Monetary Union and Fiscal and Macroeconomic Governance

Summary:

The purpose of this essay is to analyze the newly established mechanisms of fiscal and macroeconomic governance and contribute to the debate on their further reforms. The essay draws from previous works of the author, especially Dabrowski (2008) on analytical approach to current account imbalances in the world of unrestricted capital movement and Dabrowski (2014) on the European fiscal union.

In the essay, we will concentrate on three issues, which have, in our opinion, the key importance for the entire debate:

• Interrelation between monetary and fiscal integration
• Interrelation between monetary integration and closer coordination of macroeconomic policies
• Fiscal discipline vs. fiscal solidarity

• Primary Source

• Alternative Source