Economic and Monetary Integration unfinished, why Europe is in dire need of fiscal reforms given its past performance and the emerging crisis. What are the possibilities and are they really feasible?

Details

Supervisors

Defraigne, Jean-Christophe

Faculty

Louvain School of Management

Degree label

Master de spécialisation en entreprises et politiques économiques européennes

Abstract

The aim of this paper is to highlight the multiple financial issues that the Economic and Monetary Union has experienced since its creation with the Maastricht Treaty. Indeed, the numerous crises experienced by the Member States have shown the structural and deep weaknesses of the Union. It is common knowledge that the monetary and economic integration has not been completed and that the fiscal failures at the European and Eurozone level contribute to the poor economic performance of the Member States. This paper aims to show the difficulties encountered but also to expose the different solutions that will complement the instruments already introduced by the institutions. In regard of the proposed projects, it seems that the European Unemployment Insurance Mechanism project is the most adapted to the current needs and would not only lead to a significant increase in European cohesion, but also an increase of its resilience.