EU Reforms Research Articles

Beyond the North–South divide: transnational coalitions in EU reforms

ABSTRACT The literature on fifteen years of European crises leaves the reader with a puzzle. Prominent accounts of the longest crisis – that of the euro area (EA) – assert that the EA is deeply divided between North and South, with Central Eastern European (CEE) member states being ignored. This makes it hard to explain how the union has managed to reform since 2008 and especially during the Covid-19 pandemic. Scholars have started to talk of transnational coalitions, but they equate coalition-formation with bringing together the like-minded, typically over solidarity versus sovereignty and more or less integration. However, coalitions of the like-minded are typically too small to sustain reforms and compromise has to be sought with others who have different preferences. To establish empirically how stable or fluid transnational coalitions are, we exploit the EMU|Choices database (Wasserfallen, Leuffen, Kudrna, and Degner 2019) [Analysing European Union decision-making during the Eurozone crisis with new data. European Union Politics, 20 (1), 3–23] on EA reforms and our own original data on Covid-19 reforms. Our findings show a stable pattern but no geopolitical divide – coalitions have varying CEE members. These findings can provide a basis for developing a more plausible conceptualisation of transnational coalitions.

Philosophy оf Shared Society

nsights on shared society reflect the nexus between collective actions and durable policy for the common good. The study’s core subject is the deeper understanding of the shared society in theory and practice. It helps overcome conflicting perceptions and divides. The main focus is on reasoning challenged by dynamics in democratic societies. The article aims to highlight its framework avoiding simplistic variations of main theses, but presenting new insights into the applications of this theory. It examines the ontological essence within cross-cutting varieties and dimensions of its profile. The philosophy of shared society is also represented in several practical perspectives. These vectors reflect various motivations and perils as links to practice. These links are: reflections on conflict resolution at municipal level in Germany, electoral participation and vote-buying practices in Bulgaria, EU economic integration and reforms to promote a shared and cohesive living.

ІТАЛІЯ ПІСЛЯ МААСТРИХТУ: ВИКЛИКИ ЄВРОПЕЙСЬКОЇ ІНТЕГРАЦІЇ У 1990-ТІ РР.

The article examines the impact of the signing of the Maastricht Treaty of 1992, the foundation of the EU, on political and economic processes in Italy in the 1990s. The transition from the EEC to a new form of European integration was the subject of a general political consensus. The question was raised about the influence of European integration on the 1992–1994 «Mani pulite» scandal, which was characterized by a series of trials against prominent officials and ended with the collapse of the old political system of the First Republic. As a result, Italy for the first time created a «technical government» under the former head of the Bank of Italy, C. A. Ciampi, which was a kind of temporary administration that launched the mechanism for implementing EU reforms. At the same time, a block of newly created Eurosceptic parties was consolidated in Italy. The block won the parliamentary elections, as a result of which a government led by S. Berlusconi was formed in 1994. Despite the anti-European statements declared by this government, it failed to stop the process of European integration. After the collapse of S. Berlusconi’s government in 1996, the pro-European coalition «Olive Tree», headed by R. Prodi, came to power. Thus, in the political system of the Second Republic (1994 – pr.t.), the issue of European integration became the main marker of division between various political forces, which lost the character of mass ideological parties of the 20th century and have become unstable personalist projects. The governments of the «Olive Tree» managed to give new impetus to European integration reforms, the main of which was the introduction of the euro instead of the national currency – the lira. This reform was perceived as an opportunity to renovate the Italian Republic as a consequence of strengthening the state apparatus, the program of privatization of the public sector of the economy, and a more cautious budget policy. The permission from the EU to switch to the euro since 1999 proved that, despite difficulties of a political and economic nature, Italy managed to carry out key reforms, and with the introduction of the euro instead of the national currency, the European integration of the country became an irreversible process.

A new dawn? The United Kingdom’s new competition law regime for vertical agreements

On 1 June 2022, competition law practitioners in the UK were placed in the unenviable position of having to assimilate two new regimes for the treatment of vertical agreements under, respectively, European Union and UK competition law. Despite the long lead-up, which in the case of the EU reforms had lasted since October 2018, practitioners had less than a month to assimilate the final text of both the new EU Vertical Agreements Block Exemption Regulation and the UK’s Vertical Agreements Block Exemption Order before they entered into force. Indeed, the Competition and Markets Authority’s Guidance on the new UK regime was only available six weeks after the new Order came into effect. Despite the new UK regime being promoted as being based on ‘bespoke rules better suited to the UK’, the reality is that its final form reflects a carefully balanced review by the CMA that prioritized close alignment with the EU over divergence for its own sake. Although there are some notable differences between the two regimes, which are reviewed in this article, the overall outcome is one of dynamic alignment with an EU regime that provided the original model for modern UK competition law and looks likely to have a dominant influence on its development for the foreseeable future, despite Brexit.

Supranational security states for national security problems: governing by rules & capacities in tech-driven security spaces

ABSTRACT Despite inherent political tensions, supranational institutions are increasingly involved in national security. EU institutions not only guide but also mobilize national resources or directly produce collective security. To make sense of those variations, the article conceptualizes ideal types of ‘supranational security states’ and develops a typological theory for understanding the emergence of the studied states. Based on policy documents and secondary sources, the article conducts a case-centric process-tracing analysis of three decades of EU reforms in (1) export control over dual-use technologies, (2) network and information security and (3) border security. Three types of supranational security states emerge, driven by their path-dependency logics and response to crises. Findings suggest a more nuanced understanding of security policy instruments and the dynamics of political authority in shared security spaces, contributing to debates on the positive and regulatory European security state, technology-driven security governance, and the coherence of the EU as a security actor.

Концепция «Старой» и «Новой» Европы Романа Дмовского и её роль в дискурсе современной польской международной политики

Roman Dmowski, a Polish nationalist and a founder of the independent Polish state, occupies an important place in Polish history. After the restoration of Poland on the political map of Europe, there was a need for a certain foreign policy that could give prosperity to a country de facto deprived of its agency for 123 years. Dmowski argues that the national identity can be protected from the Protestant countries of the West only through defining it as a main guardian of the Latin civilization. He formulated this thesis on the basis of Houston Chamberlain's The Foundation of the 19th Century, Oswald Spengler's The Decline of Europe and numerous works of Feliks Koneczny, who had a fundamental influence on Dmowski. His concept aimed at saving the Latin civilization (Italy, Poland, and France, led by Charles Maurras) from the affects of Jewish civilization and Protestantism in particular, representing the Latin civilization largely due to the reinterpretation of the Protestant countries and its further antagonization. This bloc was purely defensive and wasn't implemented in practice. Speaking about the discourse of modern Polish foreign policy, one can find many allusions to Dmowski, although it should be understood that the Polish government are not endecja (Narodowa Demokracja). So, for example, the “German-Pole” dichotomy, which was used Dmowski, is now in many ways one of those associated with the intra-European crisis. Now, in connection with the events of February 24, Poland potentially has every chance of becoming a hegemon in the Eastern European policy of the European Union, since it fully supports Ukraine and close integration with it. Since Ukraine is already a candidate for EU membership, this will allow it to compete with Germany in EU politics and possibly even result in EU reforms, due to its active pro-Ukrainian policy.

Small-Scale Coastal Fisheries in the Midst of Adaptation and Diversification: Insights from Southern Italy

The study looks at the problems facing coastal fishing communities. It highlights the impacts that, in the complex framework of the EU reforms, have manifested themselves on economic activities and on society. The aim of the paper is twofold: to examine small-scale artisanal fishing in an area of Southern Italy in order to develop resilience and diversification and at the same time to outline the profiles of local bluefish buyers to highlight development strategies for the sector. The research carried out through a direct survey by administering a questionnaire to fishermen operating in areas of Southern Italy and the data cross-referenced with the opinions of local consumers. A conjoint experiment, followed by a multiple correspondence analysis and cluster identification, was used to outline the profiles of local bluefish buyers. The results of the analysis reveal that the fish market and the restaurant sector are the main distribution channels preferred by fishermen. Furthermore, fishermen are very sensitive to environmental issues and are willing to collaborate and actively participate in the environmental protection of the sea. Consumers recognise the quality of local bluefish, and they implicitly perceive the sustainability of the method of capture. The results show the need to undertake synergistic actions for the fishing industry, capable of activating marketing strategies adequately to support, promote and develop the sector. The results of the study provide helpful information for food companies in order to better segment their market and target their consumers, as well as to effectively promote their product using brands, certifications and traceability.

The Regulatory Dynamics of Sustainable Finance: Paradoxical Success and Limitations of EU Reforms.

The financial sector has seen a transformation towards ‘sustainable’ finance particularly in Europe, driven also by unprecedented regulatory reforms. At the same time, many are sceptical about the real impact of these reforms, fearing that they are triggering a paradoxical financialisation of sustainability. Building on recent research on institutional logics and institutional fields formation, we examine changes in the EU regulatory dynamics as characterised by shifts in framing the relationship between sustainability and finance. Deploying a longitudinal approach (2009–2019), consisting of archival data and semi-structured interviews, we explore the development of EU sustainable finance regulation as an extended, interactive and contested process. Specifically, we suggest that regulatory dynamics depend on the hybrid configuration of the social constituencies supporting sustainable finance reforms and on shifts in the overall prevalence of the financial logic in society. Our paper sheds light on the inherent contradictions and limitations of sustainable finance as a means for transformative sustainability reforms.Supplementary InformationThe online version contains supplementary material available at 10.1007/s10551-021-04763-x.

Can We Make the European Fundamental Freedoms Less Constraining? A Literature Review

AbstractThis article reviews the legal and political science literatures on the extensive interpretation of the European fundamental freedoms and on possible ways out. The common market rules were originally laid down in an international treaty, the Treaty of Rome. In functional terms, this treaty became ade factoconstitution, implying that its content, including the fundamental freedoms, were constitutionalised. We review how this constitutionalisation constrains legislators at the Member State and European levels. In order to identify possible ways out, we also review several reform options: institutional reforms of the European judicial system; the de-constitutionalisation of the fundamental freedoms; counterbalancing these freedoms with further strengthened social rights; and contestation of over-constitutionalisation within the given primary law framework. We conclude that reform options are available that could gradually free the legislators from the over-constitutionalisation of the common market rules. Such options should become part of the ‘Conference on the Future of Europe’ process and debates about EU reforms in general, as more flexibility is warranted in a heterogeneous EU.

The Benefits of Differentiated Transparency. Proposal for Graduated Confidentiality Regimes within International Tax Disputes

To date, legislators and policymakers have not yet used any explicit policy criterion to balance transparency matters when dealing with EU and OECD tax dispute resolution reforms. This article wants to fill this void by providing a unique tool for implementing changes in international tax dispute resolution mechanisms, balancing different expectations and needs of stakeholders. Providing an example of its application, it proposes the use of differentiated levels of transparency according to stakeholders’ interests to ensure efficiency and fairness of outcome. The article employs principles of data protection regulations as a means to propose changes, drawing inspiration from comparable dispute resolution regimes that deal with taxation matters (Investor-State Dispute Settlement, International Commercial Arbitration and World Trade Organization dispute resolution mechanism). It concludes by providing proposals to render more efficient the current EU and OECD tax dispute resolution mechanisms. Transparency, dispute resolution, international arbitration, legitimate interests, reform, WTO, ICSID, commercial arbitration, EU tax, OECD.

Government Support and Bank Wholesale Funding Costs: Evidence from the EU Banking Union

In the wake of the financial crisis, many governments intervened to rescue banks. Between 2007 and 2009, numerous State Aid schemes were notified to the European Commission by different Member States; only 11 were blocked. Since the crisis, European authorities have reformed their safety nets to avoid taxpayers having to step in to save banks and out of fear that bailouts may be distorting competition. We investigate whether this fear is warranted in relation to long-term wholesale funding since the EU reforms. Using an original cross-section of nearly 2,500 senior bonds issued by systemic European banks, we find that nationalized banks do not benefit from lower bond spreads compared to their peers. Our findings are identical when we instrument bail-out expectations, consistent with these expectations having dropped since the crisis. We conclude that, in good times, the new EU bank safety nets appear to have achieved their stated goals.

France and the concept of European sovereignism at the integration crossroad

The article examines the politics of French presidents towards European integration, with the focus on President Macron's proposals concerning European sovereignism. The authors apply the Liberal Intergovernmentalism, which models the EU reforms as a three-stage process in which states first define preferences, then engage in interstate bargaining, and finally design common institutions. The main thesis of this article is that France has relatively stable preferences - augmenting its power through European integration, which is also translated into Macron's politics, despite seemingly paradoxical proposals on further delegation of competences to the EU. France is refusing the status quo in the Union divided on key issues, and strongly advocate a Europe of concentric circles. The high intensity of French preferences for the EU reforms is demonstrated through the alternative coalition?s projects, such as the European Intervention Initiative or redefinition of its relations with Russia. Contrary to common interpretations of France as the weaker partner in the Franco-German axis after the Bing Bang enlargement and Eurozone crisis, the authors' thesis is that France is regaining a stronger role at the integration crossroad. In the context of the uncertain future of the transatlantic partnership, China's rise and the threat of further EU marginalization in contemporary international relations, France is determined to have the ?balancing power? status on the global stage. Based on its military and diplomatic power, as well as large geographic influence, France is offering a strong alliance to Germany, which has no serious alternative. The authors conclude that this alliance would provide an opportunity for both countries to further project their power, and create a new context for inevitable re-opening of the ?German question?.

EUROPEAN VECTOR IN UKRAINIAN FOREIGN POLICY (2010)

The research focuses on the relationship between Ukraine and European Union during the first year of Victor Yanukovych presidency. It highlights the attempts of the new Ukrainian government to establish the dialogue with the leaders of EU, including Josй Manuel, President of the European Commission Barroso, Herman Van Rompuy, President of the European Council, Jerzy Buzek, President of the European Parliament, and Catherine Ashton, High Representative of the Union for Foreign Affairs and Security Policy, First Vice President of the European Commission. This was the motive put behind the first international visit of Victor Yanukovych to Brussels, March 1st, 2010. The author proves the idea of keen interest of Ukrainian top authorities to aspire visa-free travel regime with EU, that was supposed to later score more electoral points during the upcoming elections. Still, the terms of Ukraine-EU Association Agreement seemed for the representatives of the Party of Regions too difficult to implement, and, therefore, in their opinion, had limited perspectives. However, in public domain, both President Victor Yanukovych and his political teammates kept consistently demonstrating their commitment to European integration ideas. The Cabinet of Mykola Azarov, basing on the list of eighteen EU reforms, devised their own plan of integration into European legal, economic and information framework. According to this plan, from October 15th, 2010 the administration was to complete the provisions for signing association and the visa liberalization agreements. Ukraine was represented in EU by experienced diplomat Kostiantyn Ieliseyev. The research points out the existing controversies between Ukrainian and European parties in the question of establishing an extensive and far-reaching free trade area. It draws special attention to the progress made in the area of Ukraine-Europe cooperation in the sphere of power industry, endorsement of the law “Fundamentals for Natural Gas Market Development” and Ukraine becoming a member of Energy Community.

Intergovernmentalism and its implications – new institutional leadership in major EU reforms

ABSTRACT This paper contributes to a new understanding of the role and influence of the EU institutions in dealing with major EU reforms. Many have argued that, due to successive crises, Eurozone, Refugee and Brexit, EU decision making has become more intergovernmental. The role of the main intergovernmental body, the European Council, has been enhanced. Moreover, at various moments during these crises, the political leaders chose to by-pass the Community framework, and opt for intergovernmental solutions. However, in the literature, intergovernmentalism also refers to a dominance of the member states vis-à-vis the institutions in shaping these agreements. This paper looks at the process-level implications of this increased intergovernmentalism. We analyse and compare the role and influence of the institutions in five major reform negotiations: EFSF/ESM, Fiscal Compact, banking union, EU-Turkey deal and British renegotiation. An exploration of these empirical micro-foundations reveals more institution-driven processes and outcomes than the label intergovernmentalist suggests.

Political and instrumental leadership in major EU reforms. The role and influence of the EU institutions in setting-up the Fiscal Compact

ABSTRACT This paper analyses the role and influence of the EU institutions in major reform negotiations. We argue that one of the paradoxes of European Council dominated decision-making has been the enhanced dependence on EU institutions to translate broad priorities into actual reforms. We substantiate this claim by means of an in-depth process-tracing analysis of the Fiscal Compact. The conventional wisdom is that the Fiscal Compact was a German dictate. Instead, we show that it resulted from a division of labour: political leadership by member states in the control room, and instrumental leadership by the institutions in the machine room. Such instrumental leadership is unjustly depicted as mere facilitation, with little impact on process and outcome. We juxtapose the Fiscal Compact to two similar cases of Germany-led EU reforms (the Euro-Plus-Pact and Contractual Arrangements) to reveal the leadership activities by the institutions and the fingerprints these left in the final outcome.

Methodological approach for land transport research and its importance for Georgia’s spatial arrangement

The purpose of this article is to show the place of Georgian land transport in spatial development, in its economic development and future perspectives, with methodoligical aproach. The topic was chosen due to its actuality. Decline in amounts of freight and passenger shows that country is not so attractive to be part of any international transport corridor. To overcome the problem, we should know cause of it and the whole process of development, showing the factors which have influenced on the current result. The aim and novelty of the article is research of human geographical aspects of modern Georgian land transport, which covers the following objectives and issues: analyze existed modern literature around Georgian land transport, find and explain causes and consequences compare current trends with past and setting the perspectives. Examining Georgian land transport will be good example for understanding Caucasian transport corridor in order to connect it with international transport corridors and benefit for local economic growth. Being part of international trading systems is key to Georgia’s geopolitical location. According to current international economic environment and land transport’s infrastructural and economic regress there are several questions how can it be part of international transport corridor. Comparing with EU reforms and study of Chinese transport connections towards European countries will give some answers.

EXPERIENCE OF ECONOMIC REFORMS' IMPLEMENTATION IN POLAND AND UKRAINE

The article combines the research of a system of indicators and authors’ reflections elaborated on the basis of material. The authors believe that study of Poland's economic reforms will provide an opportunity to apply a positive experience for the further development of the Ukrainian economy. Using different approaches to governance, two countries have reached different results. Today, the gap in the rates of economic development of Ukraine and Poland is increasing. Accession to the EU and systemic structural reforms in the country until 2004 contributed to the acceleration of Poland's economic growth. Ukraine for a long time failed to implement effective reforms, which have caused to the backlog of the national economy from the economies of neighboring countries.

An Analysis of the Prospectus Regime: The EU Reforms and the ‘Brexit’ Factor

‘Brexit’ creates significant new challenges; it risks placing the UK’s position as a leading capital markets centre in jeopardy, and it places existing, long-established market access arrangements in doubt. Yet, it also creates opportunities. In particular, the UK could have the ability going forward, should it so wish, to extricate itself from the EU’s prospectus regime. Indeed, the UK is especially well-equipped in this regard, given the dominant role it plays in global and EU capital markets, and given that, historically, the UK has been closely involved with, and a key influence in the design of EU regulations, both with respect to capital markets, and more generally in relation to financial regulation. Accordingly, via an analysis of the existing prospectus framework, and the recently revamped EU rules, this paper contributes to the existing scholarship on prospectuses and considerswhat could, or should, happen to the UK’s prospectus regime following Brexit. It examines three possibilities and it advocates an ‘equivalence-plus’ approach. Specifically, it speculates that this option is most likely to guarantee the prospectus serves as a valuable investor protection device, as well as providing an attractive fundraising vehicle for firms.

Governing energy while neglecting health – The case of Poland

The present article discusses Poland’s continued reliance on coal power and the consequent impacts on public health. Concrete aspects of the energy infrastructure and political priorities are shown to compromise as compromising public governance and leading to deteriorated health standards among the general population. To make this case, this study juxtaposes the most recent developments in the Polish energy sector with current measures in EU energy policy and reforms in other EU Member States. Special attention is paid to developments in Poland following the political shift in October 2015, when a new government came to power. The ruling conservative party’s direct involvement in the management of the mining and utility companies and its strong political ties to miners’ unions are particularly discussed. Theoretically, the article relies on the TAPIC framework for governance. The framework rests on five integral principles of good governance: Transparency, Accountability, Participation, Integrity and Capacity; TAPIC allows scholars to study the impact of governance on public health in any policy area. Methodologically, this study relies on secondary sources, including academic publications, national and international reports, and statistical data on a range of energy and health factors in Poland and Europe.

The paradoxes of ‘new’ Turkey: Islam, illiberal democracy and republicanism

When the pro-Islamic Justice and Development Party (Adalet ve Kalkinma Partisi—AKP) first came to power in 2002, Turkey was described as a shining example of ‘the only Muslim democracy’ in the Middle East. The AKP has remained in power since then. While some hailed it as the so-called ‘Turkish model’, many have been rather sceptical about an ideological ‘hidden agenda’ of the AKP leadership to Islamize Turkish politics. Nevertheless, a stable Turkey under the pro-Islamic AKP rule was perceived as essential to improving relations between the West and the Muslim world. Within the last two decades, under Erdoğan's leadership it has become clear that a western model of ‘liberal democracy’ will probably not be the final destination of Turkey's path, but just one of many possible exits. What went wrong under the AKP governance, causing a promising ‘Turkish model’ to turn into authoritarian rule with the rise of illiberal democracy? While the three books under review have different emphases and address different questions, all of them offer timely insights into understanding this pressing question in both Turkish and Middle Eastern politics. They all seem to broadly agree that Turkey under AKP rule has undergone a metamorphosis in three stages: the ‘economic miracle’, combined with pseudo-democratization (2002–7); the phase of ‘regime change’ (2007–11) and, finally, the rise of authoritarianism and Islamo-nationalism (2011–15). Based on these insights, it is possible to argue that this metamorphosis has led to the paradoxes of ‘new’ Turkey, which I will attempt to highlight and explore in this review article. I identify three paradoxes: the persistency of Islam, combined with nationalism (Islamo-nationalism), in state-society relations; the impacts of Turkey–EU relations and reforms on the democratization process; and the future of republicanism in Turkey. I conclude by arguing that the rise of Erdoğan's authoritarianism combined with illiberal democracy at home will have serious implications for Turkish foreign policy.