By Anton Hemerijck, Ben Knapen, Ellen van Doorne

Even though it will be untimely to presume to spot the precise repercussions of the present fiscal quandary, it's transparent that it'll have profound results within the political, monetary, and social spheres. Written in the course of the private fiscal quandary because the nice melancholy, Aftershocks comprises twenty-four essays—based on interviews with students, popular eu politicians, and best figures from enterprise and banking—that contemplate the origins of the hindrance in addition to the prospective social, fiscal, and political variations it could engender. one of many individuals are Barry Eichengreen, Tony Atkinson, David Soskice, Nancy Birdsall, Amitai Etzioni, Helmut Schmidt, and Jacques Delors.

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Interestingly, our North American colleagues have a more sanguine perspective on the future of Europe. From the European perspective, Peter Hall underscores the extent to which Europe’s predicament is more political and institutional in nature than programmatic. Both Dominique Moïsi and Mark Elchardus believe that the all-pervasive cultural narrative of the European welfare state, in the light of the crisis, has bred media-triggered political disenchantment, demise in social capital, and fuelled the expansion of left- and right-wing populism, eroding confidence in the European project (Echardus, 2002; 2004; Moïsi, 2008).

Throughout the second half of the 20th century, the EU has been a guinea pig for multilateral governance and has an unparalleled understanding of domestic social complements to the single-market process. This has created a healthy balance between domestic policy space and international trade efficiency. In the process, the EU developed an institutional knowledge base for successful international governance which knows no equal. To maintain its international legitimacy, it must, according to André Sapir, now use this knowledge and become a true advocate of multilateral reform in global governance (Sapir, 2007).

Begg, I. et al. (2008), Is Social Europe Fit for Globalisation? A study of the social impact of globalisation in the European Union. Brussels: CEPS, European Commission. Berger, S. (2005), How We Compete: What Companies Around the World Are Doing to Make It in Today’s Global Economy. Berger, S. and R. Dore (1996), National Diversity and Global Capitalism. Ithaca: Cornell University Press. Birdsall, N. ’ WRR Lecture, Saving Globalisation from its Cheerleaders. Blanchard, O. and Summers, L. (1987), ‘Hysteresis in Unemployment’, European Economic Review 31, 1/2: 288-295.

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