Policy Insights

Policy Insight 114: Revisiting the EU framework: Economic necessities and legal options

• Miguel Poiares Maduro Philippe Martin Jean-Claude Piris Jean Pisani-Ferry Lucrezia Reichlin Armin Steinbach Beatrice Weder di Mauro
16 Dec 2021

A team of leading economists and lawyers specialising in EU affairs propose an ambitious yet feasible blueprint for reforming the European macroeconomic policy system. The authors highlight three key policy fields for reform: the relationship between the monetary and the fiscal pillars, fiscal rules, the Next Generation EU Initiative (NGEU) and the potential for a common fiscal capacity. In each case, the state of the policy architecture is examined, proposals for reforms are made and the corresponding legal requirements are assessed.