OVERCOMING THE CRISIS

“We need a eurozone regulatory structure, and if Britain wants a role it must manage its eurozone entry”

Summer 2009
The credit crunch is global in its reach, but its cause lies in the United States and Europe, especially Britain, and its cure has be found in Europe and the U.S. A global understanding of the issues and an agreement on a framework to handle them better will help and the G20 will play its part. But it will probably be a modest part.

For years, Britain touted its model of financial governance as the example for the rest of Europe and the world, and in the face of the UK’s apparent success, the rest of the EU had no answer that could not be dismissed as bureaucratic regulation. Now, we need EU wide rules and a single regulatory structure within a single currency. If Britain wants to play a leading role in this new management, then it needs to manage its own entry into the eurozone.


Further articles in this  OVERCOMING THE CRISIS section
   
  • Edmond Alphandéry 
"It's up to Europe to set a global example of concertation"
  • Jerzy Buzek
"Let's return to the grassroots and base growth on savings and productivity"
  • Mark Eyskens
“My 10 point rulebook for the globalised economy”
  • Franz Fischler
“What we need first and foremost is a change in public consciousness”
  • Nicole Gnesotto
"We need a new global political deal now the West is no longer master of the world"
  • Béla Kádár
“To save the market economy and democracy, governance has to step in where corporations ruled and markets failed”
  • Noëlle Lenoir  
"My five courses of action"
  • John Monks
“The financial markets are where the re-building must start”
  • Poul Nyrup Rasmussen
"The EU must pull its weight and demonstrate real leadership"

  • Klaus Regling
“Better regulation and supervision, and the greater legitimacy of international financial institutions”
  • Onno Ruding
“Implement de Larosière and then consider further reform”
  • André Sapir
"Restoring the health of banking is no longer a financial problem but a political one"
  • Tøger Seidenfaden
“We urgently need much stronger international institutions"
  • Constantine Simitis
“Fiscal stimuli, yes. But social goals are also crucial”
  • Loukas Tsoukalis
"To be a major player on the new global architecture, Europe must end its IMF over-representation"
  • Alvaro de Vasconcelos
"Now it's the West that needs the Rest"

  • George Vassiliou
"How to beat this crisis and head-off another"
  • Nicolas Véron
“Institutional innovation, not streamlining, is today’s priority”
  • Stephen Wall
“We need a eurozone regulatory structure, and if Britain wants a role it must manage its eurozone entry”
 
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1 COMMENT(S)
  • Re:“We need a eurozone regulatory structure, and if Britain wants a role it must manage its eurozone entry”

Remember I raised this issue of UK entry/adoption of Euro - and also suggested that it's their *holy cow* which Whitehall Mandarins will not sign-off without legal/political reservations.

Recall the way they laughed at us when we're trying to get Maastricht Treaty including Single Market/Euro adopted a decade ago.

Mr. Wall is raising fundamental EMU policy issues which I suugest will not be possible under Borosso , if he should be reappointed as head of EU-27 again. My hope is that Borosso will ultimately be rejected principally because he has been playing the neocon's game, since Blair (Labour) forced him on EU Commission (Bush helped!).

My current understanding is that until Lisbon Treaty is finally adopted/ratified by all, there is little chance of restructuring what goes on inside the Commission/ECB on future regulatory regime and related policy issues on enforcing Single Market across EU-27. Recall not all members have adopted the policy framework of single market under EMU.

Britain is happy to have free-and-free access to our single market for its current prosperity.

Germany, for one, must now reconsider its Constitutional Court decision on Lisbon Treaty and its implications to supra-nationality powers of EU Commission under Lisbon Treaty. German court, in fact, reasserted the British dictum that national sovereignty is supreme under Lisbon Treaty . In other words, EU laws cannot and must not be allowed to supercede and/or supplant German Bundestag and its sovereign rights under the constititution. The Bundestag is now required by the Court to adopt appropriate language which re-confirms the sovereignty of national parliament over EU laws. This is now the responsibility of the sovereign Bundestag....(not Merkel!).

Now, it is not unlikely that some EU-27 members may follow the legal advise of the German Constitutional Court and adopt similar laws by default by their own parliament(s) on EU supranationality . What will this mean in terms of current (WTO) globalization and EU-27 policy framework? I don't know.

By Hari Naidu on 7/8/2009 12:22
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