Vers une agence européenne de la dette ?
The Greek and Irish crises have highlighted the shortcomings of Economic and Monetary Union, namely that there is no mechanism for preventing and dealing with public debt crises in the euro area (EA). In this context, we analyse the possibility of joint issuance of debt securities by euro area governments managed by a European Debt Agency (EDA). This would be a way to implement an effective mechanism of supervision and coordination of fiscal policies within the EA. Moreover, being de facto a crisis support mechanism, the EDA would improve EA financial stability; it would also increase the liquidity of EA sovereign bonds pushing down participating countries financial costs. The interest rates paid by countries would have to depend on their credit risk so as to limit moral hazard. JEL Classification codes: H63, E62, G12.
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