The role of the EU economic governance in the economic framework of the EU
Keywords:
EU, Economic Governance, Effectiveness, European semester
Abstract
The purpose of this paper is to present the overview of the existing literature that examines the effectiveness of the EU economic governance in delivering on EU economic goals. This topic is especially important in the context of the ongoing Review of the economic governance of the EU, launched in October 2021, with the aim to present the recommendations for the further improvement of the EU governance framework. The overview of the existing literature on the effectiveness of the EU governance framework in delivering economic goals, for the period from 2011 to 2019 is focused on two equally important lines: 1. studies examining the relationship between the effectiveness of the governance in achieving economic goals; and 2. studies focused on the impact of the implementation of the policy recommendations on the economic performance of the Member States. Presented overview of the relevant literature shows that significant effort has been put in analysing the effectiveness of the EU governance model. However, complete assessment of the effectiveness of the EU governance model will benefit from further analysis of the impact of the European semester on the economic performance of the Member States and EU as a whole. The examination of this link is crucial for the comprehensive assessment of the role and relevance of the European semester both in the governance and economic framework of the EU.
References
1. Ardielli, E., (2019), "Use of TOPSIS method for assessing of good governance in European Union countries", Review of Economic Perspectives, 19(3): pp. 211-231. Retrieved from: https://www.researchgate.net/publication/335931001_Use_of_TOPSIS_Method_for_Assessing_of_Good_Governance_in_European_Union_Countries (Accessed on 31 January 2022).
2. Bauer, M.W. and Becker, S. (2014) ‘The unexpected winner of the crisis: the European Commission’s strengthened role in economic governance’, Journal of European Integration 36(3): pp. 213–29.
Retrieved from: https://www.tandfonline.com/doi/full/10.1080/13501763.2017.1363807 (Accessed on 31 January 2022).
3. Council of the EU (2021), Council conclusions on the Alert Mechanism Report (2021), final, 5126/21 ECOFIN 25 UEM 6 SOC 5 EMPL 4, Brussels, 25 January 2021.Retrieved from: https://data.consilium.europa.eu/doc/document/ST-5126-2021-INIT/en/pdf (Accessed on 31 January 2022).
4. Council of the EU (2021), Regulation (EU) 2021/241 of the European Parliament and of the Council of 12 February 2021 establishing the Recovery and Resilience Facility, OJ L 57, 18.2.2021, pp. 17–75. Retrieved from: https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A32021R0241 (Accessed on 25 January 2022).
5. Darvas, Z.M. and Leandro, Á. (2015) The Limitations of Policy Coordination in the Euro Area Under the European Semester, Policy Contribution 2015/19, Brussels: Bruegel. Retrieved from: https://www.econstor.eu/handle/10419/126693 (Accessed on 31 January 2022).
6. De Steerl, A., (2013), "The Evolution of the EU Economic Governance Since the Treaty of Maastricht: An Unfinished Task". Maastricht Journal of European and Comparative Law, Vol. 20: pp.336-62. Retrieved from: https://ssrn.com/abstract=2363065 (Accessed on 15 December 2021).
7. Dumitru, S. M., (2017), "The effectiveness of the EU economic governance framework", CES Working Papers, ISSN: 2067-7693, Volume: 9, Issue: pp. 529-547. Retrieved from: https://ceswp.uaic.ro/articles/CESWP2017_IX4_DUM.pdf (Accessed on 31 January 2022).
8. Efstathiou, K. and Wolff, G. (2018) "Is the European Semester effective and useful?"
Bruegel Policy Contribution No. 2018/09, Bruegel, Brussels.
Retrieved from: http://hdl.handle.net/10419/208014 (Accessed on 12 May 2022).
9. Efstathiou, K. and Wolff, G. (2019) ‘What Drives National Implementation of EU Policy Recommendations’? Bruegel Working Paper, No. 4. Retrieved from: https://www.bruegel.org/wp-content/uploads/2019/04/WP4-final-2.pdf (Accessed on 12 May 2022).
10. European Central Bank (2005), The Lisbon Strategy – Five years on, Monthly Bulletin, July. Retrieved from: https://www.ecb.europa.eu/pub/pdf/mobu/mb200510en.pdf (Accessed on 25 January 2022).
11. European Commission (1990), One market one money, Bruxelles, Retrieved from: http://ec.europa.eu/economy_finance/publications/pages/publication7454_en.pdf (Accessed on 31 January 2022).
12. European Commission (1998), Stability and Growth Pact, Bruxelles, Retrieved from: http://eurlex.europa.eu/legal-content/EN/TXT/?qid=1412156825485&uri=URISERV:l25021 (Accessed on 12 May 2022).
13. European Commission (2007), Treaty on the Functioning of the European Union, Lisbon, Retrieved from: eur-lex.europa.eu/legal-content/EN/TXT/?...celex%3A12012E%2FTXT
(Accessed on 25 January 2022).
14. European Commission (2010a), Europe 2020: A European strategy for smart, sustainable and inclusive growth, Bruxelles. Retrieved from: https://ec.europa.eu/eu2020/pdf/COMPLET%20EN%20BARROSO%20%20%20007%20-%20Europe%202020%20-%20EN%20version.pdf (Accessed on 25 January 2022).
15. European Commission (2010b), Communication on Enhancing economic policy coordination for stability, growth and jobs – Tools for stronger EU economic governance, Bruxelles.
Retrieved from: https://ec.europa.eu/economy_finance/articles/euro/documents/com_2010_367_en.pdf (Accessed on 25 January 2022).
16. European Commission (2010b), Communication on Reinforcing economic coordination, Bruxelles. Retrieved from: https://ec.europa.eu/economy_finance/articles/euro/documents/2010-05-12-com(2010)250_final.pdf (Accessed on 25 January 2022).
17. European Commission (2021a), Commission relaunches the review of EU economic governance, Press Release, Bruxelles.
Retrieved from: https://ec.europa.eu/commission/presscorner/detail/en/ip_21_5321 (Accessed on 25 January 2022).
18. European Commission (2021b), Economic governance review, Press Release, Bruxelles.
Retrieved from: https://ec.europa.eu/info/business-economy-euro/economic-and-fiscal-policy-coordination/economic-governance-review_en (Accessed on 25 January 2022).
19. European Commission (2022), Online public consultation on the review of the EU economic governance framework. Summary of responses, Final Report. Retrieved from:https://ec.europa.eu/info/sites/default/files/economy-finance/swd_2022_104_2_en.pdf (Accessed on 25 April 2022)
20. European Court of Auditors (2020), The European Semester – Country Specific Recommendations address important issues but need better implementation, Special Report 16/20.
Retrieved from: https://www.eca.europa.eu/Lists/ECADocuments/SR20_16/SR_european-semester-2_EN.pdf (Accessed on 25 January 2022).
21. European Parliament (2021), Fact Sheets on the European Union – 2021, Bruxelles, Retrieved from: www.europarl.europa.eu/factsheets/en, (Accessed on 25 January 2022).
22. Kaufmann, D., Kraay, A., Lobaton P.Z., (1999a), "Aggregating Governance Indicators". World Bank Policy Research Working Paper, No. 2195, Washington, DC, World Bank.
Retrieved from: https://documents1.worldbank.org/curated/en/665731468739470954/pdf/multi-page.pdf (Accessed on 25 January 2022).
23. Kaufmann, D., Kraay, A., Lobaton P.Z., (1999b), "Governance Matters". World Bank Policy Research Working Paper, No. 2196, Washington, DC, World Bank. Retrieved from: https://elibrary.worldbank.org/doi/abs/10.1596/1813-9450-2195 (Accessed on 25 January 2022).
24. Kaufmann, D., Kraay, A., Lobaton P.Z., (2000), Governance Matters: From Measurement to Action. Finance & Development. June, Vol.3, No2.pp.10-15. Retrieved from: https://www.imf.org/external/pubs/ft/fandd/2000/06/pdf/kauf.pdf (Accessed on 25 January 2022).
25. Mariotto, C. (2021). "The Implementation of Economic Rules: From the Stability and Growth Pact to the European Semester". JCMS: Journal of Common Market Studies. 10.1111/jcms.13265.
Retrieved from: https://www.researchgate.net/publication/356764103_The_Implementation_of_Economic_Rules_From_the_Stability_and_Growth_Pact_to_the_European_Semester
(Accessed on 25 January 2022).
26. Noja, G. G., Cristea, M., Sirghi, N., Hategan, C. D., and D’Anselmi, P., (2019) "Promoting Good Public Governance and Environmental Support for Sustainable Economic Development" International Journal of Environmental Research and Public Health, 16(24), 4940. Retrieved from: https://www.mdpi.com/1660-4601/16/24/4940#cite (Accessed on 31 January 2022).
27. Rayner, L., (2021), "Rethinking EU economic governance: Social investment", Brussels: European Policy Centre.
Retrieved from: https://www.epc.eu/en/Publications/Rethinking-EU-economic-governance-Social-investment~44b7cc (Accessed on 25 January 2022).
28. Verdun, M. and Zeitlin, J. (2018) Introduction: the European Semester as a new architecture of EU socioeconomic governance in theory and practice, Journal of European Public Policy, 25:2, 137-148, DOI: 10.1080/13501763.2017.1363807.
29. Wieser, T., (2020) "What Role for the European Semester in the recovery plan?", European Parliament, Bruxelles. Retrieved from: www.bruegel.org/wp-content/uploads/2020/10/IPOL_IDA2020651368_EN.pdf (Accessed on 25 January 2022).
30. World Bank (1992) Governance and Development. Washington, DC. World Bank.
2. Bauer, M.W. and Becker, S. (2014) ‘The unexpected winner of the crisis: the European Commission’s strengthened role in economic governance’, Journal of European Integration 36(3): pp. 213–29.
Retrieved from: https://www.tandfonline.com/doi/full/10.1080/13501763.2017.1363807 (Accessed on 31 January 2022).
3. Council of the EU (2021), Council conclusions on the Alert Mechanism Report (2021), final, 5126/21 ECOFIN 25 UEM 6 SOC 5 EMPL 4, Brussels, 25 January 2021.Retrieved from: https://data.consilium.europa.eu/doc/document/ST-5126-2021-INIT/en/pdf (Accessed on 31 January 2022).
4. Council of the EU (2021), Regulation (EU) 2021/241 of the European Parliament and of the Council of 12 February 2021 establishing the Recovery and Resilience Facility, OJ L 57, 18.2.2021, pp. 17–75. Retrieved from: https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A32021R0241 (Accessed on 25 January 2022).
5. Darvas, Z.M. and Leandro, Á. (2015) The Limitations of Policy Coordination in the Euro Area Under the European Semester, Policy Contribution 2015/19, Brussels: Bruegel. Retrieved from: https://www.econstor.eu/handle/10419/126693 (Accessed on 31 January 2022).
6. De Steerl, A., (2013), "The Evolution of the EU Economic Governance Since the Treaty of Maastricht: An Unfinished Task". Maastricht Journal of European and Comparative Law, Vol. 20: pp.336-62. Retrieved from: https://ssrn.com/abstract=2363065 (Accessed on 15 December 2021).
7. Dumitru, S. M., (2017), "The effectiveness of the EU economic governance framework", CES Working Papers, ISSN: 2067-7693, Volume: 9, Issue: pp. 529-547. Retrieved from: https://ceswp.uaic.ro/articles/CESWP2017_IX4_DUM.pdf (Accessed on 31 January 2022).
8. Efstathiou, K. and Wolff, G. (2018) "Is the European Semester effective and useful?"
Bruegel Policy Contribution No. 2018/09, Bruegel, Brussels.
Retrieved from: http://hdl.handle.net/10419/208014 (Accessed on 12 May 2022).
9. Efstathiou, K. and Wolff, G. (2019) ‘What Drives National Implementation of EU Policy Recommendations’? Bruegel Working Paper, No. 4. Retrieved from: https://www.bruegel.org/wp-content/uploads/2019/04/WP4-final-2.pdf (Accessed on 12 May 2022).
10. European Central Bank (2005), The Lisbon Strategy – Five years on, Monthly Bulletin, July. Retrieved from: https://www.ecb.europa.eu/pub/pdf/mobu/mb200510en.pdf (Accessed on 25 January 2022).
11. European Commission (1990), One market one money, Bruxelles, Retrieved from: http://ec.europa.eu/economy_finance/publications/pages/publication7454_en.pdf (Accessed on 31 January 2022).
12. European Commission (1998), Stability and Growth Pact, Bruxelles, Retrieved from: http://eurlex.europa.eu/legal-content/EN/TXT/?qid=1412156825485&uri=URISERV:l25021 (Accessed on 12 May 2022).
13. European Commission (2007), Treaty on the Functioning of the European Union, Lisbon, Retrieved from: eur-lex.europa.eu/legal-content/EN/TXT/?...celex%3A12012E%2FTXT
(Accessed on 25 January 2022).
14. European Commission (2010a), Europe 2020: A European strategy for smart, sustainable and inclusive growth, Bruxelles. Retrieved from: https://ec.europa.eu/eu2020/pdf/COMPLET%20EN%20BARROSO%20%20%20007%20-%20Europe%202020%20-%20EN%20version.pdf (Accessed on 25 January 2022).
15. European Commission (2010b), Communication on Enhancing economic policy coordination for stability, growth and jobs – Tools for stronger EU economic governance, Bruxelles.
Retrieved from: https://ec.europa.eu/economy_finance/articles/euro/documents/com_2010_367_en.pdf (Accessed on 25 January 2022).
16. European Commission (2010b), Communication on Reinforcing economic coordination, Bruxelles. Retrieved from: https://ec.europa.eu/economy_finance/articles/euro/documents/2010-05-12-com(2010)250_final.pdf (Accessed on 25 January 2022).
17. European Commission (2021a), Commission relaunches the review of EU economic governance, Press Release, Bruxelles.
Retrieved from: https://ec.europa.eu/commission/presscorner/detail/en/ip_21_5321 (Accessed on 25 January 2022).
18. European Commission (2021b), Economic governance review, Press Release, Bruxelles.
Retrieved from: https://ec.europa.eu/info/business-economy-euro/economic-and-fiscal-policy-coordination/economic-governance-review_en (Accessed on 25 January 2022).
19. European Commission (2022), Online public consultation on the review of the EU economic governance framework. Summary of responses, Final Report. Retrieved from:https://ec.europa.eu/info/sites/default/files/economy-finance/swd_2022_104_2_en.pdf (Accessed on 25 April 2022)
20. European Court of Auditors (2020), The European Semester – Country Specific Recommendations address important issues but need better implementation, Special Report 16/20.
Retrieved from: https://www.eca.europa.eu/Lists/ECADocuments/SR20_16/SR_european-semester-2_EN.pdf (Accessed on 25 January 2022).
21. European Parliament (2021), Fact Sheets on the European Union – 2021, Bruxelles, Retrieved from: www.europarl.europa.eu/factsheets/en, (Accessed on 25 January 2022).
22. Kaufmann, D., Kraay, A., Lobaton P.Z., (1999a), "Aggregating Governance Indicators". World Bank Policy Research Working Paper, No. 2195, Washington, DC, World Bank.
Retrieved from: https://documents1.worldbank.org/curated/en/665731468739470954/pdf/multi-page.pdf (Accessed on 25 January 2022).
23. Kaufmann, D., Kraay, A., Lobaton P.Z., (1999b), "Governance Matters". World Bank Policy Research Working Paper, No. 2196, Washington, DC, World Bank. Retrieved from: https://elibrary.worldbank.org/doi/abs/10.1596/1813-9450-2195 (Accessed on 25 January 2022).
24. Kaufmann, D., Kraay, A., Lobaton P.Z., (2000), Governance Matters: From Measurement to Action. Finance & Development. June, Vol.3, No2.pp.10-15. Retrieved from: https://www.imf.org/external/pubs/ft/fandd/2000/06/pdf/kauf.pdf (Accessed on 25 January 2022).
25. Mariotto, C. (2021). "The Implementation of Economic Rules: From the Stability and Growth Pact to the European Semester". JCMS: Journal of Common Market Studies. 10.1111/jcms.13265.
Retrieved from: https://www.researchgate.net/publication/356764103_The_Implementation_of_Economic_Rules_From_the_Stability_and_Growth_Pact_to_the_European_Semester
(Accessed on 25 January 2022).
26. Noja, G. G., Cristea, M., Sirghi, N., Hategan, C. D., and D’Anselmi, P., (2019) "Promoting Good Public Governance and Environmental Support for Sustainable Economic Development" International Journal of Environmental Research and Public Health, 16(24), 4940. Retrieved from: https://www.mdpi.com/1660-4601/16/24/4940#cite (Accessed on 31 January 2022).
27. Rayner, L., (2021), "Rethinking EU economic governance: Social investment", Brussels: European Policy Centre.
Retrieved from: https://www.epc.eu/en/Publications/Rethinking-EU-economic-governance-Social-investment~44b7cc (Accessed on 25 January 2022).
28. Verdun, M. and Zeitlin, J. (2018) Introduction: the European Semester as a new architecture of EU socioeconomic governance in theory and practice, Journal of European Public Policy, 25:2, 137-148, DOI: 10.1080/13501763.2017.1363807.
29. Wieser, T., (2020) "What Role for the European Semester in the recovery plan?", European Parliament, Bruxelles. Retrieved from: www.bruegel.org/wp-content/uploads/2020/10/IPOL_IDA2020651368_EN.pdf (Accessed on 25 January 2022).
30. World Bank (1992) Governance and Development. Washington, DC. World Bank.
Published
2022-06-29
How to Cite
Letunić, P. (2022). The role of the EU economic governance in the economic framework of the EU. Mednarodno Inovativno Poslovanje = Journal of Innovative Business and Management, 14(1), 1-12. https://doi.org/10.32015/JIBM.2022.14.1.2
Issue
Section
Original article
Copyright (c) 2022 Tatjana Hlade
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
The authors retain rights under the Creative Commons Attribution-NonCommercial 4.0 International (CC BY-NC 4.0). Authors assign copyright or license the publication rights in their articles, including abstracts, to MIP=JIBM. This enables us to ensure full copyright protection and to disseminate the article, and of course MIP=JIBM, to the widest possible readership in electronic format. Authors are themselves responsible for obtaining permission to reproduce copyright material from other sources.
