Quotation for Today

"The reason the eurozone is governed by rules is that few of its member-states – least of all its wealthier North European ones –have any appetite for fiscal union. Crudely, rules (gouvernance) exist because common fiscal institutions (gouvernement) do not. But rules are no substitute for common institutions. And tighter rules do not amount to greater fiscal integration."

Simon Tilford and Philip Whyte, Tilford is chief economist at the Centre for European Reform and Whyte is a senior research fellow at the CER.

Centre for European Reform. (2011) Why stricter rules threaten the eurozone [Pamphlet, PDF medium]. Tilford, Simon and Philip Whyte: Authors.