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Economic Policy Coordination in the European Union

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  • Begg, Iain
  • Hodson, Dermot
  • Maher, Imelda

Abstract

There are differing views about the need for economic policy coordination in the EU and about the adequacy of the system that has evolved under EMU. This article examines the case for such policy coordination, then describes and assesses the current arrangements for both ‘hard’ coordination — epitomised by the much-maligned Stability and Growth Pact (SGP) — and the ‘soft’ forms of coordination that have evolved in the EU to complement formal rules. Although the system achieves more than is sometimes recognised, it is shown to have weaknesses. Options for reforming the SGP and other facets of the system are discussed.

Suggested Citation

  • Begg, Iain & Hodson, Dermot & Maher, Imelda, 2003. "Economic Policy Coordination in the European Union," National Institute Economic Review, National Institute of Economic and Social Research, vol. 183, pages 66-77, January.
    • Handle: RePEc:cup:nierev:v:183:y:2003:i::p:66-77_8
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