This electronic thesis or dissertation has been downloaded from the King’s Research Portal at https://kclpure.kcl.ac.uk/portal/ The domestic politics of crisis management a societal approach to government preference formation in the financial crisis Sanders, Daniel Ryan Awarding institution: King's College London The copyright of this thesis rests with the author and no quotation from it or information derived from it may be published without proper acknowledgement. END USER LICENCE AGREEMENT Unless another licence is stated on the immediately following page this work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International licence. https://creativecommons.org/licenses/by-nc-nd/4.0/ You are free to copy, distribute and transmit the work Under the following conditions: Attribution: You must attribute the work in the manner specified by the author (but not in any way that suggests that they endorse you or your use of the work). 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Sep. 2021 The domestic politics of crisis management: a societal approach to government preference formation in the financial crisis 1 Contents 1.1 Introduction .................................................................... 3 1.2 Research Questions ....................................................................................................... 11 1.3 Methodology ................................................................................................................. 15 1.4 My Methods ................................................................................................................... 16 1.41 The Comparative Method .................................................................................................... 17 1.42 Elite Interviews ..................................................................................................................... 20 1.43 Operationalization ............................................................................................................... 22 1.44 Multilevel Binary Logistic Regression .................................................................................. 23 1.5 Challenges of Research .................................................................................................. 26 1.6 Summary ........................................................................................................................ 28 2.1 Theoretical Chapter ..................................................... 30 2.2 Postfunctionalism .......................................................................................................... 32 Daniel Sanders, King’s College, London, PhD Supervisors Professor Simona Talani and Professor. Magnus Ryner, King’s College, London 2.21 Politicization ......................................................................................................................... 40 2.3 Intergovernmentalism in the crisis ............................................................................... 45 2.31 Transnational Interdependence........................................................................................... 45 2.32 Supranational Capacity ........................................................................................................ 46 2 2.4 Labour Market Reform .................................................................................................. 49 2.41 Type of Crisis? ....................................................................................................................... 55 2.42 Fiscal Profligacy as the cause? ............................................................................................. 60 2.43 Capital Flows as the cause? ......................................................................................... 75 2.43 Competitiveness? ........................................................................................................ 86 2.45 True Crisis? ................................................................................................................... 98 2.6 Societal Conflict ........................................................................................................... 104 2.61 Critique ....................................................................................................................... 107 2.62 Schirm’s societal approach to governmental preference formation ................................ 115 2.63 Interests .............................................................................................................................. 119 2.64 Ideas.................................................................................................................................... 123 2.7 Methodological Considerations .................................................................................. 126 2.8 Varieties of Liberalization............................................................................................ 139 2.81 Implications for Research .......................................................................................... 142 2.9 Summary ...................................................................................................................... 143 3.1 Greece .......................................................................... 145 3.2 Outline of Research ..................................................................................................... 146 Domestic Ideas ................................................................................................................... 150 3.3 Methodology ............................................................................................................... 150 3.31 Dependent Variables .......................................................................................................... 153 3.32 Independent Variables ....................................................................................................... 154 3.34 Control variable .................................................................................................................. 154 3.4 Public Opinion .............................................................................................................. 158 3.5 Empirical Analysis ........................................................................................................ 161 Domestic Interests ............................................................................................................. 174 3.6 Methodology ............................................................................................................... 174 3.61 Domestic Interests ..................................................................................................... 176 Trade Union Positions ....................................................................................................... 176 3.62 Employers Associations’ Positions ...................................................................................... 177 3.63 Policy analysis .................................................................................................................... 178 3 3.64 Structural Reform Overview .............................................................................................. 180 3.65 Greek reforms? An Empirical Analysis ............................................................................... 182 3.66 Domestic Interests - Actions .............................................................................................. 200 3.7 Discussion..................................................................................................................... 204 3.8 Conclusion .................................................................................................................... 213 4.1 Italy .............................................................................. 217 4.2 Outline of Chapter ....................................................................................................... 219 Domestic Ideas ................................................................................................................... 222 4.31 Public Opinion .................................................................................................................... 222 4.4 Empirical Analysis ........................................................................................................ 227 Domestic Interests ............................................................................................................. 239 4.6 Domestic Interests -Trade Union Positions ................................................................ 239 4.61 Employers’ Associations Positions ..................................................................................... 241 4.62 Structural Reform ............................................................................................................... 241 4.63 Domestic Interests Actions