Abstract

The crucial question of the Habermas-Streeck debate on the crisis in Europe was, ‘Should the political forces resisting the de-democratization of capitalism strive for renewal of the European Union through its deeper integration, as per Habremas, or for peaceful dissolution of the European Union and a retreat to a national state, as per Streeck?’ In this article, the arguments of each author are examined against the background of the left-wing Syriza party’s challenge to European austerity in Greece. Three conclusions are drawn. First, Syriza’s nationally charged populism in opposition coincided with Streeck’s considerations. Second, Syriza’s governmental strategy reflected Habermas’s views. Third, Syriza’s sudden rise to power and its subsequent failure to reverse the austerity both substantiate Streeck’s thesis that at the present juncture renationalization of economic policy represents a condition of the possibility for egalitarian politics in Europe.

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