The European fiscal framework in five questions
To begin your journey, discover this insightful primer that explores the set of rules within the European fiscal framework that constrain EU Member States’ fiscal policy.
This guide shows how the framework intertwines with the “European Semester” – a three-pillar system of economic governance. The paper demystifies the framework by answering five questions that cover its importance, shortcomings and how it impacts people, societal issues and the Covid-19 economic recovery in Europe. It also guides the reader through ways to create a renewed fiscal framework. Questions explored are:
- Why is the European fiscal framework so important?
- What’s wrong with the EU fiscal framework?
- Why should you care about reforming the fiscal framework?
- What should new rules look like?
- Why should you care now and what can you do?
A Finance Watch guide on how to reform European economic governance
European Member States remain constrained by European economic governance – a maze of rules impacting their fiscal and socio-economic policies. This publication looks at rules in place, their legal foundation and how Europe can best reform them. “Part 1 – The Maze” clarifies the main elements within the legislative framework, unpacking primary and secondary legislation as well as extra-legislative and interpretive documents that comprise the framework for fiscal surveillance (Pillar I), macroeconomic surveillance (Pillar II) and socio-economic coordination (Pillar III). Part 2 – The Navigation includes a discussion on why fiscal rules need to remain frozen and what needs to be reformed in the short and long run.