Fuest, Clemens (2011) Will the reform of the institutional framework restore fiscal stability in the eurozone? In: CFS Research Conference: The ECB and its Watchers XIII, 10 June 2011, Frankfurt, Germany. (Unpublished)Full text not available from this repository.
The key challenge for the fiscal reform of the eurozone is not better fiscal policy coordination or supervision. It is this:
• Make sure that the financial sector can absorb a sovereign
bankruptcy without a financial meltdown. This requires much
tighter regulation, more effective supervision, continued access of banks to ECB refinancing in the event of a sovereign restructuring. For a transitional period, this also requires an ESM type 'rescue' institution.
• The current fiscal reform package fails to deliver this.
|Item Type:||Conference or Workshop Item (Speech)|
|Keywords:||European Economic and Monetary Union; Financial crisis; Economic policy coordination|
|Centre:||Oxford University Centre for Business Taxation|
|Date Deposited:||01 Feb 2012 20:52|
|Last Modified:||23 Oct 2015 14:07|
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