Germany, Europe, and the Politics of Constraint
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The Erosion of the Pace-Setter Role: A Changing Narrative about Germany The Erosion of the Pace-Setter Role: A Changing Narrative about Germany
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How Europeanization Affects Economic Policy: Complexity, Continuity, and Change How Europeanization Affects Economic Policy: Complexity, Continuity, and Change
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A Case of ‘Fit’ or ‘Misfit’? A Case of ‘Fit’ or ‘Misfit’?
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Types of Policy Effect Types of Policy Effect
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Eu Economic Governance as Changing Variable Eu Economic Governance as Changing Variable
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German Capitalism as Changing Variable German Capitalism as Changing Variable
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Changing Context of Eu Economic Governance: German Unification, Globalization, and Post-Fordism Changing Context of Eu Economic Governance: German Unification, Globalization, and Post-Fordism
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German Unification German Unification
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Globalization Globalization
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Post-Fordism Post-Fordism
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Europeanization of the Institutional Arrangements for Economic Policy Europeanization of the Institutional Arrangements for Economic Policy
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The Federal Executive The Federal Executive
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The Bundesbank The Bundesbank
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Federal–State Relations Federal–State Relations
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Conclusions Conclusions
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10 Economic Policies: From Pace-Setter to Beleaguered Player
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Published:16 October 2003
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Abstract
This chapter traces how rapidly evolving mechanisms of EU governance have affected German economic policy since the Treaty of Maastricht was agreed in 1991. Its central theme is the transition of Germany from ‘pace-setter’ in the constitutive politics of designing EMU to ‘beleaguered player’ in the regulative politics of its implementation, from Germany as policy model to Germany as the main problem. Europeanization has both reinforced traditional policy beliefs in ‘sound’ finance and acted as a catalyst for domestic policy reforms by strengthening the domestic discourse of competitiveness. It has also led to significant pressures for institutional reconfiguration, notably within the federal executive, federal-state relations, and the Bundesbank. The chapter questions the traditional assumption of a goodness of ‘fit’ between German and EU economic policies, in part because of unintended effects from the EMU and in part because, despite emphasis on a consensus about the ‘social market’ economy, Germany lacks a unitary economic policy model.
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