Project > Research Areas > Area 4

The Area Work Packages

Work package 401: Growth Patterns and Disparities in the European Union

Work package 402: Asymmetric Policy Framework and the Need for Coordination of Macroeconomic Policies

Work package 403: Implications from Central and Eastern European Countries (CEECs)

Work package 404: Economic Governance Towards a New Path of Growth and Social Development


Policy Briefs

Karl Aiginger, Olaf Cramme, Stefan Ederer, Roger Liddle & Renaud Thillaye, Reconciling the short and the long run: governance reforms to solve the crisis and beyond, WWWforEurope Policy Brief No. 1, September 2012


Most recent publications

Ludek Kouba, Michal Mádr, Danuše Nerudová and Petr Rozmahel, Policy autonomy, coordination or harmonization in the persistently heterogeneous European Union? WWWforEurope Working Paper No. 95, April 2015

Stefan Ederer, Macroeconomic imbalances and institutional reforms in the EMU, WWWforEurope Working Paper No. 87, March 2015

Area 4 - Governance Structures and Institutions at the European Level

Area 4 focuses on governance structures and institutions at the European level and the need for adjustments to be consistent with a new path of smart, sustainable and inclusive growth.


Aim

The work conducted in this Area should result both in analytic insights into the internal economic and institutional deficiencies of the European Union in its current state, as well as in a series of implementable policy recommendations aimed at redesigning the governance structure and the institutions of the European Union with the objective of solving its deficiency problems and embarking on the new path of growth and social development.

Currently the European Union is an area with large disparities, structural differences in labour, product and financial markets, an incomplete integration and an asymmetric policy framework. This leads to deficiencies, which do not only limit economic and social development in Europe, but also seriously threaten the cohesion between member states and thus the participation of substantial parts of the population in the benefits of the project of European integration. Governance structures and institutions at the European level play a prominent role in creating these deficiencies. The limits of the current economic governance system have supported the evolution of disparities within the EU. Furthermore, the large heterogeneities across member states make the European policy framework less effective.

A serious attempt to resolve the internal problems, improve the governance structure and shape the socio-ecological transition is the Europe 2020 strategy. A change towards a new path of smart, sustainable and inclusive growth however needs substantial changes in the governance structure towards a more consistent and coordinated supranational macroeconomic governance system, supported by regional and national policies. Changes in the monitoring structure and the transition towards a new growth path have to account for differences across regions and states of development.

This Area assesses the extent of disparities and heterogeneities across the EU, analyses the causes and implications of these internal problems and deals with the necessary changes in policies, governance initiatives and institutions at the European level, which are necessary for the transition towards a new path of growth and social development. While a concentration on shortterm crisis management is unavoidable in the current situation and will ensure the survival of the EMU on a five to ten year horizon, a climate of fiscal austerity and increasing disparities will be the inevitable result (Pisani-Ferry 2010), and prevent the achievement of the objectives of the Europe 2020 agenda. In the medium to longer term, it will prove politically impossible to sustain the EU without the adoption of successful policies and instruments of governance to promote faster innovation, more dynamic growth, and a more sustainable model of social and economic development, in the face of the triple challenges of globalisation, demography and climate change (Monti 2010).


Research objectives

The research objectives of Area 4 are

  1. to identify the main inherent deficiencies in the EU and the related bottlenecks on the way to the new growth path;
  2. to analyse the link of these deficiencies to the governance structures and the institutions at the European level;
  3. to elaborate the changes in the European governance framework which are necessary for the transition to the new growth path.


Publications

Ludek Kouba, Michal Mádr, Danuše Nerudová and Petr Rozmahel, Policy autonomy, coordination or harmonization in the persistently heterogeneous European Union? WWWforEurope Working Paper No. 95, April 2015

Stefan Ederer, Macroeconomic imbalances and institutional reforms in the EMU, WWWforEurope Working Paper No. 87, March 2015

Renaud Thillaye, Improving the legitimacy of EU economic governance: Why and how? WWWforEurope Working Paper No. 72, December 2014

Stefan Ederer and Peter Reschenhofer, Macroeconomic imbalances and structural change in the EMU, WWWforEurope Working Paper No. 69, October 2014

Stefan Ederer and Peter Reschenhofer, A global value chain analysis of macroeconomic imbalances in Europe, WWWforEurope Working Paper No. 67, September 2014

Petr Rozmahel, Ladislava Grochová and Marek Litzman, The effect of asymmetries in fiscal policy conducts on business cycle correlation in the EU, WWWforEurope Working Paper No. 62, May 2014

Renaud Thillaye, Ludek Kouba and Andreas Sachs, Reforming EU economic governance: Is ‘more’ any better? WWWforEurope Working Paper No. 57, March 2014

Bas van Aarle, Surveillance and Control of Fiscal Consolidation on a Supranational Level, WWWforEurope Working Paper No. 46, November 2013

Andreas Sachs, Governance Structures in Europe, WWWforEurope Deliverable No. 2, September 2013

Stefan Ederer & Peter Reschenhofer, Macroeconomic Imbalances in the EU, WWWforEurope Working Paper No. 42, September 2013

Renaud Thillaye, Coordination in Place of Integration? Economic Governance in a Non-federal EU, WWWforEurope Working Paper No. 32, July 2013

Claudia Busl & Marcus Kappler, Does Foreign Direct Investment Synchronise Business Cycles? Results from a Panel Approach, WWWforEurope Working Paper No. 23, July 2013

Petr Rozmahel, Ludek Kouba, Ladislava Grochová & Nikola Najman, Integration of Central and Eastern European Countries: Increasing EU Heterogeneity?, WWWforEurope Working Paper No. 9, June 2013

Claudia Busl & Atilim Seymen, (Spillover) Effects of Labour Market Reforms in Germany and France, WWWforEurope Working Paper No. 8, June 2013

Andreas Sachs & Frauke Schleer, Labour market performance in OECD countries: A comprehensive empirical modelling approach of institutional interdependencies, WWWforEurope Working Paper No. 7, June 2013

Renaud Thillaye, The challenges of EU governance and the quest for long-term growth, WWWforEurope Working Paper No. 4, February 2013

Karl Aiginger, Olaf Cramme, Stefan Ederer, Roger Liddle & Renaud Thillaye, Reconciling the short and the long run: governance reforms to solve the crisis and beyond, WWWforEurope Policy Brief No. 1, September 2012

Stefano Micossi, Unholy Compromise in the Eurozone and How to Mend It, WWWforEurope Working Paper No. 1, August 2012