Farage Niklas Halle'n/Stringer

The Art of European Integration

Some European leaders argue that Brexit will make it easier to advance EU integration, as the remaining member states are more likely to agree on steps that Britain might have resisted. But the UK, it turns out, is far from the only source of political resistance to the goal of "ever closer union."

LONDON – The past year has been full of watershed developments. Aside from Donald Trump’s victory in the United States’ presidential election, some of the European Union’s weaknesses were fully revealed, with the United Kingdom’s vote to leave casting the bloc in a particularly harsh light. But Brexit does not have to spell the Union’s demise. Instead, it can serve as a wake-up call, spurring action to address the EU’s problems.

Some European leaders are attempting to heed that call, by urging EU member states to “complete the Union.” Without the UK, they argue, it will be easier to advance integration, as the remaining members are somewhat less heterogeneous, and therefore more likely to agree on steps that Britain might have opposed.

One such step – and a constant focus of attention since the euro crisis began – is a banking union. While substantial progress has already been made on this front, European banking integration is far from complete. Unfinished business includes a deposit-insurance scheme, as well as the creation of a senior tranche of safe sovereign assets, or eurozone-wide risk-free securities.

To continue reading, please log in or enter your email address.

Registration is quick and easy and requires only your email address. If you already have an account with us, please log in. Or subscribe now for unlimited access.

required

Log in

http://prosyn.org/uubRYLf;
  1. China corruption Isaac Lawrence/Getty Images

    The Next Battle in China’s War on Corruption

    • Chinese President Xi Jinping knows well the threat that corruption poses to the authority of the Communist Party of China and the state it controls. 
    • But moving beyond Xi's anti-corruption purge to build robust and lasting anti-graft institutions will not be easy, owing to enduring opportunities for bureaucratic capture.
  2. Italy unemployed demonstration SalvatoreEsposito/Barcroftimages / Barcroft Media via Getty Images

    Putting Europe’s Long-Term Unemployed Back to Work

    Across the European Union, millions of people who are willing and able to work have been unemployed for a year or longer, at great cost to social cohesion and political stability. If the EU is serious about stopping the rise of populism, it will need to do more to ensure that labor markets are working for everyone.

  3. Latin America market Federico Parra/Getty Images

    A Belt and Road for the Americas?

    In a time of global uncertainty, a vision of “made in the Americas” prosperity provides a unifying agenda for the continent. If implemented, the US could reassert its historical leadership among a group of countries that share its fundamental values, as well as an interest in inclusive economic growth and rising living standards.

  4. Startup office Mladlen Antonov/Getty Images

    How Best to Promote Research and Development

    Clearly, there is something appealing about a start-up-based innovation strategy: it feels democratic, accessible, and so California. But it is definitely not the only way to boost research and development, or even the main way, and it is certainly not the way most major innovations in the US came about during the twentieth century.

  5. Trump Trade speech Bill Pugliano/Getty Images .

    Preparing for the Trump Trade Wars

    In the first 11 months of his presidency, Donald Trump has failed to back up his words – or tweets – with action on a variety of fronts. But the rest of the world's governments, and particularly those in Asia and Europe, would be mistaken to assume that he won't follow through on his promised "America First" trade agenda.