The reform of European economic governance: towards a sustainable monetary union?

nullThe eurozone sovereign debt crisis has vividly demonstrated the inadequacy of European economic governance and rendered a reform indispensible. Egmont Paper 47 discusses the causes of the crisis, as well as the economic governance reform. The paper finds that legislative changes go in the right direction in terms of fiscal sustainability, but it is more doubtful of the sufficiency of the macro-economic rules. Effective crisis governance remains another major, unresolved challenge.