Maastricht Treaty Black Wednesday
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Introduction to the Fiscal Framework of the EU
Introduction to the fiscal framework of the EU The Maastricht Treaty, the Treaty on Stability, Coordination and Governance, and the Stability and Growth Pact STUDY EPRS | European Parliamentary Research Service Author: Angelos Delivorias Members' Research Service PE 679.085 – February 2021 EN Introduction to the fiscal framework of the EU The Maastricht Treaty, the Treaty on Stability, Coordination and Governance in the Economic and Monetary Union, and the Stability and Growth Pact Almost 30 years ago, the Maastricht Treaty laid the basis for economic and monetary union (EMU). Its fiscal provisions have been further developed by subsequent primary and secondary legislation – in particular, the Stability and Growth Pact with its preventive and corrective arms, and the Treaty on Stability, Coordination and Governance in EMU. These instruments together constitute the fiscal framework of the European Union. In early 2020, the European Commission launched a review of the EU's economic governance, seeking in particular to establish how effective the surveillance provisions have been in achieving their objectives. This paper aims to provide an introduction to the Union's economic governance, starting from a brief overview of the economic literature, and concluding with a look at possible developments that might follow from the review, not least examining the various calls for its amendment that have been put on the table. While the Commission's review has been put to one side while the immediate issues of the coronavirus pandemic are addressed, the economic consequences of the pandemic are themselves changing the context for the review. EPRS | European Parliamentary Research Service AUTHOR Angelos Delivorias, Members' Research Service This paper has been drawn up by the Members' Research Service within the Directorate-General for Parliamentary Research Services (EPRS) of the Secretariat of the European Parliament. -
European Stability Mechanism
~FACTSHEET~ European Stability Mechanism The Treaty establishing the European Stability Mechanism (ESM) has been ratified by all 17 euro area member states. It entered into force on 27 September 2012, nine months earlier than initially foreseen 1. The treaty was signed by euro area member states on 2 February 2012. The ESM board of governors held its inaugural meeting on 8 October 2012. The ESM is an intergovernmental institution based in Luxembourg, set up to provide financial assistance to eurozone member states experiencing, or being threatened by, severe financing problems, if this is indispensable for safeguarding financial stability in the euro area as a whole. The initial maximum lending capacity of the ESM is set at €500 billion. This is achieved with subscribed capital of €700 billion (€ 80 billion paid-in capital, the rest callable). A first version of the treaty was signed on 11 July 2011, but it was subsequently modified to incorporate decisions taken by the heads of state and government of the euro area on 21 July and 9 December 2011 to improve the effectiveness of the mechanism. As a permanent mechanism, the ESM will take over the tasks currently fulfilled by the European Financial Stability Facility (EFSF) and the European Financial Stabilisation Mechanism (EFSM). With the accelerated entry into force, the ESM will now operate alongside the EFSF for nine months. In March 2012, the Eurogroup agreed to raise the overall ceiling for ESM/EFSF lending to €700 billion 2. Already during the transitional period, until mid-2013, the ESM will be the main instrument for the financing of new programmes. -
The European Union in Transition: the Treaty of Nice in Effect; Enlargement in Sight; a Constitution in Doubt
Fordham International Law Journal Volume 27, Issue 2 2003 Article 1 The European Union in Transition: The Treaty of Nice in Effect; Enlargement in Sight; A Constitution in Doubt Roger J. Goebel∗ ∗ Copyright c 2003 by the authors. Fordham International Law Journal is produced by The Berke- ley Electronic Press (bepress). http://ir.lawnet.fordham.edu/ilj The European Union in Transition: The Treaty of Nice in Effect; Enlargement in Sight; A Constitution in Doubt Roger J. Goebel Abstract This Article is intended to provide an overview of this transitional moment in the history of the European Union. Initially, the Article will briefly review the background of the Treaty of Nice, and the institutional structure modifications for which it provides, which paves the way for enlargement. Next it will describe the final stages of the enlargement process. Finally, the Article will set out the principal institutional innovations and certain other key aspects of the draft Constitution, the most important issues concerning them, and the current impasse. THE EUROPEAN UNION IN TRANSITION: THE TREATY OF NICE IN EFFECT; ENLARGEMENT IN SIGHT; A CONSTITUTION IN DOUBT Rogerj Goebel* INTRODUCTION Once again the European Union' (the "EU" or the "Union") is in a stage of radical evolution. Since the early 1990's, the EU has anticipated an extraordinary increase in its constituent Member States2 through the absorption of a large number of Central European and Mediterranean nations. Since the late 1990's, the Union has been negotiating the precise terms for their entry with a dozen applicant nations and has been providing cooperative assistance to them to prepare for their accession to the Union and in particular, its principal con- stituent part, the European Community.3 As this enlargement of the Union came more clearly in sight, the political leadership and the present Member States, joined by the Commission, con- * Professor and Director of the Center on European Union Law, Fordham Univer- sity School of Law. -
The Future of Europe the Eurozone and the Next Recession Content
April 2019 Chief Investment Office GWM Investment Research The future of Europe The Eurozone and the next recession Content 03 Editorial Publication details This report has been prepared by UBS AG and UBS Switzerland AG. Chapter 1: Business cycle Please see important disclaimer and 05 Cyclical position disclosures at the end of the document. 08 Imbalances This report was published on April 9 2019 10 Emerging markets Authors Ricardo Garcia (Editor in chief) Chapter 2: Policy space Jens Anderson Michael Bolliger 14 Institutional framework Kiran Ganesh Matteo Ramenghi 16 Fiscal space Roberto Scholtes Fabio Trussardi 19 Monetary space Dean Turner Thomas Veraguth Thomas Wacker Chapter 3: Impact Contributors Paul Donovan 23 Bond markets Elisabetta Ferrara Tom Flury 26 Banks Bert Jansen Claudia Panseri 29 Euro Achim Peijan Louis Pfau Giovanni Staunovo Themis Themistocleous Appendix Desktop Publishing 32 The evolution of the EU: A timeline Margrit Oppliger 33 Europe in numbers Cover photo 34 2020–2025 stress-test scenario assumptions Gettyimages Printer Neidhart + Schön, Zurich Languages English, German and Italian Contact [email protected] Order or subscribe UBS clients can subscribe to the print version of The future of Europe via their client advisor or the Printed & Branded Products Mailbox: [email protected] Electronic subscription is also available via the Investment Views on the UBS e-banking platform. 2 April 2019 – The future of Europe Editorial “Whatever it takes.” These words of Mario Draghi’s marked the inflection point in the last recession and paved the way to the present economic recovery. But as the euro celebrates its 20th birthday, the world and investors are beset again by recessionary fears, with risks mounting and likely to continue doing so in the coming years. -
Implementing the Protocol 36 Opt
September 2012 Opting out of EU Criminal law: What is actually involved? Alicia Hinarejos, J.R. Spencer and Steve Peers CELS Working Paper, New Series, No.1 http://www.cels.law.cam.ac.uk http://www.cels.law.cam.ac.uk/publications/working_papers.php Centre for European Legal Studies • 10 West Road • Cambridge CB3 9DZ Telephone: 01223 330093 • Fax: 01223 330055 • http://www.cels.law.cam.ac.uk EXECUTIVE SUMMARY Protocol 36 to the Lisbon Treaty gives the UK the right to opt out en bloc of all the police and criminal justice measures adopted under the Treaty of Maastricht ahead of the date when the Court of Justice of the EU at Luxembourg will acquire jurisdiction in relation to them. The government is under pressure to use this opt-out in order to “repatriate criminal justice”. It is rumoured that this opt-out might be offered as a less troublesome alternative to those are calling for a referendum on “pulling out of Europe”. Those who advocate the Protocol 36 opt-out appear to assume that it would completely remove the UK from the sphere of EU influence in matters of criminal justice and that the opt-out could be exercised cost-free. In this Report, both of these assumptions are challenged. It concludes that if the opt-out were exercised the UK would still be bound by a range of new police and criminal justice measures which the UK has opted into after Lisbon. And it also concludes that the measures opted out of would include some – notably the European Arrest Warrant – the loss of which could pose a risk to law and order. -
Anatomy of a Crisis
Page 7 Chapter 2 Munich: Anatomy of A Crisis eptember 28, 1938, “Black Wednesday,” dawned on a frightened Europe. Since the spring Adolf Hitler had spoken often about the Sudetenland, the western part of Czechoslovakia. Many of the 3 Smillion German-speaking people who lived there had complained that they were being badly mistreated by the Czechs and Slovaks. Cooperating closely with Sudeten Nazis, Hitler at first simply demanded that the Czechs give the German-speakers within their borders self-government. Then, he upped the ante. If the Czechs did not hand the Sudetenland to him by October 1, 1938, he would order his well-armed and trained soldiers to attack Czechoslovakia, destroy its army, and seize the Sudetenland. The Strategic Location of the Sudetenland Germany’s demand quickly reverberated throughout the European continent. Many countries, tied down by various commitments and alliances, pondered whether—and how—to respond to Hitler’s latest threat. France had signed a treaty to defend the Czechs and Britain had a treaty with France; the USSR had promised to defend Czechoslovakia against a German attack. Britain, in particular, found itself in an awkward position. To back the French and their Czech allies would almost guarantee the outbreak of an unpredictable and potentially ruinous continental war; yet to refrain from confronting Hitler over the Sudetenland would mean victory for the Germans. In an effort to avert the frightening possibilities, a group of European leaders converged at Munich Background to the Crisis The clash between Germany and Czechoslovakia over the Sudetenland had its origins in the Versailles Treaty of 1919. -
Should Poland Join the Euro? an Economic and Political Analysis
Should Poland Join the Euro? An Economic and Political Analysis Should Poland Join the Euro? An Economic and Political Analysis Graduate Policy Workshop February 2016 Michael Carlson Conor Carroll Iris Chan Geoff Cooper Vanessa Lehner Kelsey Montgomery Duc Tran Table of Contents Acknowledgements ................................................................................................................................ i About the WWS Graduate Policy Workshop ........................................................................................ ii Executive Summary .............................................................................................................................. 1 1 Introduction ................................................................................................................................. 2 2 The Evolution of Polish Thought on Euro Adoption ................................................................. 5 2.1 Pre-EU membership reforms ...................................................................................................................... 5 2.2 After EU Accession ....................................................................................................................................... 5 2.3 Crisis years ...................................................................................................................................................... 6 2.4 Post-crisis assessment .................................................................................................................................. -
The Pound Sterling
ESSAYS IN INTERNATIONAL FINANCE No. 13, February 1952 THE POUND STERLING ROY F. HARROD INTERNATIONAL FINANCE SECTION DEPARTMENT OF ECONOMICS AND SOCIAL INSTITUTIONS PRINCETON UNIVERSITY Princeton, New Jersey The present essay is the thirteenth in the series ESSAYS IN INTERNATIONAL FINANCE published by the International Finance Section of the Department of Economics and Social Institutions in Princeton University. The author, R. F. Harrod, is joint editor of the ECONOMIC JOURNAL, Lecturer in economics at Christ Church, Oxford, Fellow of the British Academy, and• Member of the Council of the Royal Economic So- ciety. He served in the Prime Minister's Office dur- ing most of World War II and from 1947 to 1950 was a member of the United Nations Sub-Committee on Employment and Economic Stability. While the Section sponsors the essays in this series, it takes no further responsibility for the opinions therein expressed. The writer's are free to develop their topics as they will and their ideas may or may - • v not be shared by the editorial committee of the Sec- tion or the members of the Department. The Section welcomes the submission of manu- scripts for this series and will assume responsibility for a careful reading of them and for returning to the authors those found unacceptable for publication. GARDNER PATTERSON, Director International Finance Section THE POUND STERLING ROY F. HARROD Christ Church, Oxford I. PRESUPPOSITIONS OF EARLY POLICY S' TERLING was at its heyday before 1914. It was. something ' more than the British currency; it was universally accepted as the most satisfactory medium for international transactions and might be regarded as a world currency, even indeed as the world cur- rency: Its special position waS,no doubt connected with the widespread ramifications of Britain's foreign trade and investment. -
Nowcasting Eurozone Industrial Production
2003 EDITION Nowcasting Eurozone Industrial Production THEME 1 General EUROPEAN statistics COMMISSION 1 Europe Direct is a service to help you find answers to your questions about the European Union New freephone number: 00 800 6 7 8 9 10 11 A great deal of additional information on the European Union is available on the Internet. It can be accessed through the Europa server (http://europa.eu.int). Luxembourg: Office for Official Publications of the European Communities, 2003 ISBN 92-894-3416-3 ISSN 1725-4825 © European Communities, 2003 Nowcasting Eurozone Industrial Production Dominique Ladiray and Dermot O’Brien Abstract The aim of this paper is to develop a methodology for the estima- tion of nowcasts of the Eurozone Industrial Production Index (IPI) for a delay of less than 45 days. We propose to build well-specified robust models for annual and monthly eurozone IPI growth rates that incor- porate information from business surveys and partial information from Member States. We prioritise models that are stable and well-specified and the optimal models are determined on the basis of an assessment of nowcasting performance for real-time data. 1 TABLE OF CONTENTS 1. Introduction................................................................................................ 3 2. Evolution of Arrival Delays ....................................................................... 3 3. Prospects for an Early IPI .......................................................................... 5 4. Developing a Methodology for Producing IPI Nowcasts .......................... 6 5. Models for Eurozone IPI............................................................................ 7 5.1 Annual IPI Growth Rates .................................................................... 7 5.1.1 Model A: NAIVE Model ........................................................... 7 5.1.2 Model B: GETS with Business Surveys.................................... 8 5.1.3 Model C: GETS with Business Surveys and Partial Information (1) .............................................................. -
The European Union: Questions and Answers
The European Union: Questions and Answers Updated October 27, 2020 Congressional Research Service https://crsreports.congress.gov RS21372 SUMMARY RS21372 The European Union: Questions and Answers October 27, 2020 The European Union (EU) is a political and economic partnership that represents a unique form of cooperation among sovereign countries. The EU is the latest stage in a process of integration Kristin Archick begun after World War II, initially by six Western European countries, to foster interdependence Specialist in European and make another war in Europe unthinkable. The EU currently consists of 27 member states, Affairs including most of the countries of Central and Eastern Europe, and has helped to promote peace, stability, and economic prosperity throughout the European continent. How the EU Works The EU has been built through a series of binding treaties. Over the years, EU member states have sought to harmonize laws and adopt common policies on an increasing number of economic, social, and political issues. EU member states share a customs union; a single market in which capital, goods, services, and people move freely; a common trade policy; and a common agricultural policy. Nineteen EU member states use a common currency (the euro), and 22 member states participate in the Schengen area of free movement in which internal border controls have been eliminated. In addition, the EU has been developing a Common Foreign and Security Policy (CFSP), which includes a Common Security and Defense Policy (CSDP), and pursuing cooperation in the area of Justice and Home Affairs (JHA) to forge common internal security measures. Member states work together through several EU institutions to set policy and to promote their collective interests. -
An Agenda for Capital Markets Union November 2014
An agenda for capital markets union November 2014 Association for Financial Markets in Europe www.afme.eu About AFME The Association for Financial Markets in Europe (AFME) is the voice of Europe’s wholesale financial markets. We represent the leading global and European banks and other significant capital market players. We believe that liquid capital markets and a well-functioning banking system are central to any successful modern economy. We advocate stable, competitive, sustainable European financial markets Focusthat support economic growth and benefit society. Expertiseon a wide range of market, business and prudential issues Strongdeep policy and technicalrelationships skills Breadthwith European and global policymakers Pan-Europeanbroad global and European membership organisation and perspective Global reach via the Global Financial Markets Association (GFMA) Capital Markets Union An agenda for capital markets union Contents FOREWORD ........................................................................................................................................ 2 1. EXECUTIVE SUMMARY ............................................................................................................ 3 2. GOALS FOR A CAPITAL MARKETS UNION ........................................................................ 5 Defining the capital markets union ...................................................................................................................... 5 The international dimension to capital markets union .............................................................................. -
'The Birth of the Euro' from <I>EUROPE</I> (December 2001
'The birth of the euro' from EUROPE (December 2001-January 2002) Caption: On the eve of the entry into circulation of euro notes and coins on January 1, 2002, the author of the article relates the history of the single currency's birth. Source: EUROPE. Magazine of the European Union. Dir. of publ. Hélin, Willy ; REditor Guttman, Robert J. December 2001/January 2002, No 412. Washington DC: Delegation of the European Commission to the United States. ISSN 0191- 4545. Copyright: (c) EUROPE Magazine, all rights reserved The magazine encourages reproduction of its contents, but any such reproduction without permission is prohibited. URL: http://www.cvce.eu/obj/the_birth_of_the_euro_from_europe_december_2001_january_2002-en-fe85d070-dd8b- 4985-bb6f-d64a39f653ba.html Publication date: 01/10/2012 1 / 5 01/10/2012 The birth of the euro By Lionel Barber On January 1, 2002, more than 300 million European citizens will see the euro turn from a virtual currency into reality. The entry into circulation of euro notes and coins means that European Monetary Union (EMU), a project devised by Europe’s political elite over more than a generation, has finally come down to the street. The psychological and economic consequences of the launch of Europe’s single currency will be far- reaching. It will mark the final break from national currencies, promising a cultural revolution built on stable prices, enduring fiscal discipline, and lower interest rates. The origins of the euro go back to the late 1960s, when the Europeans were searching for a response to the upheaval in the Bretton Woods system, in which the US dollar was the dominant currency.