The European Constitutional Settlement

This paper argues first that a synthesis of the theories of endogenous policy formation, non-coercive interstate bargaining theory, and international regime theory provides a plausible account of the path of European integration, with little role for explanations stressing geopolitical or ideological factors, international mediation, or political entrepreneurship. Moreover, these theories - which embrace economic fundamentals as driving factors - help explain the `sequencing' of the European Union, especially in regard to successive enlargements. However, the paper concludes that the process of European integration appears to have reached an `institutional plateau', for which incremental change based on the current `constitutional compromise' appears to be the only plausible equilibrium.

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