News
11.09.2020

NDR - Corona as a catalyst for eurozone integration?

The Corona crisis exposes the structural weaknesses of the euro zone, but could also help to overcome them, Lucas Guttenberg states in the German public radio channel NDR.

The crisis mechanisms within the EU work slowly because their activation requires consensus among the member states. Lucas Guttenberg sees this as a central obstacle for a fast, joint crisis management of the euro countries. So far, only the ECB can react quickly with its monetary policy. But the current crisis shows that this has to change, Guttenberg said. "In the long run, we have to reach a situation where we have decision-making channels, also on the side of the member states, that means on the side of fiscal policy, which are so fast that monetary and fiscal policy can act together.“

You can find the full report here.

Image CC lincolnblues. Source: Flickr