European Parliament and National Parliaments

Abstract

Abstract The EMU’s legitimacy is precarious. To be precise, it is not the legitimacy of the Economic and Monetary Union (EMU) as such that is precarious since it is set out in the Treaties but of acts adopted within EMU. Monetary policy acts are adopted by the European Central Bank (ECB) equipped with a Primary law independence guarantee shielding it against any sort of binding objections from Parliament(s) and governments. In economic policy coordination, the original compromise between the lack of Parliamentary control of European decision-making and the non-legally binding nature of acts taken within economic policy coordination was denounced during the various reforms made in the aftermath of the recent economic and financial crisis. Originally, the non-compliance with recommendations adopted by the Council addressing shortcomings in a Member State’s economic policy conduct would at most lead to financial sanctions in case of serious budgetary disturbances in a country whose currency is the euro.