ECB’s Quiet Hijacking of the Euro Area’s Exchange Rate Jérôme Creel, Éloi Laurent and Jacques Le Cacheux 6 The Irish Tiger and the German Frog: A Tale of Size and Growth in the Euro Area Éloi Laurent and Jacques Le Cacheux 7
Funding the EU Budget with a Genuine Own Resource: The Case for a European Tax Jacques Le Cacheux
8 The EU Environmental Strategy Jean-Paul Fitoussi, Éloi Laurent and Jacques Le Cacheux
1 11
21 53
82
104
132 160
9 If It’s Broken, Don’t Fix It: The Government of the Eur
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