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Europe: Looking for a New Model

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  • Rui Henrique Alves

    ()
    (Faculdade de Economia da Universidade do Porto)

Abstract

More than fifty years after the Schuman Declaration, Europe is still far from a real Political Union. Europe faces an important imbalance between the two sides of the integration process, appearing as an important actor in the international economic scenario, but as a minor actor in the international political arena. In this paper, we start by arguing that the “small steps” strategy that led the European Union (EU) until the present situation is no longer sufficient to let the Union efficiently overcome its present deficits and challenges. So, we call for an important change in the institutional and economic organisation of the EU, towards a model of largely decentralised federalism. Examining the present challenges for the EU and the characteristics of the Draft Constitution/Constitutional Treaty for Europe, and comparing the main existent federal systems, we argue that the new “Constitution” is not enough to give the EU a strong voice both in the political and the economic areas. In this context, we discuss the design of an adequate institutional framework for the political organisation of the EU, presenting an alternative proposal based on the characteristics of a truly federal system, also as its consequences in what concerns the design and implementation of European economic policies.

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Bibliographic Info

Paper provided by Universidade do Porto, Faculdade de Economia do Porto in its series FEP Working Papers with number 154.

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Length: 17 pages
Date of creation: Sep 2004
Date of revision:
Handle: RePEc:por:fepwps:154

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Keywords: European Union; Political Union; Federalism; Fiscal Federalism; European Constitution;

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References

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  1. Jorge M. S. Valente & Rui A. F. S. Alves, 2003. "Improved Heuristics for the Early/Tardy Scheduling Problem with No Idle Time," FEP Working Papers 126, Universidade do Porto, Faculdade de Economia do Porto.
  2. Marco Buti & Sylvester Eijffinger & Daniele Franco, 2003. "Revisiting the Stability and Growth Pact: grand design or internal adjustment?," European Economy - Economic Papers 180, Directorate General Economic and Monetary Affairs (DG ECFIN), European Commission.
  3. Cristina Barbot, 2001. "Industrial Determinants of Entry and Survival: The case of Ave," FEP Working Papers 111, Universidade do Porto, Faculdade de Economia do Porto.
  4. Álvaro Almeida, 2003. "40 Years of Monetary Targets and Financial Crises in 20 OECD Countries," FEP Working Papers 128, Universidade do Porto, Faculdade de Economia do Porto.
  5. Ana Paula Serra, 2002. "The Cross-Sectional Determinants of Returns: Evidence from Emerging Markets' Stocks," FEP Working Papers 120, Universidade do Porto, Faculdade de Economia do Porto.
  6. Oates, Wallace E., 2001. "Fiscal competition and European Union: contrasting perspectives," Regional Science and Urban Economics, Elsevier, vol. 31(2-3), pages 133-145, April.
  7. Mathias Dewatripont & Francesco Giavazzi & Jürgen von Hagen & Ian Harden & Didier Baudewyns & Gérard Roland & Howard Rosenthal & André Sapir & Guido Tabellini, 1995. "Flexible integration: towards a more effective and democratic Europe," ULB Institutional Repository 2013/9541, ULB -- Universite Libre de Bruxelles.
  8. Pedro Cosme da Costa Vieira, 2003. "The Impact of Monetary Shocks on Product and Wages: A neoclassical aggregated dynamic model," FEP Working Papers 132, Universidade do Porto, Faculdade de Economia do Porto.
  9. José Rodrigues de Jesús & Luís Miranda da Rocha & Rui Couto Viana, 2001. "Avaliação de Pequenas e Médias Empresas e Gestão de Risco," FEP Working Papers 110, Universidade do Porto, Faculdade de Economia do Porto.
  10. Carlos Alves & Victor Mendes, 2001. "Corporate Governance Policy and Company Performance: The Case of Portugal," FEP Working Papers 112, Universidade do Porto, Faculdade de Economia do Porto.
  11. Cristina Barbot, 2002. "Does Airport Regulation Benefit Consumers?," FEP Working Papers 119, Universidade do Porto, Faculdade de Economia do Porto.
  12. Alberto Alesina & Roberto Perotti, 2004. "The European Union: A Politically Incorrect View," NBER Working Papers 10342, National Bureau of Economic Research, Inc.
  13. Aurora Teixeira & Natércia Fortuna, 2003. "Human Capital, Innovation Capability and Economic Growth," FEP Working Papers 131, Universidade do Porto, Faculdade de Economia do Porto.
  14. António Brandão & Sofia B. S. D. Castro, 2001. "Objectives of Public Firms and Entry," FEP Working Papers 114, Universidade do Porto, Faculdade de Economia do Porto.
  15. Aurora Teixeira, 2002. "On the Link between Human Capital and Firm Performance. A Theoretical and Empirical Survey," FEP Working Papers 121, Universidade do Porto, Faculdade de Economia do Porto.
  16. Jorge M. S. Valente & Rui A. F. S. Alves, 2003. "Improved Lower Bounds for the Early/Tardy Scheduling Problem with No Idle Time," FEP Working Papers 125, Universidade do Porto, Faculdade de Economia do Porto.
  17. Jorge M. S. Valente, 2003. "Using Instance Statistics to Determine the Lookahead Parameter Value in the ATC Dispatch Rule: Making a good heuristic better," FEP Working Papers 127, Universidade do Porto, Faculdade de Economia do Porto.
  18. Ana Paula Serra, 2002. "Event Study Tests: A brief survey," FEP Working Papers 117, Universidade do Porto, Faculdade de Economia do Porto.
  19. Wallace E. Oates, 1999. "An Essay on Fiscal Federalism," Journal of Economic Literature, American Economic Association, vol. 37(3), pages 1120-1149, September.
  20. Perotti, Roberto & Alesina, Alberto, 2004. "The European Union: A Politically Incorrect View," Scholarly Articles 4553004, Harvard University Department of Economics.
  21. Luís Delfim Santos & Isabel Martins, 2002. "A Qualidade de Vida Urbana - O caso da cidade do Porto," FEP Working Papers 116, Universidade do Porto, Faculdade de Economia do Porto.
  22. Margarida de Mello & Kevin S. Nell, 2001. "The Forecasting Ability of a Cointegrated VAR Demand System with Endogeneous vs. Exogenous Expenditure Variable: An application to the UK imports of tourism from neighbouring countries," FEP Working Papers 109, Universidade do Porto, Faculdade de Economia do Porto.
  23. Jorge M. S. Valente & Rui A. F. S. Alves, 2003. "An Exact Approach to Early/Tardy Scheduling with Release Dates," FEP Working Papers 129, Universidade do Porto, Faculdade de Economia do Porto.
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